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You have some freedom in setting your rental price, but there are key regulations to follow: ✏️ Mietpreisbremse (Rent Control): For new leases, if your rent exceeds the local average by more than 10%, tenants can reclaim overpaid rent. ✏️ Mietwucher (Rent Usury): Charging over 50% above the local average and exploiting tenant's situations is illegal and can lead to fines or imprisonment of up to three years. ✏️ Financial Implications of Low Rent: Renting below 65% of the local average might trigger a tax audit to review any benefits claimed. ❗️The regulations also apply to furnished or partly furnished properties❗️ ✏️ Mietpreisbremse: This applies to furnished and partly furnished apartments if rented long-term. Short-term leases may have different rules. ✏️ Furniture Premium: Landlords can add a fair and transparent premium for furnished rentals. ✏️ Self-Used Spaces: Specific rules apply if renting out part of a self-occupied home. These spaces are included only if rented furnished. ✏️ Tax Considerations: Both furnished and partly furnished rentals are subject to the same tax regulations as other rental income. Did you were aware of these rules when it comes to setting your rental price for your tenants? 🤔 #GermanRealEstate #PropertyBuyersGermany #FurnishedApartments #RealEstateLawGermany #RentingInGermany

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Let us share with you one of the topics our client was confronted with last week. 🏡✨ Our client, an owner of a multi-family house, faced a challenging situation when one of the co-owners insisted on forcing a renovation to maintain the property's value and safety. Here's how we approached the situation: Conducted a thorough inspection: We assessed the building's condition to identify urgent maintenance needs. 🔍🔧 Organized a homeowners' meeting: Facilitated a discussion among all owners to outline the necessary renovation measures and their benefits. 🗣️👥 Provided a detailed cost analysis: Ensured transparency by presenting a clear breakdown of the renovation costs and each owner's financial responsibility. 💸📊 Ensured decision-making capability: Made sure the meeting was capable of making decisions by securing the required presence or representation of owners. ✅🗳️ Recommended reliable contractors: Helped the owners choose reputable service providers to ensure quality work. 🏗️👍 Discussed legal considerations: Explained the implications of the WEG reform 2020, which allows more flexibility in decision-making without a property manager. 📜⚖️ By addressing these key points, we successfully guided our client through the renovation process, ensuring all owners were on board and the property was well-maintained. 🏢💪 💬 Comment below if you have faced a situation where one owner of a multi-family house wanted to force a renovation. How did you handle this situation? We'd love to hear your experiences! 👇👇 #PropertyManagement #RealEstate #Renovation #MultiFamilyHomes #ClientExperience #HomeMaintenance #PropertyInvestment #WEGReform #RealEstateTips

A land register is a central document for every real estate buyer. It contains important information that helps you make informed decisions. Here is an overview: Owner Information: Find out who the current legal owner of the property or real estate is. 🏠👤 Rights and Encumbrances: The land register provides information about easements, usage rights, residential rights, and encumbrances such as mortgages and land charges. 💼📜 Plot Number and Size: Each property is identified by a unique plot number and its size. 🏢📏 Building Obligations and Restrictions: Here you can find information about public-law obligations and restrictions, such as building bans or monument protection. 🏛️🚫 Historical Entries: Previous owners and changes made over time are also recorded. 📜🔙 A land register is divided into three main sections: Section I: This section contains owner information, including all past and current owners of the property. It is crucial to check this section to ensure the seller is the legal owner. Section II: This section records all burdens and restrictions on the property, such as easements, residential rights, and other servitudes. Buyers should read this section thoroughly to discover hidden obligations. Section III: This section lists all mortgages and land charges. This information is essential for financial planning and ensuring there are no unpaid mortgages on the property. Checking the land register is essential to avoid hidden risks and secure your investment. 🌟 Get in touch for more information about our current listings. ☎️ #RealEstate #LandRegister #PropertyPurchase #Investing #Law #Security #RealEstateMarket

👉 Do you know that obtaining the Land Register in your name can take years in Germany? It's a frustrating reality for many, especially when institutions demand proof of ownership promptly, particularly if you've secured a bank loan. Imagine the scenario: one of our investors found himself in this exact situation. He assumed the property register would arrive automatically, not realizing the complexities involved in acquiring this crucial document. During a recent SkyscraperBuilder call, he asked me urgently, "Where can I obtain the property register in my name? My bank requires proof of ownership." Navigating this process can be daunting. Typically, your first point of contact is the "Grundbuchamt," though sometimes referrals to the "Amtsgericht" are necessary, depending on your city. If your property is officially registered and you need an updated copy, you can order it online. In our investor's case, obtaining an updated register involved engaging directly with the "Amtsgericht" to ensure both he and his bank received the necessary documentation. This journey underscores the importance of understanding and navigating Germany's Land Register process effectively. #grundbuchamt #grundbuch #propertyregistration #realestate #ownership #investor #landregister

🤔 Are you checking these three directories when you buy a property? ✅ Property Register (Grundbuch) ✅ Land Registry (Liegenschaftskataster) ✅ Building Records (Bauakte) Write in the comments which "Yes" if you always check all three before buying a property. 👇 #property #germanmarket #buyers #realestate #investors #duediligence

CMV Challenges Fixed KPI Mindsets The evaluation of a property by an investor can be significantly different from that of an appraiser, depending on the individual risk tolerance, return expectations, and specific investment strategy of the investor. Real Estate Appraisers: They meticulously analyze objective criteria like location, condition, amenities, and encumbrances to determine market value. Their aim? Providing a neutral and realistic appraisal, crucial for making informed decisions. #AppraisalInsights #RealEstateValuation 📊 Investors: Their focus extends beyond the numbers. While market value is important, they prioritize expected returns and personal investment goals. Subjective factors like risk tolerance and preferences also influence their decisions. #InvestmentStrategies #ROI 📈 Whether you're a seasoned investor or just getting started, understanding this difference improves your appearance with experts from the real estate industry. Plus it’s a game changer for your negotiations as a seller and as a buyer. What aspects are critical for your CMV evaluation? Comment on your experience below. #CMV #RealEstateInvestment #PropertyEvaluation #BusinessCasual

When it comes to financing your next property, would you choose a higher initial down payment to secure lower monthly payments, or opt for a smaller down payment with higher monthly payments? Each option has its benefits and drawbacks. 💸🔑 Share your thoughts and experiences! Let's discuss what works best for different investment strategies. #RealEstate #InvestmentTips #PropertyInvestment #Finance #RealEstateInvesting #InvestmentStrategy #MortgageTips

Thank you for coming back with this question: Can Property Tax Can Be Passed On To Tenants? Yes, property tax can be transferred to tenants as part of the operating expenses. This is regulated by §2 Nr. 1 of the Operating Costs Ordinance (BetrKV), which states that landlords can include certain costs, including property tax, in the service charge statement. Keep The Key Conditions In Mind: Lease Agreement: It must be explicitly stated in the lease agreement that the property tax is part of the operating costs to be covered by the tenant. Full Occupancy: If the property is fully rented out, the property tax can be completely passed on to the tenants. Service Charge Statement: The property tax must be correctly listed in the annual service charge statement. By following these guidelines, landlords can ensure they are not solely responsible for the property tax, distributing these costs fairly among tenants. Did you the property tax to your tenants? #RealEstate #PropertyInvestment #LandlordTips #PropertyManagement #RealEstateInvesting #TenantCosts

What costs must landlords cover themselves? Let's break it down! Here's a handy list of expenses that cannot be passed on to tenants: Development Costs for New Roads, Paths, and Plazas - These expenses cannot be transferred to your tenants. Maintenance and Repairs - Costs related to the upkeep and repair of the property are non-recoverable. Administrative Costs - Expenses incurred for property management cannot be passed on to tenants. Insurance Costs - Insurance premiums for the property are non-recoverable. Vacancy Costs - Expenses resulting from vacant units must be borne by the landlord. Maintenance Reserves - Setting aside funds for future maintenance is considered a non-recoverable expense and should not appear in the operating cost statement. By understanding these non-recoverable costs, you can better manage your real estate investments and maintain transparent relationships with your tenants. Did you know all of the above? #RealEstate #PropertyManagement #InvestmentTips #RealEstateInvesting #PropertyExpenses #TenantManagement #RealEstateStrategy #PropertyInvesting