Importance of the handover when selling a house

Once the purchase contract has been signed and the notary appointment has been completed, the final step of the house sale follows: the handover. This is when you place your property in the hands of the new owner. To ensure that nothing goes wrong and there are no nasty surprises after the purchase contract has been signed, there are a few points to bear in mind.

Compensation for damages or a subsequent reduction in the purchase price make many buyers’ hair stand on end.

But that doesn’t have to be the case.

Role of the handover protocol

A handover protocol creates clarity and avoids disputes. This is because the purchase contract alone does not record all the key points. Defects, meter readings and existing inventory can be recorded again or in much more detail in a protocol. This is signed by the seller so that he cannot subsequently claim that he did not find the house as contractually agreed.

• Creates clarity and avoids disputes.
• Supplements the purchase contract by recording important details such as defects, meter readings and inventory.
• Signed by the seller to document the agreements and avoid misunderstandings.

Important aspects in the handover protocol

The handover protocol when selling a house is not so dissimilar to the protocol when handing over a rental property. However, other important points must be recorded.

This includes defects that still need to be rectified by the seller. A date should also be set for this. The handover protocol should also record which fixtures and fittings still need to be removed. All meter readings should also be recorded. The process of handing over the keys is also noted in the protocol. If keys are still missing, it is noted how many and when they will be handed over. The keys are usually only handed over after the purchase price has been paid in full.

• Similar to the protocol for rental property handovers.
• Documents defects for rectification by the seller.
• Setting a date for repairs.
• List of the inventory to be removed.
• Recording of meter readings.
• Note on the handover of keys, normally only after full payment of the purchase price.

Handover protocol: Example

Here is an example of a handover protocol in table form:

Comparison! Handover of a rental property

When the house is handed over, not only are the keys handed over, but also many other important documents. Construction plans, floor plans, the calculation of the living space, building contracts, expert opinions, maintenance contracts, insurance certificates and much more are handed over to the new owner on this day. If you are selling a rental property, the rental contracts and documents relating to the various tenants must also be handed over. During the handover, the seller usually also explains to the buyer how the heating and other important appliances in the house work.

Checklist documents

Checklist documents handover:

• Building plans
• Floor plans
• Calculation of the living space
• Building contracts
• Expert opinion
• Maintenance contracts
• Insurance certificates

Hritt 1

Various documents need to be obtained for the house sale. Your prospective buyers are also looking for information about the building permit, the building description and have legal questions about the property. Before the planned sale, the following documents should be available for the sale:

• Energy certificate (mandatory when placing the ad)
• Land register extract and cadastral map
• Living space calculation
• Building description
• Floor plans, elevations
• Building permits
• Evidence of maintenance, modernization and repairs

Contact authorities and offices in good time so that the documents are available in good time and in full. We will be happy to help you obtain some of the documents. The documents are not only required at the time of sale. The energy performance certificate is already obligatory when the first property advertisement is placed and must be presented to the prospective buyer at the viewing without being requested to do so.

Always allow enough time and costs if documents have to be requested first!

Do you have everything together yet?

Checklist: House sale in Hamburg

With my small house selling tool you can easily collect the most important documents for your house sale in Hamburg. Tip! Here you can find more real estate tools from my real estate app. You can also find more on the topic including the process, risks and much more here: Selling a house.

Checklist: Apartment sale in Hamburg

The quick checklist for your apartment sale in Hamburg:

Checklist: Selling an apartment building in Hamburg

Here I have an extra guide, as selling from data room to prospect acquisition is a bit more complex:

• Sell apartment house

House & apartment evaluation – Step 2

Whether it’s a spacious apartment in an old building, a bungalow on the outskirts of town or a luxurious single-family home in the north of the city, experience shows that owners set a selling price that is significantly too high. The home is loved and a lot of time and effort has been invested. The tasteful and high-quality interior design is often of little interest to the prospective buyer when selling the property and price premiums are not accepted.

Potential buyers are primarily interested in the technical condition of the property and the room layout. If you plan a quick renovation to increase the value or renovation of your property with the help of craftsmen in Hamburg, Hamburg architects & Co. this can increase the value of your property immensely.

The following questions will affect the purchase price of your property:

• What needs to be remediated in the short term?
• What is the condition of the property?
• Are the bathroom and kitchen to be modernized?
• How is area layout and the stairs of the house?
• How far away are kindergarten and school?

Read the most important facts about the assessment in Hamburg here:

• Rate house
• Rate apartment house
• Valuing condominium

No time? No desire to stress with interested parties and buyers?

• Have property valued

Exposé, Buyer Acquisition, Negotiations & Co. – Step 3

Now it’s time for you to go on the offensive. You have all the documents for the sale together, so you can provide excellent evidence of your offer price. Ideally, this is also supported by a well-founded property valuation. Now it’s time to approach the right people.

A small apartment is easy to market in real estate portals, but in Hamburg you can also expect 200 responses directly. Which 5 of them offer sufficient financial security? Invitations are followed by viewing appointments, individual conversations, negotiations and later the purchase contract and your notary appointment.

There is a lot to consider! Learn the most important here:

• Sell house
• Sell apartment house
• Sell condominium

Hamburg real estate prices

Here is an example of the development of real estate prices in Hamburg. You can see the real estate prices for condominiums in Hamburg in 2023, broken down by existing and new construction.

You can find more statistics at Statista

Sell in… – Hamburg districts

Hamburg is not only home to Germany’s largest port, but also to a large number of major companies, publishing houses and media agencies. The Hanseatic city impresses not only with its strong economy, international flair and growing job market, but also with its many chic neighborhoods. Whether family, single, student or entrepreneur – everyone feels at home in Hamburg. While families prefer the quiet Rotherbaum, singles and couples enjoy the colorful city life in HavenCity. And the city’s suburbs on the edge of the Elbe also have something to offer.

Read more here: Sell property

Blankenese: affluent district with a view of the river Elbe

Adjacent to the popular residential district of Rissen, lies the luxurious district of Blankenese. Enjoy the beautiful landscape and nature that this unique residential area has to offer. The high elevations make for a unique picture. Unique is the stair quarter: behind this quarter hides a residential area with old fishermen’s houses, which can only be reached on foot. Thus, a project for car-free living is realized. And the view of the Elbe also adds to the charm of Blankenese.

• Real estate for sale in Blankenese

Rissen: Chic suburb on the banks of the Elbe River

The popular district of Rissen is located west of the elegant Blankenese and the exclusive Othmarschen. The westernmost district of Hamburg, directly bordering Schleswig-Holstein, is home to around 15,900 inhabitants and covers an area of 16.65 km². In addition, Rissen belongs to the district of Hamburg-Altona and is one of the luxurious suburbs on the edge of the Elbe.

• Real estate for sale in Rissen

Othmarschen: Exclusive district with high quality of life

In the middle between the exclusive Blankenese and the quiet Rotherbaum is Hamburg-Othmarschen. Here it is bursting with sights, restaurants and cafes, which are not only very well known and popular in the neighborhood, but directly in the whole city. The proximity to the Altona fish market and the unique view of the Elbe River also add to the unique flair of the district.

• Selling real estate in Othmarschen

Hafen City: Luxurious place to live in the center

The Hafen City district is located in the heart of Hamburg and lies south of Hamburg’s old town. The districts of Rotherbaum and Harvestehude are also not far away. The Hafen City district is highly modern and has only been developed in the recent past. Since 2003, the redevelopment of the Hafen City district has been taking place in the center of Hamburg. Among other things, new residential areas are being created here between Kehrwiederspitze and Elbbrücken. Ten city quarters with modern residential buildings are being built in the former harbor area.

• Selling real estate in Hafen City

Harvestehude: A distinguished district in transition

Enclosed by the Outer Alster and the Isebekanal, the district is located in the district of Eimsbüttel and is the neighbor of the districts of Grindel and Schlump. The popular Rotherbaum district borders to the south and the sought-after Hafen City residential area is also not far away.

• Selling real estate in Harvestehude

Rotherbaum: Upscale district on the edge of the Alster lake

The Rotherbaum district is located north of the city center. It borders the popular Harvestehude district to the south and is also not far from the modern Hafen City residential area. 16,000 residents have already settled in the district with its Tudor-style villas.

• Selling real estate in Rotherbaum

Speculation period for owner-occupiers

If you have used a condominium yourself and want to sell it, a speculation period of 3 years applies. This means that you can sell the apartment tax-free at any time after buying it, as long as you have lived in it yourself in the meantime. This is an advantageous regulation, as you do not have to adhere to a specific holding period in order to benefit from the tax exemption.

Speculation period of 3 years

Speculation period for capital investment (rented out)

If you have used a condominium as an investment and rented it out, the speculation period is 10 years. This means that you can only sell the apartment tax-free after this period has expired. If you sell the apartment before this period expires, speculation tax could be payable on the proceeds of the sale.

Speculation period of 10 years

Commercial trading in Germany

If the sale of condominiums becomes a commercial activity, the profits from the sale could be subject to income tax. This may be the case if, for example, you regularly buy, renovate and resell apartments with the intention of making a profit (more on the 3-object rule). In such a case, you could be classified as a commercial trader and the profits would be taxable.

Direct intention to make a profit “or” 3 properties in 5 years

Note that tax laws can be complex and individual circumstances need to be taken into account. To ensure that you take advantage of the best possible tax situation for your specific case, it is advisable to consult a tax advis or. A professional tax advisor can educate you on all the tax implications of selling a condo in Germany and help you plan optimally.

Taxes on the sale of an apartment building

Read more here:

• Taxes on the sale of an apartment building

Real estate as an investment: step by step

Investment real estate in Germany is popular worldwide. The central location in Europe, the legal security from the state, the stable development and political situation. All this and more distinguishes Germany as an investment location.

Get to know the country and the real estate market in the heart of Europe.

Advantages: Investment in Germany

Advantages of investing in Germany:

• Central location in Europe
• Largest market in Europe, many world market leaders
• Growing population, especially due to migration
• Legal certainty and stable banking system
• Rising real estate prices (land prices)
• Rising rents for decades

Investment Atlas: Where to invest? Cities comparison

A first, important item on your checklist for an investment in Germany is the location of the property. It has a big impact on your rental yield and therefore your profit. For this we have our Lukinski Rating, with all cities in Germany, over 40,000 inhabitants. For this we divide the cities into 4 categories, from A to D.

More around capital investment atlas:

• Lukinski Rating

Buy property in Germany

Multi-family house, house, apartment or land, when selling real estate in Germany, just as in the USA, you have to consider a few things. Learn everything you need to know about ancillary purchase costs, operating costs, taxes and much more.

• Real estate as an investment
• Real Estate in Germany

The most important thing for you:

• Buy apartment house
• Buy house
• Buy apartment
• Buy land

Investment property in A-location like Berlin:

Yield properties in good B locations such as Bonn:

Location in Europe: map and top cities

Central are the metropolises Berlin, Hamburg, Munich in Bavaria and Cologne, Düsseldorf in North Rhine-Westphalia. But there are also interesting investments between the cities. First, a look from the macro perspective.

Main cities / metropolitan areas:

• Berlin
• Hamburg
• Munich in Bavaria
• Cologne, Düsseldorf in North Rhine-Westphalia
• Frankfurt in Hesse

Incidental purchase costs for house, apartment and land

When buying a property in Germany, various ancillary purchase costs are incurred. However, these are manageable. These include costs for the land register entry, the notary(purchase contract), the land transfer tax and (if commissioned) the real estate agent.

• Incidental purchase costs
• Real estate transfer tax

Operating costs: Incidental costs of a property

Incidental costs are not only incurred when you buy, owning a property also involves costs and taxes.

• Operating costs
• Property tax

Buying (and financing) real estate in Germany

Multi-family house, house, apartment or land, when buying real estate in Germany, just as in the U.S., you have to consider a few things.

Things also get more complicated when it comes to financing if you are not a citizen of the country. After all, access to your assets would be much more difficult should something go wrong with the financing. However, this is also the case for banks in the U.S. Access to a German In the case of foreign financing, you must bring significantly more equity with you. Creditworthiness plays a major role in Germany, just as it does in the USA.

Laws and legal forms: For companies

What is allowed, what is not? Learn more here about laws, rights and also legal forms in Germany if you do not want to buy your property privately and want to establish a company in Germany.

Establish a company and legal forms

A first, small guide to starting a business in Germany.

• Establish company
• Legal forms in Germany

For all the details, however, you should definitely consult with an expert, ideally a German tax advisor.

Sell property in Germany

Multi-family house, house, apartment or land, also when selling real estate in Germany, just like in USA, you need to follow some steps and you need the right documents for the sale.

Calculate value of house and apartment

For a successful sale you need one thing above all, a good offer price. If a property is too expensive, no one will be interested in the offer. If the price is too low, you lose money. Calculate a good price with a real estate valuation. Typically, there are 3 procedures for determining the value (market value) in Germany, the asset value procedure, the comparative value procedure and the capitalized earnings value procedure for investors.

Determine the value of a property:

• Evaluation

Selling: step by step

The most important thing for you to sell:

• Sell apartment house
• Sell house
• Sell apartment
• Sell land

With or without broker

You can sell your property yourself (privately or as a company). Of course, a real estate agent can also help. If you decide to work with a real estate agent, read more here: Hiring a real estate agent.

Metropolises: A-locations in Germany

Here is a look at the most important metropolises in Germany in A locations.

Berlin: Germany East (Capital)

Berlin is the capital of Germany. Currently, well over 3 million people live in the city. Berlin is also internationally popular and also attracts millions of tourists every year. A hot investment location where capital investors should inform themselves well in advance.

Here’s a glimpse:

• Berlin property

Location of Berlin in Germany:

Berlin landmark, the TV tower at Alexanderplatz:

Hamburg: Germany North

Hamburg brings with it as a special feature access to the Baltic Sea. This makes it the only city with millions of inhabitants and a large shipping industry. This makes Hamburg, like Berlin, a very international location.

More about:

• Real estate in Hamburg

Location of Hamburg in Germany:

A landmark of Hamburg, the Elbphilharmonie in the harbor.

Munich: Germany South

Munich is located in Bavaria. Bavaria is simply put, the typical Germany. Mountains, green meadows, lakes and good life. Munich itself has over a million inhabitants and, like the entire state, is often a pioneer in Germany, with good economic figures and income of the population. Housing is therefore also the most expensive, compared to the other A-locations in Germany.

More about the Bavarian capital:

• Munich property

Location of Munich in Germany:

Skyline of Munich:

Cologne and Düsseldorf

Cologne and Düsseldorf are located in North Rhine-Westphalia. These two cities are only a few kilometers apart and can be reached by car within 30 minutes. Both cities are located in North Rhine-Westphalia, the most populous state in Germany. Good for capital investments, because this is where those who want to go to the “big city” are drawn.

Learn more here:

• Cologne property
• Real estate in Düsseldorf

Cologne on the map:

Skyline of Cologne:

Düsseldorf on the map:

Skyline of Düsseldorf:

Frankfurt

Frankfurt am Main is located in Hesse, in the west of Germany. The city is the seat of the European Central Bank and therefore an important place in Germany, but also in the whole of Europe. Frankfurt is also the capital of banks in Germany. Frankfurt is located about 2 hours by car from Cologne and Düsseldorf, heading south.

Read more here:

• Real estate in Frankfurt

Frankfurt on the map:

The skyline of Frankfurt:

Conclusion: Investment Germany makes sense?

You have now learned about the advantages of investing in Germany. You can invest relatively safely in apartments, houses, but also apartment buildings. In addition, there are more special, exotic investments such as nursing homes. Because, the population in Germany is getting older and the health care system is extremely well financed. Let’s summarize the most important facts for investors once again.

Advantages of investing in Germany:

• Central location in Europe
• Largest market in Europe, many world market leaders
• Growing population, especially due to migration
• Legal certainty and stable banking system
• Rising real estate prices (land prices)
• Rising rents for decades