Buying a house without realtor

47 posts in this topic

Prices have gone up in all the desirable places in Oberbayern, city and land. I’d think that a trend towards home office makes people want bigger homes in nice places not too far away from the workplace and from the city, i.e suburbs with a lot of green and close to the lakes and the mountains. The problem is that the prices there, while lower than in Munich, are not considerably lower. My parents in law are from the Weilheim-Schongau area, a new single family home can easily be €800,000 or more there and in my opinion for that money represents a worse deal than a more expensive house in Munich (I realize that many don’t have a choice).
 

A home is a huge purchase and it’s not hard for people to realize that the pandemic will be a thing of the past in one year or two and plan accordingly. The cultural and social disadvantages of living in the middle of nowhere have not suddenly gone away.

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Yeah, the house prices are eye watering (I'm in the Stuttgart area). At least compared to the US the interest rates and property taxes are very low. In the US we might pay $6.000 per year property tax on a $300.000 house but here it's like 500€ on a 500.000€ house. So at least much more of the payments go to building equity instead of just flushing it to the banks and tax collector.

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1 hour ago, AlexCLE said:

At least compared to the US the ... property taxes are very low.

 

so true !!!

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In my limited experience of the German property market, it seems that at least advertising the property properly through the Makler/in opens up the house sale to the 'free' market. My wife and I moved to a new (nearby) town in 2012 and wanted to buy a house. Even then, there was a shortage of modest family houses on the market (compared to what I was used to in Ireland). In the subsequent years, I know why - so many private sales. Family, friends of the family, colleagues all seem to get first bite of the cherry. I'm not so naive to think the same doesn't happen in Ireland or the UK. It just seems there, you can make a generous offer on an advertised house and see if money talks. In Germany (again, in my limited experience), you often don't even get the opportunity to know the house was for sale.

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Deutsche Bank is telling me that my wife cannot be on the house loan because she does not have an unlimited residency. This is ok, I guess, because I can still get the loan under just my name, but will it be possible to still get her name on the Grundbucheintrag? Must the name(s) match what is on the Kaufvertrag? If we add her name later, once she gets permanent residency, do we have to pay the full 0,5% Grundbuch cost again?

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There are no residency requirements for property ownership, so she can be included in the contract of sale and the Grundbuch even if she isn't a party to the loan.

 

IIRC the lien entry for the loan in the Grundbuch only mentions the bank and the amount, but no names, so that won't be a problem either.

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Be aware of friendly Realtors introducing you to an advertised property you can find yourself online and expecting a fee for the reading skills. I have also noticed a few asking for proof of you having the deposit and income quoting German law requirements re money laundering.  If I did require one I would stay away from an agent like that. So that is half of your interested buyers walking away. I feel the information is private and the banks and  tax office are welcome to look all they want, but not a Realtor just so I can view a property. 

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On 11.1.2021, 13:11:13, HH_Sailor said:
  1. Chances are, you're buying the largest single investment of your life (so far).

 

I would claim that a wife is the largest single investment of your life   :D

 

That logically leads towards the house purchase...

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30 minutes ago, HEM said:

 

I would claim that a wife is the largest single investment of your life   :D

What is the Return of Investment (ROI) so far?

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On 27.1.2021, 12:35:22, AlexCLE said:

Deutsche Bank is telling me that my wife cannot be on the house loan because she does not have an unlimited residency. This is ok, I guess, because I can still get the loan under just my name, but will it be possible to still get her name on the Grundbucheintrag? Must the name(s) match what is on the Kaufvertrag? If we add her name later, once she gets permanent residency, do we have to pay the full 0,5% Grundbuch cost again?

that's BS - you should find a different lender.

My husband (US-citizen, still far away from being eligible for "unlimited" residency) and I (dual national German/US-citizen) got a mortgage loan together, with both names on the loan contract. We are both on the purchase contract, and we are both listed (at 50% ownership each) in Grundbuch.

 

The sellers had listed their house through a real estate agent - so we really didn't have a choice whether or not we wanted to work with him. We believe the Makler did help our cause, though, because he had excellent connections to lenders. Without him we would not have been able to secure our 100% financing, simply because we wouldn't have known which bank would be able to meet our "special needs".

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2 hours ago, LukeSkywalker said:

What is the Return of Investment (ROI) so far?

well, statistically married men live 9 years longer thatn unmarried men.

 

Return on investment would be 9 years of life. But then, I can't guarantee about the quality of that life, so maybe it's not a profit?

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3 hours ago, HEM said:

 

I would claim that a wife is the largest single investment of your life   :D

 

That logically leads towards the house purchase...

 

Yes, this should be completely emphasized to every young man. The most important decision in your life will be who you marry. And wives are $$$$$$.

 

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3 hours ago, LukeSkywalker said:

What is the Return of Investment (ROI) so far?

That would be telling...

 

Just now, wien4ever said:

Yes, this should be completely emphasized to every young man. The most important decision in your life will be who you marry. And wives are $$$$$$.

Offspring also.

 

I recall some years ago being in a packed ICE on the way back from a "Breitensport" meeting of the Deutscher Aero Club together with my colleagues from Bremen & Hamburg.  The then Hamburg guy (was First Officer with LH) made some comment about "each child is a Klappi"  (Klappi = Klapptriebwerkler i.e. sailplane with auxilliary motor) which nowadays cost about 200 TEuro apiece.  By the time said child is through university he could be about right (he had 4 - kids not "Klappis").

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1 hour ago, wien4ever said:

 

Yes, this should be completely emphasized to every young man. The most important decision in your life will be who you marry. And wives are $$$$$$.

A woman easily spends €100K on shoes, bags and clothing in 40 years of married life. Just budget €200 per month :).

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Just now, LukeSkywalker said:

A woman easily spends €100K on shoes, bags and clothing in 40 years of married life. Just budget €200 per month :).

 

I am perfectly capable of paying for all my shoes, boots, bags, and clothing from my own paycheck. 

 

1 hour ago, wien4ever said:

 

Yes, this should be completely emphasized to every young man. The most important decision in your life will be who you marry. And wives are $$$$$$.

 

 

Alternatively you could support gender neutral pay scales and then advise young men of the advantage of marrying a woman who can pay her own way.

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3 hours ago, LukeSkywalker said:

A woman easily spends €100K on shoes, bags and clothing in 40 years of married life. Just budget €200 per month :).

Went over that budget recently!😂 ( Despite the sales/ discounts!)...

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8 hours ago, HEM said:

I would claim that a wife is the largest single investment of your life  

 

You know that goes both ways these days I hope. I know plenty of women who are supporting their husbands. 

 

To that I'll add that my Mama always told me "You can love a rich man as good as you can love a poor one."

 

Same goes for guys. ;)

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On 1/30/2021, 9:51:49, fraufruit said:

I know plenty of women who are supporting their husbands. 

 

Interesting... and where can one sign up for a sugar momma? Just asking for a friend!

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We didn't have any bad experiences with any Makler when buying a house and we met quite a few. I know that is an exception, but they do exist. One seemed a bit bored, but still answered a ton of questions without batting an eye, let alone rolling them. About five were very friendly and helpful, pointed out stuff that we would have to update etc. One was brilliant. Since he made such a good impression when we bought our house, my parents sold an apartment through him a year and a half later. 

He

- checked the market and then suggested a reasonable price, the goal being that a number of people are interested and, if anything, offer more, not try to talk it down 

- took photographs that showed the place at its best - not sugarcoating, just emphasising the highlights and not making stuff look bad which is easy to do 

- drafted and put together a brochure of photos and text 

- created an online 360° viewing 

- organized and mostly ran an open house 

- helped evaluate the candidates also with an eye on how they might fit into the house community (9 apartments, mostly owner occupied, lots of them friends of my parents so they wanted to try to find someone who would fit in) 

- Suggested a notary and organized the contract draft and the appointment including one time with interpreter

- lots of little bits of advice and knowledge

 

We shook hands with the new owners less than 48 hours after the first viewing. Sellers and buyers walked away happy. I don't think either one had any problem paying the Makler bill. It was a ton of money, but he really earned it. 

 

I know this guy is a rare representative of the species, but they do exist. Both objects were desirable properties, maybe that played into it as well. But these days it looks like almost all properties are desirable. 

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