FAQ's for buyers

No, there are several factors involved in determining the value of a property, such as the rentability of the property or the current rental price, the condition of the property and the issue of renovation also plays a decisive role. Renovation backlogs reduce the value of the property. Relevant advice and a professional value assessment are therefore required. If these differences in quality are also taken into account, a new build can be around 10 % more expensive than an existing property, as buyers also acquire a great deal of design freedom. Listed old buildings, on the other hand, can sometimes be more expensive than new build properties. These offer tax advantages, but may be subject to conditions imposed by the authorities.

The exact amount of equity to be contributed depends on the assets and income of the potential buyer as well as the location of the property. As a rule, between 20% and 30% of the purchase price is required as equity in order to cover the 8-10% incidental acquisition costs. Lower equity ratios are possible depending on the buyer's income and other assets, but usually mean an interest premium. Bank lending depends on the creditworthiness of the borrower and their collateral. If the loan-to-value ratio is below 60%, the financing costs are the most favorable.

The term "leasehold" refers to a right equivalent to real property that is created in a separate "leasehold land register".

A plot of land can be leased as a "heritable building right" for a fixed period of 60 to 99 years in return for a monthly ground rent. However, ownership of the property remains with the leaseholder during this period. The leaseholders generally have the right to build on and use the property during the term of the contract. The leasehold can be sold by the leaseholders during this time, but this requires the consent of the leaseholders.

At the end of the leasehold contract, the property reverts to the leaseholders or is extended. In the case of residential properties, compensation is often paid to the leaseholders for the material value of the buildings (often referred to as the common value). The leasehold contract stipulates what the leaseholders still have to pay at the end of the lease.

Land and rights equivalent to land (e.g. heritable building rights) are a delimited part of the earth's surface (Section 905 BGB) and are registered in the land register. The land register is an official, conditionally public register of properties in which, for example, the ownership structure and any rights associated with the property as well as any encumbrances on it are recorded. According to § 3 GBO, each plot of land has its own place in the land register (land register page). Read more about the Munich Land Registry here.

Section 8 of the German Condominium Act (WEG) regulates the declaration of division. A declaration of division is drawn up for a divided property and all essential rights and obligations of the co-owners are established in it.

Original owners of a property can divide a building into co-ownership shares in the property so that each share is associated with the special ownership of a specific apartment or non-residential rooms.

It is also regulated which parts of the building are owned separately or used as common property. In addition, special rights of use (e.g. to garden areas) can be assigned to certain units and community rules can be issued. The declaration of division must be notarized. Before the land register sheets are created, the partition plan of the building must be checked by the responsible approval authority (§ 7 WEG) and the closed nature of the property confirmed.

We prepare the notarized purchase contract for you in cooperation with the notary's office. We assist both sellers and buyers so that all contract details can be settled to the satisfaction of both parties. You will of course be accompanied by us to the notary appointment. We are also there for you after the notarization of the purchase contract and - if desired - carry out the handover of the apartment or house.

Every purchase of land or real estate in Germany is taxed with a real estate transfer tax. The amount varies from state to state and is currently 3.5% of the purchase price in Bavaria. Notary fees of around 1.0% to 1.5% of the purchase price are incurred for the notarization of the purchase contract and the possible entry of a land charge in the land register.

In addition, there is the estate agent's commission, any processing fees for the bank when financing a property or commitment interest to be calculated.

The current commission regulations in Germany stipulate that the commission for buyers and sellers of apartments and single-family homes must be the same if the estate agent is working for both parties and the buyers are consumers. For other types of real estate (multi-family houses, land, commercial units) or if the estate agent works exclusively for the seller (so-called "pure internal commission"), or if the buyers are not consumers, the exact structure of the commission is still not prescribed by law and can therefore be freely agreed on the market.

You can view all our properties online in advance at any time. You will find high-quality photos and videos of the property, the surrounding area and additional detailed information for each property. Please let the relevant real estate consultant know if you would like to view the property. If the apartment is still rented, the appointment will be arranged with the current tenant. If the apartment is already vacant, flexible appointments are usually possible.

You will find the respective percentage for the commission to be paid by buyers in our exposés. This is calculated from the notarized purchase price when a notarized purchase contract is concluded.

The current commission regulation in Germany states that buyers and sellers of apartments and detached houses must pay the same amount of commission if the estate agent acts for both parties and the buyers are consumers. In these cases, the commission at Mr. Lodge is usually 2.5% plus 19% VAT (= 2.975% incl. VAT).
For other types of property (multi-family houses, land, commercial units), or if the estate agent works exclusively for the seller (so-called "pure internal commission", i.e. no brokerage contract with the buyers), or if the buyers are not consumers, the commission is still not prescribed by law and can therefore be freely agreed on the market.

If you have found a suitable offer on our website, please contact us via the "Enquiries" button. Your real estate consultant will then get in touch with you as soon as possible to discuss the next steps. We will be happy to organize a viewing appointment on site. Alternatively, you can also call us. The office is open Monday to Friday from 9 am to 6 pm. We look forward to hearing from you!

If you have purchased your property through us, we offer you the opportunity to let it as a furnished apartment to international tenants - efficiently, flexibly and fully managed. Our letting strategy ensures a high occupancy rate and stable rental income, while we take over the complete management. This turns your property into a high-yield investment with minimal effort.