Property valuers in Germany: sworn experts and committees

What a valuer does in a German purchase

A valuation answers one question: what is the market value (Verkehrswert) of this property? § 194 BauGB defines it as “der Preis …, der in dem Zeitpunkt, auf den sich die Ermittlung bezieht, im gewöhnlichen Geschäftsverkehr nach den rechtlichen Gegebenheiten und tatsächlichen Eigenschaften, der sonstigen Beschaffenheit und der Lage des Grundstücks … ohne Rücksicht auf ungewöhnliche oder persönliche Verhältnisse zu erzielen wäre”. The law names who can ask a committee for one (see below); a lender or a buyer may also commission a private expert.

An opinion gives a value, not a technical survey of the building. For defects or planning, see architects. For the loan that depends on the value, see mortgage brokers.

Publicly appointed and sworn experts

§ 36 paragraph 1 GewO says that people working as experts in economic fields “sind auf Antrag durch die von den Landesregierungen bestimmten oder nach Landesrecht zuständigen Stellen für bestimmte Sachgebiete öffentlich zu bestellen”, if there is a need for such services, they prove special expertise and no doubts exist about their suitability. They are sworn to carry out their tasks “unabhängig, weisungsfrei, persönlich, gewissenhaft und unparteiisch”. The appointment can be limited in scope, limited in time and tied to conditions.

The details sit with the states or with the bodies that appoint (paragraphs 3 and 4): personal requirements, fields, professional liability insurance, training, minimum standards for reports. Paragraph 5 sets the limits: the article does not apply where other federal rules on public appointment exist. So the rules for becoming an expert in, say, built-property valuation depend on the appointing body and its by-laws. We did not read those by-laws.

Being “appointed and sworn” is a status. It is not a guarantee that a given report is right, and many people value property without the status, for example in-house bank valuers or members of private certification schemes. Payotte read no register of those private schemes and does not treat them as official.

The valuation committees

§ 192 paragraph 1 BauGB provides that “selbständige, unabhängige Gutachterausschüsse” are formed to determine land values. They consist of a chair and honorary members, who are to be experienced in valuation and may not work full-time on managing the land of the local authority concerned (paragraphs 2 and 3). A tax-office employee experienced in property valuation joins for land guide values.

What they do under § 193:

• They give an opinion on the market value of built and unbuilt land, and of rights over land, when asked by the bodies the law names, by “die Eigentümer, ihnen gleichstehende Berechtigte, Inhaber anderer Rechte am Grundstück und Pflichtteilsberechtigte” where the land value matters for their compulsory share, or by courts. Paragraph 3 adds that these opinions are not binding unless otherwise provided or agreed.
• They keep a purchase-price collection (Kaufpreissammlung, § 195): every contract to transfer land for payment is sent in copy to the committee by the authority that certified it. Information from it is given to those with a legitimate interest, under state rules (§ 195 paragraph 5).
• They derive land guide values (Bodenrichtwerte, § 196), average location values for land, set at the start of every second calendar year unless more often. Read land values and BORIS.

Under § 199 paragraph 2 the state governments regulate by ordinance how committees are formed and work, and how land values are published and information is given from the collection. So rules and access differ from one state to another.

How to check an expert yourself

1. Ask the valuer, in writing, for the exact basis of the title: appointed by which body, for which field, and until when.
2. Search the SVV directory at https://svv.ihk.de/ for that name and field. According to Payotte’s earlier reading of the directory, it lists experts appointed by chambers of industry and commerce, architects’ and engineers’ chambers, chambers of agriculture and state governments. We did not open its search function, so we cannot describe its fields.
3. Compare the details with the signature block and seal on the report.
4. For a committee, find the office of your municipality or district through the state’s own site, since Payotte read no national list.

Terms of use of the SVV directory

We read the Rechtliche Hinweise/Haftungsausschluss, published by the DIHK. They say, word for word:

• “Adressen: Alle Adressen, die die IHK-GfI auf ihren Internetseiten veröffentlicht, dienen ausschließlich Informationszwecken. Eine kommerzielle Verwendung durch Dritte ist nicht gestattet.”
• “Unerlaubte Verwendung, Reproduktion oder Weitergabe einzelner Inhalte oder kompletter Seiten werden sowohl straf- als auch zivilrechtlich verfolgt.”
• “Für Sachverständige: Änderungen an Ihren Adressdaten übermitteln Sie bitte unmittelbar an die für Sie zuständige Kammer/Bestellungskörperschaft.”

For this reason Payotte does not copy addresses or pages from the directory and does not use them commercially. It links to the directory and asks you to search it yourself.

Which professional to consult

A notary uses the land value only as a basis for fees, set by law. For the building’s condition and permitted works, an architect. For the price you pay, the estate agent acts for the seller or both sides.