Author
Arthur Schultek Inhaber von AS Immobilien Wiesbaden
Arthur Schultek

Inheritance

Author
Arthur Schultek Inhaber von AS Immobilien Wiesbaden
Arthur Schultek
Immobilien Erbfall, was nun - Annehmen Ausschlagen und Fristen
Immobilien Erbfall, was nun - Annehmen Ausschlagen und Fristen

An inheritance of real estate can be an opportunity and burden (e.g. through debts). Always observe deadlines, legal and tax regulations.

Overview

  • What this is: A clear guide for heirs in Wiesbaden/Hesse who have inherited a property—what to do, in what order, and what to watch out for.
  • For whom: Private individuals without deep prior knowledge.
  • Key deadlines: 6 weeks (accept or disclaim the inheritance), 3 months (notify the tax office), 2 years (land register correction free of charge).
  • Core topics: Who inherits, probate and land register, inheritance tax and allowances, valuation, options (owner-occupy/rent/sell), heir communities.
  • Goal: Make calm, informed decisions and avoid costly mistakes.


The Inheritance Case: First get organized, then decide

An inheritance is emotional and practical at the same time. Important deadlines start running right away. The most important step at the beginning is to stay calm, gather information, and proceed in a sensible order. In Hesse, the probate court at the deceased’s last place of residence is responsible; this is the local district court (Amtsgericht). If a will exists, it is opened there.

Who inherits? Short overview of will and statutory succession

  • If a will or inheritance contract exists, that governs the distribution. The probate court is responsible for opening the will.
  • If there is no will, statutory succession applies. Spouses and children inherit first. Without children, parents and siblings come into play (simplified).
  • Heir community (Erbengemeinschaft): If more than one person inherits, important decisions (e.g., sale) must be made together. For many matters, unanimity is required—this can take time. It helps to clarify goals, timeline, and liquidity early.

Accept or disclaim? The 6-week deadline

  • Deadline: 6 weeks from learning that you are an heir (often 6 months if you are abroad).
  • Disclaiming makes sense if debts and liabilities exceed the value of the estate.
  • Acceptance can also happen through inaction or by acting as owner (e.g., collecting rent). If you are unsure, seek legal advice before taking any steps.
  • Note: If debts are unclear, the “three-month defense” can create a temporary payment pause; in extreme cases, estate administration or estate insolvency may be appropriate. Please consult a lawyer for these steps.

Probate certificate (Erbschein) and land register in Hesse

  • Certificate of inheritance (Erbschein): Confirms who the heir is. Apply at the probate court (district court at the deceased’s last residence). Fees depend on the estate’s value.
  • Land register correction: As an heir, you are registered as the new owner. In Germany, heirs can correct the land register free of charge for up to 2 years after the date of death. After that, fees apply (based on property value). Responsible authority: the land registry (Grundbuchamt) at the district courts.
  • Proof to the land registry: Will opening record from the probate court or the certificate of inheritance; where the will is clear, the opening record is often sufficient.

Inheritance tax in Hesse: allowances and deadlines

  • Notify the tax office: In writing within 3 months of learning about the inheritance. In Hesse, inheritance tax is handled centrally; your local tax office will usually forward details.
  • Allowances (selection): Spouse/registered partner €500,000; children €400,000; grandchildren €200,000; parents/grandparents (by reason of death) €100,000; siblings/nieces/nephews/step-parents €20,000; non-relatives €20,000.
  • Owner-occupation and tax:
    • Spouses/registered partners can often inherit the family home tax-free if they move in and continue to live there (further conditions apply).
    • Children can inherit a home tax-free up to 200 m² if they live there themselves for 10 years.
    • Important: Moving out or selling early can trigger tax retroactively.
  • Valuation for tax: The tax office uses statutory valuation methods. A solid, independent valuation (e.g., for properties with renovation backlog) can help document a realistic, possibly lower value.


Valuation: Finding the realistic market value

Why it matters:

  • Too high: long marketing time, later price cuts.
  • Too low: you give away money.

How to approach:

  • Objective valuation: Location (macro/micro), year built, condition, upgrades, energy performance, floor plan, outdoor areas, legal aspects (easements, right of use, heritable building right), occupancy (leases).
  • Methods: Comparable sales (ETW/standard single-family homes in homogeneous areas), income approach (rental properties/multifamily), cost approach (unique properties without good comparables). In practice, a combination is common.
  • Gather documents: Land register excerpt, cadastral map, building documents, floor area calculations, energy certificate, leases, minutes/financials (for condominiums), proof of renovations.

Your options after valuation: owner-occupy, rent, or sell

Owner-occupation – what that means in practice

  • Pros: No tenant management. You decide on renovations, timing, and use. In some cases, there are tax benefits if you move in yourself (e.g., children up to 200 m² if they live there for 10 years; spouses under certain conditions).
  • Cons: Does the home fit your life? Location, school commute, work commute, accessibility. And can you handle ongoing costs? Heating, electricity, property tax, insurance, and reserves for repairs or energy upgrades. A simple rule of thumb: budget about 1–1.5% of the building’s value per year for maintenance.

Renting out

  • Pros: Ongoing rental income, potential value growth over time.
  • Cons: Rented properties often sell more slowly and sometimes for less than vacant ones. You will have ongoing duties: maintenance, re-letting, service charge statements, and dealing with tenancy law.
  • Important: Existing leases continue when ownership changes (“purchase does not break rent”). Notice periods and protection rules for owner-occupancy should be checked carefully.

Selling

  • Pros: Immediate liquidity, no ongoing obligations, often the cleanest solution for heir communities (prevents conflict).
  • Timing: Market conditions, season, property condition. Vacant, well-presented properties with strong photography and complete documents tend to sell faster.
  • Taxes/law: Speculation tax usually does not apply in an inheritance sale because the holding period of the deceased carries over. If the deceased lived in the property in the year of sale and the two preceding years, a sale is usually tax-free. Please verify with a tax professional.

Heir community: Agree early and document it

The aim within an heir community is to reach a joint decision on how the property will be used—owner-occupation, renting, or selling. It’s best to reach this agreement early and put it in writing so everyone has clarity and later misunderstandings or disputes are avoided.


Options:

  • One takes over: One heir keeps the property and compensates the others at a fair, independently determined value; notarize the agreement.
  • Market sale: A neutral sale on the open market avoids accusations of self-dealing and creates transparency.
  • Partition auction (last resort): Possible, but often below market value and involves costs and delays. Consider only if no agreement is possible.

Hesse-specific practical notes

In Hesse, the probate court at the deceased person’s last place of residence is responsible—this is the local district court (Amtsgericht). If a will exists, it is opened there; you can also apply for a certificate of inheritance (Erbschein) to prove your status as heir. For registration as the new owner, the land registry (Grundbuchamt) is responsible, which is also part of the district courts. In Wiesbaden, this is the District Court of Wiesbaden – Land Registry.
If you plan to sell the property, you will generally need a valid energy performance certificate (Energieausweis). There are exceptions, for example for listed (heritage) buildings, but this should be checked for your specific property. Also relevant in Wiesbaden: certain streets and neighborhoods are listed or fall under a conservation ordinance. This can impose requirements for alterations and facades, but can also offer tax benefits (such as special depreciation). It’s worth clarifying early whether your property is affected and what this means for renovations, refurbishments, and a sale.


First Aid Roadmap

  • Immediate to Week 1:
    • Locate will/inheritance contract; contact the probate court.
    • Secure mail, review contracts/leases, stop or verify recurring payments.
    • Inventory the estate: debts, loans, ongoing costs (property tax, HOA/service charges, utilities).
  • By Weeks 2–3:
    • Prepare decision: accept or disclaim (6-week deadline).
    • Get an initial value estimate; start a document checklist.
    • If debts are unclear: seek legal advice (estate insolvency/three-month defense).
  • By Week 6:
    • If disclaiming: declare at the probate court within the deadline.
    • If accepting: apply for the certificate of inheritance (if needed); plan land register correction.
  • By Month 3:
    • Notify the tax office in writing about the inheritance.
    • Deepen valuation/market analysis; decide on strategy (sell/rent/own use).
  • By Month 6:
    • Obtain missing documents (land register excerpt, energy certificate, condominium documents).
    • If selling: prepare the listing (photos, exposé) and go live. If renting: tenant selection, screening, lease.
  • By Year 2:
    • Complete the land register correction while it is still free of charge.
      Note: Deadlines can vary by case; professional review is recommended.

Document checklist

  • Identity and heir status: ID, will opening record, certificate of inheritance (if needed)
  • Title/land: Land register excerpt, cadastral map, information on building encumbrances/contamination
  • Building: Year built, plans, floor area calculations, energy certificate, proof of renovations
  • Financial: Open loans, mortgage documents, property tax assessment, insurance
  • Condominiums (WEG): Declaration of division, plans, meeting minutes, financial plan, reserve fund status
  • Tenancy: Lease agreements, handover protocols, current rent and service charges, arrears

Important notice (disclaimer)

This article does not replace legal or tax advice. Decisions about acceptance/disclaimer, probate, land register, taxes, tenancy law, or partition auctions should be coordinated with qualified lawyers, notaries, or tax advisors. The information refers to Germany/Hesse and is simplified for clarity.