Without a declaration of division, there is no condominium: Only this document turns a plot of land with an apartment building into individual, saleable residential units. For buyers and their bank, the declaration of division is therefore the most important legal document alongside the land register extract – and without it, financing is rarely approved. We explain what the declaration of division regulates, why it is mandatory when selling an apartment, and what you should look out for as a buyer or seller.
What Is a Declaration of Division?
The declaration of division is the declaration by the landowner to the land registry office to divide ownership of a plot of land into co-ownership shares, so that each share is connected with sole ownership of a specific apartment (Section 8 WEG). Put simply, it is the birth certificate of every condominium. Only when it is entered in the land register does a legally independent condominium arise from a single building, which can be sold, mortgaged and inherited individually.
The declaration of division is notarized and deposited with the land registry office. A separate condominium land register folio is created for each apartment. If several owners agree contractually on the division, the law refers to this as a partition agreement (Section 3 WEG) – in terms of content, it fulfills the same function.
What Does the Declaration of Division Regulate?
The declaration of division draws the invisible boundaries within the building. It bindingly establishes four things:
- Sole ownership: the areas that belong to you alone – the apartment itself, usually basement and storage rooms, and often parking spaces as well. The law makes clear that parking spaces are considered rooms and can therefore be subject to sole ownership (Section 3 WEG).
- Common property: everything jointly owned by all owners. This necessarily includes the parts required for the building’s structural integrity and safety – such as the roof, load-bearing walls, façade, staircase and foundation (Section 5 WEG).
- Co-ownership shares (MEA): the calculated fraction of the common property, usually stated in thousandths. It determines what share of the common costs you bear and – depending on Declaration of division – including your voting weight in the owners’ meeting.
- Community regulations: the constitution of the condominium owners’ association. This is where the rules for living together are set out: cost allocation keys, exclusive-use rights (for example, to the garden or parking space), restrictions on use, and requirements for structural alterations.
The community regulations often determine the everyday value of an apartment – for example, if they restrict commercial use, keeping pets, or short-term letting.
What does the declaration of division consist of?
A complete declaration of division consists of three components:
- The declaration text describes the division into separate and common property, specifies the co-ownership shares, and generally contains the community regulations.
- The division plan is a building drawing signed and stamped by the building authority, showing the location and size of the individual units. All rooms belonging to an apartment bear the same number (§ 7 WEG).
- The certificate of separate completion confirms that each apartment is structurally self-contained, meaning that it has its own lockable entrance (§ 7 WEG).
These three parts belong together. If one is missing, the division is incomplete and the sale will be delayed.
Why buyers and the financing bank require the declaration of division
For buyers, the declaration of division is the only reliable information about exactly what they are acquiring – and which rights and obligations they are purchasing with it. A parking space or share of the garden is included only if it is designated as separate property or as an exclusive-use right. Particularly important: The provisions of the community regulations bind a buyer as legal successor only if they are registered in the land register as content of the separate property (§ 10 WEG). Anyone who buys enters into these registered agreements – and should have read them beforehand.
The financing bank also insists on the declaration of division. The land charge securing the loan is attached to the specific condominium. The bank must therefore check whether the unit has been properly divided, how high the co-ownership share is, and whether encumbrances or restrictions reduce its value. Without a complete declaration of division it lacks the basis for the loan – financing stalls or fails.
Advantages and disadvantages for buyers and sellers
A clear, up-to-date declaration of division benefits both parties – an outdated or incomplete one quickly becomes a problem:
- Advantage for buyers: full legal certainty. You know exactly what belongs to you alone, what belongs to the community and which rules apply.
- Advantage for sellers: complete documents create trust, speed up financing approval and thus the entire sale.
- Disadvantage with an outdated declaration: If the actual division differs from the division plan – for example after a roof conversion or a change to the floor plan – disputes and reductions in value may follow.
- Disadvantage if there is no opening clause: Without such a clause, the declaration of division can only be amended with the consent of all owners and renewed notarization – time-consuming and expensive.
- Disadvantage with unclear exclusive-use rights: If the parking space or garden is not clearly assigned, the presumed advantage can turn into a prolonged neighborhood dispute.
Where can I get the declaration of division and how much does it cost?
As an owner, you can obtain a copy from your property management company, the officiating notary or the land registry office of the competent local court, where it is kept in the land register file. A simple copy costs only a few euros; a certified copy generally costs around 20 euros. Arrange to obtain it early, as several business days may pass before it is sent.
It becomes more expensive if a building must be divided into separate units for the first time. In that case, costs are incurred for the division plan (usually 800 to 1,500 euros), the certificate of separate ownership (around 100 to 300 euros), as well as for notarization and registration in the land register. As a rule of thumb, around 0.4 to 0.7 percent of the property value applies.
FAQ on the declaration of division
Is the declaration of division mandatory when selling an apartment?
It is effectively indispensable for the sale of a condominium. It is the legal basis for condominium ownership; without it, the buyer cannot be registered in the land register and the bank cannot secure the financing. Therefore, provide it completely and at an early stage.
What is the difference between a declaration of division and community rules?
The declaration of division divides the ownership and describes exclusive and common property. The community rules govern the Interaction among the owners, such as costs and use. In practice, the community rules are usually part of the same deed.
Can a declaration of division be amended retrospectively?
Yes, but generally only with the consent of all condominium owners and notarization. If the declaration of division contains an opening clause, a majority resolution may be sufficient under certain circumstances. Amendments affecting separate ownership must be entered in the land register.
What happens if the division plan does not match the apartment?
If the actual floor plan differs from the division plan, it may become legally unclear what is actually separate ownership. This jeopardizes financing and the sale. Clarify such discrepancies before the notary appointment – if in doubt, seek expert advice.
Where can I find my co-ownership share?
The co-ownership share is stated in the declaration of division and in the inventory register of the land register. It is usually specified as a fraction in thousandths and determines your share of the communal costs.
Conclusion: The declaration of division as the foundation of a condominium purchase
The declaration of division is far more than a formality – it defines what belongs to you, what you pay, and which rules apply. Buyers use it to secure their rights, sellers to speed up the completion, and the bank bases its financing on it. Therefore, examine the document carefully: Do the separate ownership, co-ownership shares, and special rights of use match, and does the division plan reflect reality? Anyone who clarifies these questions before the notary appointment buys and sells on a secure foundation.