FAQ for sellers

For an initial orientation, online valuation tools offer a quick assessment based on statistical comparative values and location factors. However, these algorithms only provide a rough framework. There are often deviations from the real value of 10-30%. In the case of special locations and exclusive properties, the actual value can deviate by more than 50%. A detailed property analysis by an experienced estate agent or an expert is essential for a market-driven valuation, as this is the only way to appreciate individual features, the special nature of a property, its state of preservation, high-quality modernizations or legal details in the land register.

A professional valuation or a well-founded market value analysis also takes into account the current competitive situation in the area. This involves checking which similar properties are currently being offered at which prices and which deals have actually been concluded. The market expertise of a real estate agent can be a decisive advantage for the seller. The aim is to define an offer price that fully exploits the potential of the property on the one hand and enables prompt marketing without unnecessary price reductions on the other.

The market value of a property is not a static figure, but the result of a complex analysis of various value-influencing factors. These can be roughly divided into three categories, which are weighted in every professional valuation procedure (asset value, income value or comparative value procedure).

The decisive factors include

• Location: This is the most important factor. A distinction is made between the macro-location (region, city, infrastructure, economic strength of the surrounding area) and the micro-location (immediate neighborhood, noise pollution, view, exposure to the sky).
• Condition and substance: This includes the year of construction, the energy efficiency (insulation, heating technology, windows), the maintenance backlog and the quality of the building materials used. Modernization work carried out in the last 10 to 15 years increases the value of the property.
• Features: Features such as fitted kitchens, high-quality floor coverings, smart home systems, elevators or the number and design of bathrooms are included in the valuation.
• The plot and the legal framework: These include the size of the plot, the floor area ratio (GFZ), building encumbrances in the land register as well as possible monument protection requirements or rights of way.

The current market environment also plays a decisive role: the relationship between supply and demand and the current interest rate level have a massive influence on the price that can actually be realized on the market in the end.

If you want to sell your property in Munich, you are faced with an important decision: private sale or estate agent? Both methods have advantages and disadvantages. The decisive factors are your available time, your expertise and your experience in selling real estate.

A private sale may seem attractive at first, as there is no estate agent's commission. However, it involves a considerable amount of work: you have to determine the right selling price, compile documents, create high-quality photos and exposés, process inquiries and coordinate viewings. Price negotiations and legal issues are also entirely your responsibility and this is where costly mistakes can easily happen.

An experienced real estate agent takes on all these tasks professionally. They know the local market inside out, have vetted potential buyers at their disposal and usually achieve significantly higher sales prices thanks to sound valuations and targeted marketing. In addition, they conduct price negotiations objectively and without emotional attachment. This is a clear advantage when it comes to maximizing your sales proceeds.

Precisely because the sale of a property is often one of the biggest financial decisions in life, many owners opt for the support of an estate agent in order to save time, avoid risks and achieve the optimum price.

A real estate agent offers much more than just brokerage. As your strategic partner, they will guide you through the entire sales process. Thanks to their market knowledge, they can accurately determine the realistic sales price and often achieve 10-15% higher proceeds than private sellers.

He takes on all tasks from the very first step: creating professional exposés, obtaining all documents, online marketing on well-known portals and organizing viewings. He also checks the creditworthiness of potential buyers and thus ensures a legally compliant and stress-free sales process.

Even in special situations, such as communities of heirs, divorces or complex ownership structures, the estate agent is a neutral intermediary who convinces with experience and sensitivity. Not only will you achieve the best price, but you will also avoid legal pitfalls and unnecessary delays.

So if you want to sell your apartment or house in Munich and value professionalism, legal security and the best possible selling price, an experienced estate agent is the best choice.

The time it takes to sell depends heavily on the location, pricing and market situation. In a sought-after location, a well-priced or correctly priced apartment can find a buyer within a few weeks. However, in less sought-after residential areas, if the asking price is too high, energy values are poor, the overall condition is unfavorable, house fees are too high, etc., the sales process can take several months or longer. The provision of all sales documents is very important in the sales preparation phase.

After the property photos and exposé have been prepared, the average time between the first advertisement and notarization is around three to six months. This includes viewings, price negotiations, the buyer's financial check and the preparation of the purchase contract. In addition, it should be taken into account that after the notary appointment it usually takes another four to six weeks until the purchase price is due. In total, it can therefore be assumed that it will take around four to eight months for the sale to be completed.

Before we can start with the actual sale, we first need the signed brokerage agreement including the revocation and data protection declaration as well as your identification data. We then require the following documents for the property: current extract from the land register, building description, site plan, energy certificate, floor plans and insurance documents for the building. In the case of condominiums, the last three valid minutes of the owners' meetings, the business plan, the last annual statement and the declaration of division including addenda are also required. In the case of a rented property, we also need the tenancy agreement and the tenants' contact details.

Our photo department will then take professional photos and videos on site. If necessary, our interior design department can also be called in to make the property even more welcoming.
If you have any questions about repairs, renovations and modernizations, our Technical Service will be happy to assist you.

Complete property documentation is a prerequisite for a swift financing commitment from the buyer's bank. The most important documents include a current extract from the land register (max. three months old), the cadastral map and the legally required energy performance certificate, floor plans, a current, confirmed living space calculation, building insurance. In the case of houses, construction plans and proof of modernizations carried out in recent years must also be submitted in order to document the condition transparently.

When selling a condominium, the declaration of division, partition plan, the last three minutes of the owners' meeting and the current economic plan are also required. Compiling these documents at an early stage prevents delays in the sales process and creates confidence among potential buyers.

In the case of a broker commission, the property owner undertakes not to commission another broker to market their property for a fixed period of time. In return, the estate agent is obliged to drive forward the sales efforts intensively and in a targeted manner - for example through targeted marketing measures, the creation of a high-quality exposé and the organization of viewings.

This exclusivity protects the property from being "burned" by multiple placements on the market, which can often lead to a drop in price.

The qualified exclusive mandate is particularly relevant: here, the parties also agree that the owner's own sales efforts are restricted in that the owner must refer all direct interested parties to the estate agent. This guarantees the estate agent a commission in the event of success and the seller professional handling from a single source.

Without such an agreement (in the case of a so-called simple mandate), there is often less incentive for the estate agent to make advance payments, as the conclusion of the sale is not secured by third parties.

Cleanliness and tidiness as well as a pleasant indoor climate are important for an optimal presentation of your property. Our real estate consultants organize the viewing appointments with prospective buyers in consultation with you or your tenants.

When a purchase decision is made, we require proof of equity or a financing confirmation from a financial institution from the prospective buyer. Then all the details for the draft purchase agreement can be discussed and both parties sign a reservation confirmation with the declaration of consent for the notary's liability for costs.

The notary then receives a detailed list from us of everything that should be included in the purchase contract, including the inventory list for furnished properties. Based on many years of good business relationships, we then suggest a suitable notary's office to buyers and sellers or we select a notary's office requested by the buyer or seller and arrange a notary's appointment.

There is then time to obtain all the necessary documents before the notarization appointment, which our real estate consultants will always accompany you to.

For you as the seller, securing payment of the purchase price while at the same time excluding liability is the most important objective in the purchase contract. As properties are usually sold "as seen", the contract should contain a comprehensive exclusion of liability for material defects.

This protects you from being held liable at a later date for defects of which you were unaware. The only exception to this is fraudulent concealment of material defects of which you were aware.

It is also important to ensure that the payment arrangements are legally compliant. The notary ensures that the purchase price does not have to be paid until all requirements (e.g. entry of the priority notice of conveyance for the buyer) have been met by means of the so-called due date notice.

Make sure that the economic transfer - i.e. the time from which the buyer benefits from the property, but also bears the burdens (property tax, operating costs) - only takes place after the purchase price has been received in full.

When selling an existing property, a comprehensive exclusion of liability for material defects is usually agreed in the purchase contract ("purchased as seen"). This means that the seller is not liable for defects that occur after the handover or that the buyer could have noticed during the inspection. However, this exemption from liability does not apply to defects for which the seller has given an explicit guarantee or which he has fraudulently concealed from the buyer.

Liability is massively increased in the case of so-called fraudulently concealed defects. These are significant defects (e.g. hidden mold, structural problems or missing building permits) that were known to the seller but were deliberately not disclosed to the buyer. In such a case, the buyer can reduce the purchase price, claim compensation or, in extreme cases, even force the seller to withdraw from the purchase contract, as an exclusion of liability for fraudulent intent is legally invalid.

The costs for the notarization of the purchase contract, i.e. the notary, are usually paid by the buyers. They also bear the costs for the entry of the priority notice of conveyance and the conveyance in the land register and for official approvals.

Sellers bear the costs for deletions from the land register, if necessary.

The current commission regulations in Germany stipulate that the commission for buyers and sellers must be the same for apartments and single-family houses if the estate agent acts 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.

When selling a property privately, speculation tax must primarily be taken into account if the statutory holding periods are exceeded.

In principle, the capital gain is subject to income tax if the period between purchase and sale is less than ten years. An exception applies in the case of owner-occupation: if you lived in the property yourself in the year of the sale and in the two preceding calendar years, the tax liability does not apply within the ten-year period.

It is advisable to consult a tax advisor to avoid making a mistake when selling. The "three-property limit" can also be relevant if you sell more than three properties within 5 years. It could be considered commercial property trading by the tax office with tax consequences.

As a rule, land transfer tax is borne by the buyer, so that you as the seller will not incur any other transfer taxes in addition to the potential income tax on the profit. It is therefore advisable to check your personal tax situation at an early stage in order to calculate the net proceeds accurately.

The property handover always takes place under the current hygiene regulations and all keys and property documents must be handed over. All meter readings such as electricity, water, gas etc. must be listed in a joint protocol. At the request of the parties involved, an interim meter reading can be agreed, which buyers generally have to pay for and the seller has to agree to, or the property management company can settle pro rata temporis. The protocol must be signed by both parties and the energy suppliers must then be informed.

We will prepare a handover protocol for you in advance to ensure that everything runs smoothly. We can also carry out the handover together with you.

With Mr. Lodge, you will receive a transparent commission structure and we will keep you informed of every step we take.

The current commission regulations in Germany stipulate that buyers and sellers of apartments and single-family homes must pay the same amount of commission if the estate agent works 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 acts 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.

Our experienced furnishing consultants and interior designers will ensure the perfect presentation of your property for sale on request and by arrangement. We can temporarily add furniture and accessories to unfurnished properties or optimize your existing furnishings by repositioning them. We design wall colors and lighting accents and decorate for the perfect photo presentation.

If a property is getting on in years, targeted renovation and modernization measures contribute to an increase in value. Mr. Lodge performs many trades with its own specialists and technicians. In addition, our team commissions, organizes and coordinates selected and reliable specialist companies. You can find a brief overview of costs here.

High-quality photos and videos are essential for the optimal presentation and successful marketing of your property. Photos and videos of the properties for sale are therefore taken by Mr. Lodge's specialists using the latest professional photo and video equipment. For this reason, photos and videos of the sellers can unfortunately not be used.

The recordings are part of Mr. Lodge's service package and are free of charge for our sales customers. Further information can be found here.

If your property is still occupied, personal items should be removed and the property should be presented as neutrally as possible. Please also note that your property should appear inviting. If it is an empty property, we recommend illustrating it with home staging. Our interior design team will be happy to help you with this. You can find more information here.