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The new real estate brokerage law: what's changing?

On December 23, 2020, a new law regulating brokerage fees will come into effect. It essentially contains uniform regulations for the whole of Germany on how brokerage commissions are to be divided between sellers and buyers. In future, both parties will pay half of the commission.

In some regions, the equal division of commission was already common practice, but in major cities such as Cologne, Hamburg, and Berlin, it was usually only the buyers who paid. The new law now completely abolishes this so-called external commission, at least for residential properties. this is intended to prevent brokerage fees from being passed on to the buyer alone. The primary aim of the legislation is to reduce the ancillary costs for buyers of residential properties for their own use. The trade in rental properties, commercial real estate, building plots, logistics or office space is not affected by the new brokerage law. The new regulation only applies to the sale of an apartment or a single-family home to owner-occupiers.

Internal commission

The only permissible exception to a parity model will continue to be an internal commission, whereby the broker's fees are paid in full by the seller. In this case, the broker is fully committed to his client. This model may well be advantageous for sellers in certain circumstances, as the broker is no longer bound by his role as a neutral intermediary. This means that he can, for example, work unreservedly in the interests of his client during purchase price negotiations.

What else does the law say?

The new law also makes it mandatory to document the agreed brokerage services in writing in all cases. Verbal agreements between real estate sellers and brokers are therefore no longer valid. The agreements made must be recorded in writing. The new law does not contain any provisions on the specific amount of the brokerage commission. This will therefore continue to be freely negotiated and set out in the brokerage contract. This has the advantage of transparency for all parties involved, as it allows the buyer to verify the commission negotiated between the seller and the broker from the outset.

Why is it worth selling with a broker right now?

It may be that the new legislation will tempt some sellers to sell on their own and forego the services of a broker. However, this is still not a good idea, as long-standing market knowledge and experience are the decisive factors for success in all phases of real estate sales. The added value of a real estate professional who supports the seller with their experience and expertise from the property valuation to the conclusion of the purchase agreement will remain unchallenged in the future. Selling on your own, without professional support, is not only possible with a very high investment of time and effort, but also involves a much higher risk that the desired sale will either not happen at all or that the sale price achieved will fall far short of the market potential.

Are you looking for someone to provide professional support in selling your property? Contact us! We will be happy to advise you.

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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.

Photo: © Wavebreakmedia/Depositphotos.com

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Sustainability in the real estate sector: support programs and benefits for owners

Sustainability is no longer just a buzzword, but plays a central role in the real estate sector. Owners who focus on energy-efficient construction, resource-saving modernization, or sustainable management of their properties today benefit in several ways: through government subsidy programs, long-term cost savings, and a significant increase in the value of their property. In the Olpe district and neighboring regions in particular, the requirements for sustainable standards are rising—and with them the demand for modern, future-proof properties. Whether KfW promotional loans for energy-efficient renovation, subsidies for photovoltaic systems, or special incentives from the federal states: it is worthwhile for owners to invest specifically in sustainable measures. In addition to reducing ongoing operating costs, such investments significantly increase the attractiveness of properties for buyers and tenants. Better rentability, higher return prospects, and a greater sense of security with regard to upcoming legal regulations are convincing arguments for more sustainability in real estate portfolios. Those who look into funding opportunities and sustainable concepts early on create real added value for themselves and future generations.

The role of the real estate agent in the modern real estate market: A guide

Real estate agents play a key role in the modern real estate market, combining expertise with interpersonal communication skills. When you decide to buy or sell a home, the support of an experienced agent can make the difference between a successful and a discouraging process. Not only do they know the market and help you find the right price, they also offer emotional support and legal security. A good real estate agent not only has extensive knowledge of local market trends, but also has a wide network of contacts ranging from tradespeople to financial advisors. Garcia & Co Immobilien GmbH places particular emphasis on strategic advice and individual support to ensure that every real estate transaction is a tailor-made success. Trust, transparency, and commitment make all the difference. Make your next real estate purchase or sale stress-free, efficient, and profitable by relying on the expertise of a professional real estate agent.

Current trends in the real estate market in 2025: What buyers and sellers should know

The real estate market in 2025 is facing dynamic changes that will have a significant impact on both buyers and sellers. One key trend is the increased use of digitalization in real estate, from virtual viewings to data-based price analyses. These technologies enable potential buyers to make informed decisions and offer sellers forward-looking marketing strategies. Demand for environmentally friendly and energy-efficient properties is also growing rapidly. Modern buyers value low emissions and sustainable construction, which has a significant impact on property values. Another trend is the urbanization of smaller cities, as more and more people are moving from large cities to smaller communities to benefit from a higher quality of life and lower prices. This development opens up opportunities for sellers who invest early in up-and-coming regions. At the same time, this means that buyers should consider more options outside the traditional "hotspots" in major cities. In summary, knowledge of these trends and their implications for the buying and selling process can have a decisive impact. It is now more important than ever for buyers and sellers to closely monitor the market and position themselves accordingly.

Why a real estate agent will be indispensable in 2025: advantages and added value

At a time when the real estate market is more complex and dynamic than ever, real estate agents will remain an indispensable partner for anyone looking to sell or rent their property in 2025. Real estate agents not only offer valuable support in pricing and strategically approaching buyers, but also act as expert advisors throughout the entire sales process. A real estate agent brings more than just experience to the table. They provide a comprehensive market analysis that helps to achieve the best possible sale price. With a deep understanding of regional conditions, agents are able to identify and avoid potential pitfalls at an early stage. At the same time, they offer emotional support and relief by taking care of formalities and negotiations. This is particularly valuable at times when real estate transactions are often more than just business, but also involve emotional decisions.

The most important steps to successfully sell a house

Selling a house requires much more than just putting a "for sale" sign in the front yard. Strategic preparation is essential to achieve the best possible sale price and find the right buyer in a timely manner. Determining the market value is the first important step. A well-founded property valuation ensures that you neither underestimate nor overestimate the value, which could deter potential buyers. Experts such as those at Garcia & Co Immobilien GmbH offer many years of experience and precise analyses. Once the value of the property has been determined, effective presentation is crucial. An attractively designed brochure, supplemented by professional photographs, highlights the best features of your property. Consider carrying out minor renovations if necessary to increase its appeal. Well-maintained properties with attention to detail are more likely to attract interested parties and can have an emotional impact on those looking for a new home. Finally, you should prepare for negotiations so that you can respond to the expectations of interested parties. Openness and transparency play a major role here, because trust is an invaluable advantage when selling a house.

Top tips for successfully selling residential properties

Selling a residential property is often one of the most important decisions in a homeowner's life. Achieving the best possible price requires a well thought-out and strategic approach. First, a precise market analysis is essential. This allows you to estimate the current value of the property and skillfully use this information in price negotiations. A reliable property valuation not only builds trust with potential buyers, but also forms the foundation for all further sales strategies. Another important aspect is a high-quality property listing. Professional photos and a detailed description can be decisive in attracting the interest of the target group. In the digital age, a compelling online presentation of your property is essential. Platforms with a wide reach and a targeted approach increase visibility and maximize the chances of achieving the best possible price. Each of these steps requires careful planning and execution to ensure that the sales process is not only successful but also runs smoothly.

Selling your home made easy: The most effective strategies for 2025

The housing market in 2025 is dynamic and full of challenges. If you want to sell your home, it is important to know the right strategies to get the best price. Understandably, owners want to make the sales process as stress-free as possible. From a thorough market analysis to a professional listing, there are a few steps that are essential to ensure the sales process runs efficiently and successfully. A precise market analysis serves as the basis for determining the optimal selling price for your home. It is advisable to draw on the expertise of experienced real estate agents such as Garcia & Co Immobilien GmbH. They not only offer in-depth knowledge of local market conditions, but also a tailor-made marketing strategy that perfectly appeals to potential buyers. Transparent communication and honest advice are crucial factors in building trust. Let a strong network of local experts support you in selling your property profitably.

How to get the best deal for your home – a guide for sellers

Selling an apartment can be a challenging task for many owners. To get the best offer for your property, it is crucial to approach the process strategically and well prepared. The first step to a successful sale is a realistic assessment of your apartment's market value. A thorough market analysis is essential for this. It not only provides insight into current price trends, but also helps you develop an attractive and market-driven asking price. Another important aspect is the presentation of your property. A well-maintained appearance and professional photographs can make all the difference. Use online platforms and social media effectively to showcase your home to a wide audience. It is important to address the right target groups, whether they are young families, professionals, or investors. Focus on a targeted approach that highlights the advantages of your property. If you follow these tips, you will create the best conditions for finding the ideal buyer and securing the maximum return on your sale.

Why 360-degree tours are worthwhile when selling real estate

The way real estate is presented and sold has changed dramatically. What used to have to be done in person on site can now be done with virtual 360-degree tours. Here you can find out what advantages sellers have, apart from the fact that interested parties can view the property online.

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