Property from the local court.
Clear before you bid.

In a foreclosure auction the local court sells a property at a creditor's request. An independent surveyor sets the appraised market value, the Verkehrswert. Prices below that value are possible, but they depend heavily on location and on how many people bid. In sought-after cities properties often sell at or above the appraised value, while rural discounts tend to be larger. Preparation matters, because the sale carries no warranty for defects.

The court first establishes who is involved and what is owed, then announces the lowest admissible bid. A bidding period of at least half an hour follows, with bids called out in the room. At the first hearing the court refuses the sale if the bid is below 50 % of the appraised value (§ 85a ZVG). Below 70 %, a creditor can apply to have the sale refused (§ 74a ZVG). Auctia shows you the appraised value and both thresholds beforehand, so you walk in with clear numbers.

At minimum an identity card or passport. If you bid for someone else, you need a notarised power of attorney. Companies must show a commercial register extract that is as recent as possible. You also need a bid deposit of 10 % of the appraised value, by bank transfer to the court's cash office in good time before the hearing, as a bank guarantee, or as a Bundesbank cheque issued no earlier than three working days before the hearing. Cash is not accepted. If a party demands security and it is missing, the court rejects your bid.

A foreclosure sale carries no warranty. You bid on the property as it stands, with no right to withdraw. Once the court awards it, the price falls due quickly. So read the valuation report beforehand, view the property if you can, and have your financing in place. Auctia shows you every document that is available, so you bid prepared.

The court sets the appraised value, the Verkehrswert, from the surveyor's report. The minimum bid is not a fixed percentage: it covers court costs and the rights that stay registered in the land register (§ 44 ZVG). At the first hearing the court refuses any bid below 50 % of the appraised value (§ 85a ZVG). Below 70 %, a creditor can apply to have the sale refused (§ 74a ZVG).

You do not pay on the day. Payment falls due at the distribution hearing, roughly six weeks after the auction. Due then are your highest bid less the deposit already lodged, 4 % interest for the period in between, court fees for the award decision, property transfer tax and land register fees. Property transfer tax runs between 3.5 and 6.5 % depending on the state. As a rule of thumb, plan for roughly 5 to 8 % on top of your winning bid.

Auctia reads the public auction notices of German local courts every day, nationwide and across all 16 states. On top of that we extract structured key figures from the surveyors' reports, so you can decide quickly whether a property is worth a closer look.