
Selling a condominium – what owners need to know
In most cases, owners of condominiums can decide for themselves to whom they sell their property. However, if there is a fixed restriction on sale, this can be difficult.
What is a restriction on sale?
The restriction on sale is enshrined in the German Condominium Act (WEG) and applies if it is entered in the land register. If a seller is affected by this provision, the apartment may not be sold without the consent of the owners' association or a property manager.
Influence on the sale
Just because a neighbor is not happy with the new resident does not mean that the sale will fail. There are three ways in which the sale can be influenced in the event of a restriction on sale. Either the entire community of owners decides on the sale of the apartment, or a majority decision is taken. The third option is that the property manager alone decides whether the apartment will be sold to the new potential buyer.
When can a buyer be rejected?
In principle, however, not every prospective buyer can be rejected. There must be a valid reason for rejection. Valid reasons for rejection include:
- the buyer will not be able to contribute sufficiently to the community obligations
- the intended use of the apartment violates the declaration of division
- The character of the residential complex will be disrupted
In general, a rejection may be justified either on the basis of the buyer's character or the intended use of the apartment.
Inform and avoid conflicts
To avoid conflicts, sellers should always clarify in advance whether there is a restriction on sale in the land register and, if so, how this is regulated in the community of owners. If disagreements nevertheless arise, the matter can be settled through legal channels. To avoid such disputes, it is advisable for owners to contact a real estate agent.
Would you like to sell your apartment and need assistance? Then get in touch! We will be happy to advise you.
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Notes
For reasons of better readability, the generic masculine form is used in this text. Female and other gender identities are expressly included insofar as this is necessary for the statement.
Legal notice: This article does not constitute tax or legal advice in individual cases. Please consult a lawyer and/or tax advisor to clarify the facts of your specific case.
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