Whether buying a flat or building a house: buyers, sellers and builders are always required to answer questions related to real estate law. For example, if you want to become an owner, you cannot get past real estate law. Before concluding the purchase contract, it is important to examine the land register carefully. Home buyers should also examine the declaration of division and know the rules of residential property law.
To build a house is not easy too. You have to understand and coordinate the building law and the planning scheme, and to apply a swing proposal. Even for those who already became owners, they still have to fight their way through all the paragraphs in the real estate law every now and then.
Real estate law for the purchase of house and apartment
Property buyers should clarify some legal details before signing up to the purchase agreement: in the energy certificate, you can see whether you desired property is more likely to have a high energy consumption or not. You may also find recommendations for remediation. If the house was built after 1. February 2002 or the ownership was changed during this period of time, buyers should make sure that they find out whether and which energy refurbishment is mandatory.
In order to know the property much better, a look at the land register helps. It does not only provide information about the location and size of the property. Any burdens and restrictions, such as basic servitude, are also included. Additionally, the buyer should check the planning scheme for restrictions on the construction or conversion, as well as to find out whether the property is possibly contaminated with chemicals, poisons or even bombs.
Real estate sellers are regulated by legal terms. According to the Energy Saving Ordinance (or EnEV in short), sellers have to present buyers with an energy certificate. For a frictionless real estate presentation, it is also worthwhile to have the land register extract at hand, so that the prospective buyer does not have to ask the Land Registry at all.
When presenting the property, do not only mention the advantages, and remain silent about the defects. The seller has the obligation to report to his prospective buyer known defects, for example mold or contaminated sites. If he does not do so and deliberately conceals possible disadvantages from the buyer, this is regarded in court as fraudulent deception. In general, the seller or the broker commissioned by him should provide all information which is important for the prospective buyer's purchase decision.
If the buyer and the seller reach an agreement, they should specify the most important points in the purchase agreement: the exact designation of the property, its nature, whether a land debt exists or not, and if necessary, is taken over by the buyer, as well as a few other points.
Collaboration with the broker: what buyers and sellers need to know
If a purchase contract is concluded with the broker, the broker will then receive his commission. The client can negotiate with the broker how high his commission should be and how much should the seller and the buyer bear individually. Depending on the state and region, the commission amount is three to seven percent of the actual purchase price.
Residential property law: the rules in the apartment building
If you buy an apartment, you become part of a community of owners. This has far-reaching consequences for the new owner: the owners pay the costs of electricity and sewage, as well as for administration and maintenance in the form of house money. They also decide together whether, for example, the renovation of the stairwell or painting of the exterior facade is necessary. This becomes difficult if the new owner disagrees or the reserves are not sufficient for a refurbishment work.
Before buying, the buyer should carefully investigate in what kind of owner community you are involved. The division declaration provides information about the rules and the own vote share. In addition, prospective owners should review the minutes and decisions of the last owners' meetings to see if renovations are planned or have been put on hold. A look at some annual accounts and the economic plans of the last five to ten years will help to identify possible gaps in the community budget.
If you want to rent out your condominium, you have to find your way around the rental law after the successful purchase of the apartment. This includes a waterproof rental agreement with the declaration of how the ancillary costs are properly calculated and transferred to the tenant, as well as the rights and obligations of the tenant. Anyone who buys in areas where the rental price brake applies must take into account the local rent level when setting the rent.
Building law: Legal tips for builders
To build one’s home stone by stone: what sounds quite manageable means a lot of bureaucracy for builders. The number one challenge is the planning scheme. It regulates what can be built on the property. In addition, builders must be very familiar with their Land Building Code, report the start of construction correctly and submit further applications. In the case of new construction as well as expansion construction, they should, among other things, take care to comply with the prescribed distance areas to the neighbouring house. At the latest, when the house is built, the question arises: did the construction company or the craftsman deliver what was agreed in the construction contract? For the construction acceptance, therefore, an acceptance protocol should be prepared in any case.
Whether buying a flat or building a house: buyers, sellers and builders are always required to answer questions related to real estate law. For example, if you want to become an owner, you cannot get past real estate law. Before concluding the purchase contract, it is important to examine the land register carefully. Home buyers should also examine the declaration of division and know the rules of residential property law.
To build a house is not easy too. You have to understand and coordinate the building law and the planning scheme, and to apply a swing proposal. Even for those who already became owners, they still have to fight their way through all the paragraphs in the real estate law every now and then.
Real estate law for the purchase of house and apartment
Property buyers should clarify some legal details before signing up to the purchase agreement: in the energy certificate, you can see whether you desired property is more likely to have a high energy consumption or not. You may also find recommendations for remediation. If the house was built after 1. February 2002 or the ownership was changed during this period of time, buyers should make sure that they find out whether and which energy refurbishment is mandatory.
In order to know the property much better, a look at the land register helps. It does not only provide information about the location and size of the property. Any burdens and restrictions, such as basic servitude, are also included. Additionally, the buyer should check the planning scheme for restrictions on the construction or conversion, as well as to find out whether the property is possibly contaminated with chemicals, poisons or even bombs.
Real estate sellers are regulated by legal terms. According to the Energy Saving Ordinance (or EnEV in short), sellers have to present buyers with an energy certificate. For a frictionless real estate presentation, it is also worthwhile to have the land register extract at hand, so that the prospective buyer does not have to ask the Land Registry at all.
When presenting the property, do not only mention the advantages, and remain silent about the defects. The seller has the obligation to report to his prospective buyer known defects, for example mold or contaminated sites. If he does not do so and deliberately conceals possible disadvantages from the buyer, this is regarded in court as fraudulent deception. In general, the seller or the broker commissioned by him should provide all information which is important for the prospective buyer's purchase decision.
If the buyer and the seller reach an agreement, they should specify the most important points in the purchase agreement: the exact designation of the property, its nature, whether a land debt exists or not, and if necessary, is taken over by the buyer, as well as a few other points.
Collaboration with the broker: what buyers and sellers need to know
If a purchase contract is concluded with the broker, the broker will then receive his commission. The client can negotiate with the broker how high his commission should be and how much should the seller and the buyer bear individually. Depending on the state and region, the commission amount is three to seven percent of the actual purchase price.
Residential property law: the rules in the apartment building
If you buy an apartment, you become part of a community of owners. This has far-reaching consequences for the new owner: the owners pay the costs of electricity and sewage, as well as for administration and maintenance in the form of house money. They also decide together whether, for example, the renovation of the stairwell or painting of the exterior facade is necessary. This becomes difficult if the new owner disagrees or the reserves are not sufficient for a refurbishment work.
Before buying, the buyer should carefully investigate in what kind of owner community you are involved. The division declaration provides information about the rules and the own vote share. In addition, prospective owners should review the minutes and decisions of the last owners' meetings to see if renovations are planned or have been put on hold. A look at some annual accounts and the economic plans of the last five to ten years will help to identify possible gaps in the community budget.
If you want to rent out your condominium, you have to find your way around the rental law after the successful purchase of the apartment. This includes a waterproof rental agreement with the declaration of how the ancillary costs are properly calculated and transferred to the tenant, as well as the rights and obligations of the tenant. Anyone who buys in areas where the rental price brake applies must take into account the local rent level when setting the rent.
Building law: Legal tips for builders
To build one’s home stone by stone: what sounds quite manageable means a lot of bureaucracy for builders. The number one challenge is the planning scheme. It regulates what can be built on the property. In addition, builders must be very familiar with their Land Building Code, report the start of construction correctly and submit further applications. In the case of new construction as well as expansion construction, they should, among other things, take care to comply with the prescribed distance areas to the neighbouring house. At the latest, when the house is built, the question arises: did the construction company or the craftsman deliver what was agreed in the construction contract? For the construction acceptance, therefore, an acceptance protocol should be prepared in any case.
