Costs for the realtor: New regulation in the BGB

As just described, the realtor commission in Germany is not clearly regulated. In recent decades, it has become common practice that the buyer bears the commission of the realtor when buying real estate. This meant that 100% of the costs were passed on to the buyer.

The new law, effective December 23, 2020, now decides that the seller must bear at least half of the realtor’s commission.

Private purchase, non-commercial real estate trade

However, the new rule only applies to private purchases. So if you commercially buy a property, you are not subject to this innovation in the BGB. Sections 656c and 656d only apply if the buyer is a consumer. Read more here, including BGB innovations, on the realtor commission: new law (external [German]).

For private real estate buyers, this changes quite a bit; after all, the realtor fee makes up a large part of the buying incidentals. When buying a house but also when buying an apartment and buying land, up to 7.14% will thus be due for the buyer.

Broker’s commission usually at 7.14%

Example calculation: 3,570 euros saved

Already with a property with purchase price of 3,570 euros, you have effectively lowered your incidental costs when buying real estate, with this new law.

• Purchase price: 100,000 euros
• Provision of the realtor: 7.14 %
• Cost of realtor: 7,140 euros

For a condominium at the purchase price of 100,000 euros, you pay so far a whole 7,140 euros realtor commission, out of your pocket.

With the new law, the seller must now pay at least half of these costs, when buying a property privately.

With this, your ancillary purchase costs are reduced directly by a whole 3570 euros.

Step by step to divorce – separation year, procedure and joint children

A divorce takes place through the application of one or both spouses and through a court order. For this, among other things, a divorce petition must be filed with the family court, the separation year must be gone through and important issues must be clarified. The exact course of the divorce is determined by how the spouses deal with each other.

The most important at a glance

• The separation year is intended as a period of reflection for the couple. The shortening of the separation year is only permitted in special cases
• Amicable divorces take less time and cost less. Contentious divorces often drag on for a long time and can be very nerve-wracking
• The petition for divorce is filed by the petitioner, i.e. the spouse wishing to divorce. With the help of a notary, the equalisation of pensions can be excluded or made more specific.
• The possible aspects of a divorce settlement agreement include, for example, maintenance, custody of the joint children, the procedure with joint assets or also the continuation of the joint family name.
• A divorce should be openly communicated with children in order to give them clarity. A conflict of loaylity for the child should be avoided at all costs.
• The law no longer requires grounds for divorce since 1977. The most common grounds for divorce include infidelity, violence in the relationship or quarrels

The separation year – the legal requirements

Marriage and the family are regarded as one of the most important social institutions in the legal system. The separation year is therefore intended to act as a preventive measure against possibly wrong, purely emotional and only temporary decisions that could be regretted afterwards. Even if the separation year is seen by many married couples as harassment or pure burden, the intention behind the regulation is clear. The decision should be able to be reviewed and possibly revised in the given time. In addition, the time is useful to take care of some things that are important for the further course of the divorce, such as the divorce settlement agreement.

Although there is an obligation to prove that the separation year has been completed, it is not possible to apply to the court for the beginning of the year or to have it notarised. It therefore makes sense to record the beginning in writing. A shortening or even a complete omission of the separation year can only be brought about by a hardship decision of the court according to § 1565 paragraph 2. An example for such a decision can be extreme domestic violence, which the court classifies as undue hardship.

• The separation year should be considered as a reflection period for the couple
• Shortening the separation year is only permissible in special cases

Contentious or amicable divorce – the initial question before divorce

The family court generally decides whether a divorce is amicable or contested. If a divorce is amicable between the two spouses, the divorce proceedings are very simple. If the separation year is completed, only the divorce and the pension equalization, which is usually carried out ex officio, must be decided. In such a case, one lawyer is sufficient for both spouses, which saves enormous divorce costs. Often even an online divorce for the spouses offers itself, whereby the time expenditure is enormously minimized and the costs are kept low. An amicable divorce can be greatly favoured by a divorce settlement agreement, which is already drawn up by the spouses during the separation year.

If there is a contested divorce, both spouses are required to be represented by their own attorneys. This increases the divorce costs for both parties enormously. The proceedings in contested divorces usually take longer than in amicable divorces and involve higher costs.

• Amicable divorces last shorter and cost less
• Contentious divorces often drag on for long periods of time and can be very nerve-wracking

The procedure – divorce petition and pension rights adjustment

Regardless of whether a divorce is amicable or contested, the petitioner, i.e. the spouse seeking a divorce or his or her law firm, files the petition for divorce with the competent family court after the end of the separation year. This petition shows whether the divorce is contentious or amicable. If it is disputed due to consequential matters (with the exception of pension equalisation), further applications concerning, for example, maintenance, are also submitted with the divorce petition.

In the next step, the court formally serves the other spouse, i.e. the respondent, with the divorce petition and, if applicable, the petitions on the subsequent matters. In the case of amicable divorces, it is now up to the respondent to inform the court that the information in the petition is correct and to declare that he or she will consent to the separation. In contested divorces, it is usually the respondent’s solicitor who takes a position on the divorce petition and the consequential matters.

In most divorces, the equalisation of pensions must be carried out by the family courts. This regulates the entitlements and prospects of a pension due to old age or reduced earning capacity that the spouses have acquired during the marriage. Marriages of up to three years must apply for pension equalisation, all others can exclude it before the notary or structure it more closely. If such equalisation is carried out, the spouses must fill in the forms required by the court, sign them and send them to the family court within a time limit. The court then sends these forms to the pension providers in order to clarify the claims to a pension that arose during the marriage.

In the case of amicable divorces, the divorce date is agreed after the forms have been received. Disputed divorces must clarify the subsequent matters in advance, otherwise the divorce date may be postponed further and further.

• The petition for divorce is filed by the petitioner, i.e. the spouse who wishes to divorce.
• With the help of a notary, the pension equalization can be excluded or more closely structured.

The divorce settlement agreement – the content and the regulations

In a divorce settlement agreement, all things concerning the marriage and the divorce can be regulated. In general, this agreement regulates how joint assets, joint children or similar things will be dealt with after the divorce. It is attempted to clarify all points that are normally settled during the divorce in advance, in order to make the divorce as simple as possible. To a divorce succession agreement belong in detail things like the maintenance. Here, both the separation maintenance for the period from the separation to the divorce and the post-marital spousal maintenance for the period after the divorce can be regulated.

The divorce settlement agreement also regulates the custody of joint children, their maintenance and, if necessary, the right of access for the non-caring parent. In addition, the divorce settlement agreement will specify how joint assets, such as the joint home or household effects, are to be dealt with. Other possible points of a divorce settlement agreement are the agreements on the equalisation of gains, exclusion of the legal matrimonial property regime of the community of gains and agreement on the separation of property, the waiver of the right to inheritance and the right to a compulsory portion and the continuation of the joint family name.

• The divorce settlement agreement attempts to settle all possible points of dispute in advance of the divorce in order to make the divorce as simple as possible.
• The possible aspects of a divorce settlement agreement include, for example, maintenance, custody of the joint children, the procedure with joint assets or also the continuation of the joint family name.

Divorce with children – communication and the conflict of loyalties

The divorce should be openly communicated by the parents with the children. This is best done in an open conversation before the divorce, where the children have the opportunity to ask questions and have enough time to adjust to the situation. Presenting children with a fait accompli only leads to lasting confusion and lots of unanswered questions. Such a conversation is also necessary for children who are already old enough to suspect a separation through previous behaviour, as otherwise unanswered questions remain and loyalty conflicts may arise. Openness is very important in this situation to avoid disputes and ambiguities.

No matter how much the parents quarrel or how great the resentment towards the ex-partner is, the children must not get these disputes. If the children are dragged into the argument, it often leads to a conflict of loyalty for the child. However, there are many things that parents do unknowingly during a divorce that can lead to such conflict for children. Secrecy about what to do, pushing for decisions, or defaming the other in their absence can have disastrous effects on the child’s emotional well-being. Both parents should therefore remain neutral towards the child and avoid statements against the other partner in any case.

• Divorce should be communicated openly with children to give them clarity
• A conflict of loaylity for the child should be avoided at all costs.

The grounds for divorce – not required by law

The law specifies many things when it comes to divorce. However, since 1977 married couples no longer have to state a reason for divorce in order to be able to divorce. The principle of guilt was replaced here by the principle of disruption. However, the legislator specifies a separation year. Before married couples can get divorced, they must go through a separation year, during which the couple is separated but still remains married. This year is to protect against hasty decisions and purely emotional whims and to preserve the principle of marriage. Only in cases of special hardship, the separation year can be omitted.

There are many different reasons to end a marriage. In each case, the reasons are different and the individual situation of the couple plays a huge role. For some, certain reasons are cause for separation while for others they are not really a reason. However, in most cases it boils down to similar problems. The most common reasons for separation include infidelity, violence in the relationship, arguments or lack of commitment.

• The law no longer requires a reason for divorce since 1977
• The most common reasons for divorce include infidelity, violence in the relationship or quarrels.

Divorce: guide, help and tips

Divorce is complex, it’s true. But you are not alone! Many let themselves separate and in fact, a large part always finds a good solution. Only a small part ends in a quarrel. So that you can prepare well, you will find here our small guides and tips on divorce, family, money and real estate.

• Divorce: Guide

The alternative is an already built house that you can buy in solid construction and modernize and rebuild according to your own taste. Lukinski is happy to support and advise you if you are faced with the decision to buy a house and are considering whether it should be a solid house or another construction method.

Certainly, your personal requirements for the property also play an important role in the selection. You can build a solid house according to your own taste, so that you can be creative and adapt the building form, the size, the roof and the room layout to your needs. In this article we would like to look at the solid house from all sides and show you for whom the solid construction method brings advantages and who should opt for the classic in stone on stone construction.

Why a solid house brings advantages

The robust construction is a clear advantage of the solid house. Because they are made of stone, these houses stand out as particularly robust and weatherproof. Stones are almost weather-resistant, so that you can still buy solid houses from the 19th century and move into them after some renovation work. For builders, the focus is on the advantages of free planning. If you choose a solid house, you can plan all elements and details according to your own taste and have them implemented by an architect. Furthermore, solid houses are expandable, which means that you can easily add on and extend when buying an older house.

With a prefabricated house this option is not given, because the basic form is fixed and built from parts manufactured at the manufacturer. The indoor climate and temperature control are another advantage of solid construction. In the warm season, the rooms in the solid house remain cool, in winter the heat is stored in the walls. Equally interesting is the sound insulation. Solid houses have a very good sound insulation and are not as bright as it is the case with prefabricated houses or wooden houses. The solid construction reduces consequential damage if, for example, water damage occurs due to a burst pipe. While the risk of wall and floor damage is enormous with prefabricated construction, solid masonry can be quickly drained without causing major damage to the masonry. In terms of value retention, the solid house is clearly in the lead. See our glossary. Even a century after it was built, it still has a market value that banks will accept and base financing on. If you want to sell your house at some point, you should choose a solid house in favour of the market value and protect yourself from financial losses in this way.

Solid house – are there any disadvantages?

The solid house itself has no disadvantages. However, you have to expect a much longer construction period when building and assume that construction will be interrupted during bad weather or the onset of winter. The costs for solid houses are higher than for alternative construction methods, as you need different trades and have to coordinate the individual construction phases. Basically, you need an architect or structural engineer to plan the house, control the construction phases and regularly check the quality of the construction. This aspect generates costs in addition to the more expensive building materials, which also have to be paid. It is usually not possible to set a specific completion date. Since various trades are involved on your construction site or with the renovation of an existing property in solid construction, the duration of the necessary measures is primarily based on the interlocking construction phases and the reliability of each individual trade.

When buying an already built solid house, you have to expect a higher asking price than with prefabricated houses. In return, you acquire a property that retains its value and can be sold at any time for a good market value. Even though prefabricated solid houses are already available today, the classic solid house is the first choice for people who want to build their home stone on stone. Solid houses are more price-intensive than other types of construction, but this is not a real disadvantage, but rather a side effect that is aligned with the higher effort, the higher material costs and the longer construction time and life span of the property.

Solid house vs. prefabricated house: differences and advantages

Buying or building a solid house?

To build or to buy? Anyone who has decided to buy a solid house is automatically faced with this question and is looking for answers that fit their requirements and the planned time until moving in. If you purchase a plot of land and build the solid house yourself, you have to reckon with a longer period of time and assume that several months or even a year can pass until you move in. The real time period depends among other things on the weather and your start of construction. If you start in the summer, you have to reckon with a construction stop of several months in the winter, which postpones the move-in date. An alternative to construction is the purchase of already built solid houses.

As savvy real estate agents, we at Lukinski – Your Home Sale recommend you take a look at the variety of options you’ll find in our massive home portfolio, for example. As a buyer, you save a long construction period and still have the possibility to individualize your solid house and, for example, remodel the interior. This means that even with an older solid house you are flexible and can enlarge rooms, remove non-load-bearing walls or integrate more light into the house through new and larger windows. Solid houses are very suitable for conversions, as the removal of individual bricks is possible and you can therefore have the property converted at any time.

Another advantage of the already built property in solid construction comes from the price. Existing properties are offered at a fixed price determined by the market value and give you the security that the costs are manageable. Since the market value includes the condition of the property, you will pay less for a solid construction house in need of renovation or refurbishment than for a property that is ready for immediate occupancy.

The financing of solid houses – how is the market value calculated?

A solid house puts you in a good negotiating position with the bank. Since the value retention is higher and longer-term, banks usually finance solid houses more straightforwardly. The basis for a construction or real estate loan is the market value of the property. In the case of existing solid houses, this is calculated from the actual material value of the property, as well as from the information relevant to the environment, infrastructure and demand. A solid house in a sought-after location and in good condition allows you to take out a higher loan amount, since the property counts as collateral for the bank and can be financed, for example, through a land charge. A market value assessment is the basis of any financing and should therefore be carried out by an expert.

At Lukinski, as part of our real estate brokerage services, we offer property appraisals and are happy to make financing recommendations that fit the property and your financial background. For the market value, the year of construction, the substance and the age, as well as the equipment of the property are important. Furthermore, the land value, the general market value per square meter in the region, as well as the comparative price of massive houses in the immediate vicinity are included in the calculation. A good infrastructure also has a positive effect on the market value and increases the value of the property. Financing for solid houses are usually realized by annuity loan and secured in this way with a land charge. If you are interested in a solid house, we at Lukinski will determine the market value for you and create the basis for the financing.

Restriction on sale at a glance: Preventing the sale of separate property

• Owner of an apartment, or part of an apartment is entitled to sell property
• If owner is a member of a community of owners, members have the desire that new owner integrates properly into the group
• Regulation in WEG §12: In the declaration of partition it can be arranged that flat owners need the agreement of other flat owners or a third party for the sale of their property.
• Purpose: Owners’ associations have fewer problems with the integration of new owners
• Contract between owner and buyer is in most cases invalid without the consent of the community of owners

Back to the wiki: Real Estate

House rules in apartment buildings – their rights and duties

Living in an apartment building with strangers under one roof can not always be easy. Different opinions meet each other and that especially in relation to common rooms, such as the hallway or the basement area. So that all tenants know what they are allowed to do and what they are not allowed to do, the most important regulations and the most common cases are laid down in the house rules. So what do you as a tenant have to observe and what happens if you violate the house rules?

https://www.instagram.com/p/Bn2q1x3jaHv/?taken-by=myhome_mystyle

House rules – different types, who determines and changes them & consequences of violations

First of all, you should know that there are different types of house rules. The first are those that are part of the lease and therefore signed and accepted by you, and the second are those that exist externally to the lease. The difference is that with external house rules no rights or obligations can be imposed on you, because you never signed or accepted these house rules. These house rules only describe orderly instructions on certain topics. The external house rules can therefore be changed or modified by the landlord at any time. How profitable is renting? See our rental yield. The house rules in the lease, on the other hand, can impose rights and obligations on the tenant. These include, for example, shovelling snow in winter or cleaning the staircase. These house rules cannot simply be changed by the landlord, as they are laid down in the tenancy agreement and you would first have to give your consent. Both house rules are determined by the landlord and the points recorded in them. However, it is not only the landlord who demands that the house rules are adhered to, but all the residents of the house.

Violations of the house rules also make a distinction between the two types. Breaches of the rules laid down in the tenancy agreement could result in a warning and, in serious cases, termination of the tenancy agreement. For violations of the external house rules, usually no penalties can be made right against you.

What can the house rules regulate and what not ?

The house rules are generally responsible for regulating the coexistence of several parties. They should also regulate how tenants are to treat their apartment and common areas. Important points that should be listed in the house rules are, for example:

• Cleanliness and order
• Noise and quiet times
• Safety regulations
• Use of common areas
• Heating and ventilation

To make it clearer which house rules govern what, here is a small example: In the rental agreement it can be stated that the tenant has to clean the staircase. The external house rules then regulate how often, what exactly and how the staircase is to be cleaned. In this way, the areas of responsibility are divided between the various house rules. However, the external house rules may not extend the duties from the tenancy agreement, but only specify them in more detail. Also, the house rules may not grant the landlord any further rights. However, the house rules in the rental agreement also have their limits. The landlord may not prescribe certain things that are regulated differently by law. This includes, for example, the heating. The landlord may not prescribe in the house rules when the tenant may heat and when not, because according to the law, the tenant has a right to a sufficiently heated, warm apartment at any time of year. So read the house rules carefully and know your obligations.

The most common disputes about the house rules

Of course, the house rules should avoid disputes, but it still happens again and again. Of course, the house rules differ depending on the house and the circumstances, but there are general rules that should prevent disputes. Questions that are asked again and again and topics that nevertheless always lead to disputes are for example:

Locking the front door

This point is a matter of dispute for many apartment buildings, because one person does not feel safe as long as the door is not locked, the other does not want to have to search for the key in a dangerous situation. In this case the landlord may prescribe what he thinks proper. He can stipulate that the door must remain closed for safety reasons, but just as well that it should remain open for fire safety reasons. The legal situation here is not clear and even in court there are different opinions.

Visitors

Another point of contention is the topic of visitors, because officially the tenant may not be prohibited or forbidden to visit. Even restrictions, such as only visiting without a dog are not allowed. What the landlord can use, however, is the house ban. If a visitor repeatedly attracts negative attention, for example by disturbing the peace or causing damage, the landlord may ban this person from the house and the visit is prohibited for this person. If a visitor stays longer than six weeks in the rented flat, the landlord must be informed.

Quiet times and noise

The most common quiet hours, which are set out in house rules, are between 1pm and 3pm at midday and between 10pm and 6am at night. However, these times may vary at weekends. During these quiet hours, all tenants should be considerate of noise. Loud music or noise from playing children should be avoided. The exception, however, is noise from babies or small children. This must be tolerated even at night. However, the tenant may not prohibit showering or bathing during these times. Out of consideration for the rest of the house, however, showers should not be taken for hours at night – especially not in buildings with high sound levels.

Storing a bicycle or pram

Prams, wheelchairs or walkers may be parked in the stairwell by the tenant, but only under certain conditions. For example, no other suitable storage room may be available and the tenant cannot be expected to carry the object into the apartment because the lift is missing or too small. If an object is placed in the hallway, however, the fire safety regulations must not be violated, so that no tenant could be put in danger by the object. Bicycles are given a slightly different rule here. As a matter of principle, they may not be parked in the stairwell. If there is no bicycle cellar or other storage rooms and the bicycle is at risk of theft in front of the building, the tenant may park the bicycle in the courtyard or take it into his own apartment.