Notice of termination of own use: Definition & Explanation

So if you acquire a property that is already rented out, this does not mean that you have to continue renting it out. On the contrary: In some cases, you can even move into your new property shortly after the purchase. For this, you must then prepare a notice of own need and submit it.

Deadline for the declaration of own need: 3 to 9 months

Let us now take a step-by-step look at the details of such a termination.

Demonstrable reasons for own use: desire for children, old age & Co.

You must therefore provide reasons for the termination of the tenant. Not every reason is also a reason for own need. Instead, you must be able to show that you have to move into the house or apartment for compelling reasons and have no alternative. Illness, old age or pregnancy can be such reasons.

Here are some examples:

• Desire to have children
• Living space extension
• Professional move
• Replacement apartment
• High age
• Disease

Notice for beneficiaries: From children to grandma

In addition, you can also terminate the tenants if a person benefiting you urgently needs the living space. This includes grandchildren, life partners and also children-in-law and parents.

Beneficiaries include:

• Children
• Parents
• Grandparents
• Siblings
• Grandson
• Nieces and nephews
• Children-in-law and parents-in-law
• Spouse
• Life partner

Cousins, great-nephews and -nieces, as well as step-grandchildren also belong to the group of beneficiaries. In some cases, you will need proof of the exact background and the relationship between you and the person.

Reading tip: Everything about buying real estate

If you want to learn even more on the subject of buying a property, whether owner-occupied or capital investment, numerous articles, guides on the subject of rented vs unrented, as well as checklists, all free and 24 hours online available, with us!

Apartment, house, apartment building, everything for real estate beginners!

Now new on Immobilien-Erfahrung.de:

• Buy property: learn – external

Decisions before your Purchase

If you would like to buy an apartment, you have the choice of different objects. You can invest in an expensive apartment in an advantageous downtown location to rent it on the free housing market or to move in yourself and live in an attractive and popular residential area. Alternatively, you can opt for an apartment that is located on the outskirts of a city or in the countryside. There are also multi-family houses there, where the apartments are sometimes offered at very reasonable prices. If you are looking for a form of housing that is cheap in terms of monthly costs and if you cannot invest a high purchase price, this option is a very good choice for you.

Purchase Apartments Before Completion

As an alternative to buying an apartment that is already ready for occupancy or rented, you can purchase apartments before the house is built for the purpose of rental or for your own use. When the construction project becomes known, contact the developer to reserve the property of your choice. This is possible if the apartments are to be sold individually to different owners after completion of the construction project. Other construction projects are commissioned by a developer. In most cases, the purpose of the developer is to rent out the apartments himself. It will not be possible to buy the apartments individually.

Rental or Personal Use

Having acquired an apartment, you are free to do with it what you will. This may be renting it out, or using it as a residence. Of course, renting is a smart investment, given that it gives you the chance to pay off your mortgage from the rent you receive from tenants. There is of course also the downside of the time it takes to invest in the property. This may be a time investment beforehand, such as in the form of renovation, or in repairs, given that you do not have a property manager.

Real Estate as Capital Investment: Special

1. Part: Classical or exotic investment – Which real estate is suitable as capital investment?
2. Part: Real estate as capital investment – What do I have to pay attention to?

Purchase of an Apartment in Need of Renovation

The purchase of apartment buildings which are in need of renovation is becoming increasingly popular. There are advantages and disadvantages associated with the renovation of apartments, which you should know before you make the purchase. The disadvantage is that you cannot use the apartment immediately after the purchase. You have to make further investments.

Investment Despite Need for Renovation

The advantages outweigh this disadvantage, however, so that many investors consciously decide to buy an apartment in need of renovation. You have the opportunity to design the apartment as you imagine it in the course of a renovation.

You can integrate new windows and doors and change the room layout. The laying of pipes and electrical lines is much easier when an apartment is renovated. If you already live in the apartment, it is more complicated and costly to adapt the structure of the electrical system or piping to your ideas.

Design the ceilings, walls and floors exactly the way you want them. An object in need of renovation is usually available at a reasonable price.

However, please make sure that there are no conditions imposed by the monument protection authorities for this object. Otherwise, it is important that you consider whether you are prepared to meet these conditions before you buy. Often the editions are connected with a medium or high financial expenditure. You will have to pay this in addition to the purchase price of the apartment and the costs of the renovation.

Purchase of Modern Apartments Without the Need for Renovation

Very popular on the market are apartments that have no need for renovation and are equipped with modern facilities. You buy such an apartment for a higher purchase price. The apartments are ready for immediate occupancy. They have a positive energetic balance and can also be retrofitted to a certain extent according to the individual ideas of the new owner.

Old Building or Apartment in a Modern New Building

Before buying, consider whether you would prefer a old building flat or an apartment in a new building. Both types of living differ from each other. Old buildings are characterized by high rooms and large windows. The rooms are very spacious. Many buyers find this an advantage. However, you should also consider the heating costs for these apartments. These are much higher than in modern apartments, where the room height is usually lower, due to the room height and the resulting larger volume.

In modern apartments the rooms are often smaller. Apartments in an old building also have a special charm, which many potential buyers love very much. It is a very individual decision and also a decision of individual taste whether they prefer an old building apartment or an apartment in a newer building. If you decide on an old building, it is important that the building has already undergone an energetic renovation. This measure can reduce heating costs quite significantly.

Purchase of a Rented Apartment

With the decision to buy a rented apartment, you take over the rental contract in its current form. You do not have the right to make changes to this contract. Rent increases are only permitted within the framework of the legal regulations.

If you are planning a renovation of the apartment, you are obliged to agree this with the landlord. You may not demand that the tenant leave the apartment for the period of the renovation. However, you have the option of providing the tenant with a replacement apartment. You will have to pay for the costs.

Furthermore, it is important to know that you can only terminate the rental agreement if you register your own needs or if the tenant persistently breaches obligations under the rental agreement. This includes repeated non-payment of rent, but also taking in another resident without you having been informed.

Cancellation of Own Use

If the landlord behaves in such a way, as it is given in the lease, only the own need notice remains to you. You can only give this notice if you really intend to live in the apartment yourself. Sometimes you even have to prove this. Before buying a rented out apartment, you should be sure that you do not want to live in the apartment yourself or that your claim for personal use will be upheld by a court. Every tenant has the right not to accept a notice of termination for own use at first and to demand a review by a court. In this case your move into the apartment would be delayed. Of course you have the possibility to contact the tenant before the planned sale. Inform him/her about the planned personal use so that he/she can prepare for it. In many cases the tenants are willing to move out and you can settle the matter amicably.

Demand for Living space

The size of average apartments in Germany is between 30 and 150 m². The apartments have one to five rooms. They are equipped with a private bathroom and a kitchen. If you buy an apartment on the current housing market, you will hardly get offers without your own bathroom. Even a coal heating system is only available very sporadically. The preferred types of heating for apartments in apartment buildings are gas, district heating or heating oil.

Before you decide to buy an apartment, it is important that you determine your real housing needs. In doing so, you should not only start from the current situation. Try to imagine how you want to live in a few years. Most buyers who buy their own home make an investment for life. And so you should know if they want to enlarge their family in the future, if they need a study after finishing a professional training or if they want to set up a guest room for friends or family members.

Unlike the purchase of a single-family home, buying your own apartment offers you only limited possibilities for expanding your living space. You can only share very large rooms. An extension, as it is possible in many single-family homes with a large garden, cannot be realized in an apartment. For this reason, it is recommended that you choose a property that offers one or two rooms more than you currently need. If the purchase price is right, you will also be very well prepared for future life situations after buying the apartment.

On average, apartments in Germany have two to four rooms. The three-room apartment is particularly popular. It is considered an ideal form of living for singles, for single people with children and for couples who do not have children. The average size of the three-room apartment is about 80 m².
Apartments with one room are rather unsuitable for purchase, as they offer only limited possibilities for individual development. Very large apartments with more than five rooms are rare and are often only offered in larger cities. They are located in old city villas and are often very expensive.

Community of Owners

As the owner of an apartment in an apartment building, you become part of a community of owners. The community of owners makes decisions regarding matters that affect all owners. These include the design of the facade, the renovation of the roof, but also the installation of a TV system and the design of the garden.

The majority of the owners’ association has a quorum. This means that you may have to accept decisions that you would have made differently yourself.

As an owner in a multi-family house, you build up reserves for possible renovations. You also participate in the insurance that has to be paid for the building. Property tax is also paid proportionately. These reserves are paid into an account on a monthly basis and are similar to the service charge payments that a tenant has to make. As the owner of the apartment, you are obliged to pay these benefits.

Conclusion: Buying an Apartment

Buying your own apartment is considered very lucrative, especially in larger cities. If you are interested in buying an apartment, Lukinski can be your partner for the purchase. We have specialized in this region and offer you not only a professional purchase transaction, but also a very good knowledge of the market. Get in touch with us by phone to clarify any questions that may arise. We would be happy to arrange a personal appointment with you and present various properties to you.

Own use at a glance

• Cancellation of the rental contract in order to move into the apartment yourself or for family members
• Long notice period to protect the tenant
• Exceptions for hardship cases such as single parents or families with children
• Own requirements in English

Back to the wiki: Real Estate

Forced sale quickly explained – procedure, tips & tricks

If you don’t like to read long explanations about the procedure of a foreclosure sale or about the tips and tricks, we have put together some videos for you in which these topics are explained in an understandable and good way.

Read also:

• Foreclosure explained
• Online portal and local court list
• Prevent foreclosure
• Foreclosure Submission
• Receivership
• Compulsory mortgage

If you want to participate in a foreclosure auction as a bidder or you are facing the foreclosure of your own property, the first thing you ask yourself is how such a procedure actually works. The procedure is always the same and firmly regulated. In this video you will learn the exact procedure of a forced sale. Claus Roppel explains the procedure in such a way that it is understandable for every layman. So that it comes at all to the enforcement proceedings must first be given certain enforcement requirements.

The conditions for enforcement

• Title – a document, a court judgment or an enforcement order that determines the claim to be enforced.
• Clause – Official note of enforceability
• Service – the title must have been served on the debtor before or at the time of the commencement of enforcement proceedings

In this video Christian Schmitt explains which things should be considered when participating in a foreclosure auction and he gives helpful tips and ticks.

Bargain hunting at foreclosure sale

If you’re still unsure about whether you should attend a foreclosure auction, you might find this video helpful. Are bargains common at a foreclosure auction, or do you usually pay the going rate, or even more?

This video is about tips that might help you prepare for a foreclosure. It makes sense to watch the event several times before attending a foreclosure auction yourself. You can find the dates of foreclosure auctions either on websites, such as Zvg24 or in the notice boards of the relevant local courts. Most bidders go to a forced sale with the aim of getting a bargain. But to achieve this goal, you should prepare well for the foreclosure auction.

Opportunities & Risks

In this video, you’ll learn more about the opportunities and risks involved in a foreclosure. Here are 4 things you should definitely consider before you participate in a foreclosure auction:

1. Review market value appraisals
2. Examine land records
3. Note the file number of the object to obtain even more information
4. If possible, arrange viewing appointments

Risks of a forced sale – You should be aware of these risks

Of course, there are certain risks involved in a foreclosure. A foreclosure involves risks that you should definitely be aware of. Here we have compiled possible risks for you so that you can prepare yourself for the situation in the event of a foreclosure.

Personal viewing rarely possible

Before participating in a foreclosure auction for a property, it is important to obtain sufficient information beforehand. Unfortunately, it is rarely possible to inspect the interior of a property in advance, as the occupant does not have to allow any insight into the interior. For this reason, possible damages or defects often only appear afterwards.

Existing tenancy must continue to exist – unless own need

If you buy an already rented property at an auction, you automatically become the landlord and have no right to terminate the tenancy, unless you need the property for your own use. You are therefore bound to the tenants to a certain extent.

Bidder offers more than financially possible

At a foreclosure auction, there is always the risk of falling into a so-called “bidding frenzy”. If the desire to buy the property at auction is particularly great, the risk of getting into such a situation increases. The active bidders drive each other up and do not notice it sometime that they have already arrived at the limit fixed by themselves before. Through this happening it can happen that one drives oneself into a financial ruin. Once a foreclosure sale has been concluded, there is no longer any right of withdrawal.

No warranty on construction defects

If you have managed to buy a property at auction and afterwards construction defects occur, this is particularly annoying. The disadvantage of a forced auction is that there is no warranty on construction defects.

After watching these videos, you should know enough about the process, tips and tricks. Still want to learn more about the foreclosure process? Then you can learn more here:

Notice of own need – The ruling for tenants and landlords

Notice on own need – The notice of the dwelling for own need is for many tenants a genuine stress situation. Suddenly one must look for a new dwelling. Those who live in the metropolitan areas of Berlin, Essen, Dortmund, Munich, but also Frankfurt am Main, find it difficult to get an equivalent apartment. Either one must make cutbacks in the situation, in the size or in addition, with the rent, which will increase clearly. Of course, the landlord can legitimately terminate the tenancy if he has a need to own the property.

Nevertheless, there are cases of owner-occupancy termination that go beyond the level of genuine owner-occupancy. Black sheep make so profit by the new renting and often also the simultaneous modernization as well as energetic building reorganization. Only in the last week we had reported on the advance of the Juso leader Kevin Künast. With his push of the general expropriation of real estate companies, he made a big wave in politics but also in all real estate newspapers. His thoughts deal with the expropriation of real estate property, which goes beyond the own, necessary or in short: 1 person, 1 property. Also the BGH ruling is about large corporations and companies with large portfolios of real estate. Also in the focus it goes around the judgement and their follow. The Focus sums it up, “[n]ew hurdles for termination”. More precisely, the ruling is about the question: How high is the proportion of justified terminations of own use? This week came the judgment, as also in the manager magazine to read, because Eigenbedarfsküdigungen many times rightfully.

Termination of own use – Your rights as a tenant – Video

Construction boom and criticism of the rent index

Construction boom in Germany continues – No end in sight, the construction boom in Germany continues. This is the topic of this week’s Immobilien Zeitung. While many have seen the recession for some time, the economic growth remains stable, in the first quarter after all 0.4%. This after many, very successful years. So there is no reason to complain and so many German investors and home builders still use the favorable situation of the economy but also the favorable loans, by the current interest rate situation. More on the topic can be read here this week: Boom in construction continues (Immobilien Zeitung).

Now or never! Because “The best time to buy an apartment is over” says the Frankfurter Allgemeine. Those who want to sell their property in Frankfurt now have the best chance to make good profits. Who wants to buy, should still strike now, before the prices climb further. More about this in the Frankfurter Rundschau: The cheapest time to buy a flat is over.

#Immobile verkaufen in #Frankfurt am Main – Das Thema diese Woche auf IHV https://t.co/Qw8GOA4dbC

— IhrHausverkauf.de (@ihrhausverkauf) May 24, 2019

Mietspiegel in the criticism – After the construction is rented. The basis for many assessments is the rent index. Nevertheless, there is criticism and some are now calling for the reform of the rent index. “Reform of an instance” says the Handelsblatt this week. The rent index is the basis, not only for tenants, also regulations are based on the local rent index. More on the topic is now in the Handelsblatt: Mietspiegel in der Kritik.

Furthermore, this week’s topic is the tightening of rules for chimneys and fireplaces. This topic actually affects millions of households in Germany. Many topics for which a Sunday is hardly enough. We wish you with the headlines of the week an informative weekend and a successful start into the coming week!

Real Estate News:

Manager Magazin on the current case concerning the notice of termination of own use

We have already reported on the current topic of Manager Magazin at the beginning of the Real Estate News. Own need notices are often legal, so the ruling of the Federal Court of Justice. There are other new headlines this week about “Billionaire Ortega relies on US real estate: Richest Spaniard – from textile billionaire to real estate mogul”, a very interesting article about an up-and-comer, Made in USA:

• Own need küdigungen often rightfully: Notice because of own need – BGH strengthens rights of landlords
• Billionaire Ortega bets on US real estate: Richest Spaniard – from textile billionaire to real estate mogul
• Worldwide top: Luxury properties in Berlin and Frankfurt are rising in price this fast

Focus Online on even more environmental protection – Is millions threatened by conversion?

The current climate debate is fuelling many ideas. Currently, the Minister of the Environment is planning to tighten the requirements for fireplaces and chimneys. The Focus Online blog also reports on “New hurdles for termination: For landlords, the BGH ruling on own use is a big risk” . More news and current laws:

• The most important answers to the reform: Scholz plan for new property tax: Who now has to pay more rent
• Environment minister wants stricter regulations: One million households threatened with expensive conversion of chimneys and flues
• New hurdles for termination: For landlords, the BGH ruling on own use is a major risk

Frankfurter Allgemeine sees good time for buying over

This week’s Frankfurter Allgemeine has some exciting articles, such as “Constitutional lawyer Schorkopf: Does EU law protect against expropriation?” and “German real estate market: The best time to buy a home is over”. More news from the past days:

• Constitutional lawyer Schorkopf: Does EU law protect against expropriation?
• Seestadt Aspern: Where Vienna now has a coastline
• German real estate market: The best time to buy an apartment is over

Bei Eigenbedarf hat der Mieter normalerweise schlechte Karten. Es sei denn, er beruft sich auf einen Härtefall. Der Bundesgerichtshof entscheidet heute über zwei solcher Eigenbedarfskündigungen. https://t.co/sfxWrlCcLa zeigt die Hintergründe auf. https://t.co/LGSye9brAg

— FAZ Immobilien (@FAZ_Immobilien) May 22, 2019

Handelsblatt on the criticism of the rent index

As already reported at the beginning, the rent index is under criticism. Also in Munich, one of the cities with the highest rents. Here also to see in the TV report:

More headlines in the Handelsblatt:

• Reform of an instance – rent index in the criticism
• Real estate company Garbe to go public in autumn
• Termination because of own need? BGH wants more precise examination

How to calculate the rent index?

Star about 5 misconceptions in tenancy law

Stern’s blog looks at “Surf Shack: This dreamy shack comes in a cardboard box and can be built by amateurs” and “Renovating, nap time, subletting: would you have known? Five common landlord-tenant law misconceptions” . More news of the week:

• Renovating, nap time, subletting: would you have known? Five common misconceptions in tenancy law
• Surf Shack: This dreamlike hut comes in a cardboard box and can be assembled by laymen
• Single-family house: climate-neutral and modern: This single-family house is made of scrap metal

Haufe on the image cultivation of Vonovia

After the criticism from the Juso leader and the great public and media attention, Vonovia is naturally working on improving its own image. That’s why Haufe is taking a close look at the company this week. New from Haufe this week includes “Image cultivation: Vonovia wants to be one of the “good guys”” and “On our own account: Haufe and d.velop cooperate”. More real estate news for tenants, buyers and sellers:

• Image cultivation: Vonovia wants to be one of the “good guys
• Hamburg: 640 apartments planned for southern Überseequartier
• On our own behalf: Haufe and d.velop cooperate

T-Online on the rental contract: Important and invalid clauses

This week, T-Online has topics such as “Cold rent, city district – Munich must disclose certain rent index data” and “Better check service charge statement – These errors occur again and again”. New topics of the week:

• Rent, deposit, repairs – Rental contract – Important rules and invalid clauses
• Service charge settlement better check – These errors occur again and again
• Cold rent, city district – Munich must disclose certain rent index data

Süddeutsche Zeitung sees prices rise like FAZ

This week’s Süddeutsche Zeitung blog is all about “Prices are going through the roof” and “What’s the truth about the “Hotel Mama” myth?”. Updates and news from the newspaper:

• Prices go through the roof
• Courts must examine hardship cases more closely when terminating tenancies
• What is there to the “Hotel Mama” myth?

Federal Gazette on Seehofer’s push for energy-efficient building refurbishment

This week at Bundesanzeiger among others “Coalition committee on property tax: ZIA insists on agreement” but also “Mietpreisbremsengesetz: Mieter nicht gegen Vermieter ausspielen”. New articles, headlines and trends:

• Mietpreisbremsengesetz: Do not play off tenants against landlords
• Coalition committee on property tax: ZIA insists on agreement
• Energy-efficient building refurbishment: ZIA welcomes Seehofer’s initiative

Berlin.de about warning of usurious advertisements

New articles and posts from Berlin.de this week include “Finance minister: get property tax reform underway quickly” and “Tenants’ associations: can warn landlords for usurious advertisements” . More headlines of the week:

• Finance minister: get property tax reform underway quickly
• Berlin’s Finance Senator Kollatz: quickly curb share deals
• Tenants’ associations: landlords for usury advertisements can give warning

Immobilien Zeitung on Blackstone: 200 billion euros cracked open

Building is still popular and so many Germans continue to invest in their own home. Not only house builders, of course, especially companies are getting involved in the market. Favourable interest rates, a good and solid economy, the best basis for investment and capital investment in real estate. In addition, there are many other interesting topics such as “Blackstone breaks the sound barrier of 200 billion euros” and “Wiesbaden villas cost an average of 1.7 million euros” in the magazine. The posts and more tips can be found here:

• Blackstone breaks through the €200bn sound barrier
• The boom in construction continues
• Wiesbaden villas cost an average of 1.7 million euros

IM Immobilienmanager on refurbishment with a system

Systematic redevelopment, that’s what this week’s Immobilienmanager is all about. This week in IM Immobilienmanager, among others, articles on “The RETT blocker and the consequences for the real estate industry” and “The Grounds: development plan for planned urban quarter in Magdeburg to be finalised in 2020”. You can find more news here:

• Innovative: refurbishment with a system
• The Grounds: Development plan for planned urban quarter in Magdeburg to be finalised in 2020
• The RETT blocker and the consequences for the real estate industry

Spiegel headlines: “Sued out to increase profits?”

Of course, the Spiegel, as one of the leading media in Germany, also takes up the topic of termination for personal use. However, much more critical than previously Focus and Manager Magazin. The mirror says ready in the title “Rausgeklagt, so that the profit rises”. In the article the editorship goes on the current changes by the BGH judgement and calls the consequences for tenants and landlords. Also this week in Der Spiegel, the “Deceased soul legend Aretha Franklin: Will under the sofa cushion?”. Everything for an interesting Sunday:

• Court decision: Fixtures of the previous tenant can justify rent increase
• Terminations because of own need: Sued out, so that the profit rises?
• Deceased soul legend Aretha Franklin: Will under the sofa cushion?