A house, a piece of land, memories – and suddenly a huge conflict. More and more often, inherited properties are not a source of joy, but of frustration. Especially when several heirs have to make joint decisions about the future of the property. Reality shows: If the will is incomplete or even missing, family disputes are often inevitable.
When siblings become adversaries
The idea of inheriting your parents’ home together initially sounds like a valuable legacy. But as soon as concrete decisions have to be made – such as whether the house should be sold or kept – different ideas about life clash. One person is emotionally attached to the building and wants to renovate it or use it themselves, while the other thinks primarily in economic terms and prefers a quick sale.
This is where the dispute often begins. Without a clear regulation in the will, a so-called community of heirs arises – a legal situation that obliges all co-heirs to decide unanimously on the property. The problem: in practice, it is rarely easy to reach an agreement.
The pitfalls of the community of heirs
Joint inheritance sounds like solidarity at first, but legally it means that no one can make decisions alone. Every conversion, every sale, every rental must be agreed. If the parties involved cannot agree, there is often only one last resort: the so-called partition auction. The property is sold at public auction – usually below market value – and the proceeds are divided among the heirs. A step that is not only financially unattractive, but also emotionally painful.
Avoidable disputes through forward-looking planning
In many cases, unclear or outdated wills exacerbate the situation. Parents often did not specify during their lifetime what should happen to the property after their death. Who can stay? Who should be paid out? How will the value be determined? All these questions remain unanswered – and this creates room for misunderstandings, disputes and mistrust.
Many conflicts could be avoided with clear rules. One option, for example, is to transfer certain assets during your lifetime – for example by making gifts or appointing a sole heir with compensation payments to the others. A professionally drafted will that anticipates potential disputes can also go a long way.
Checklist: How to prevent disputes over real estate inheritance
🔲 Open communication
Talk to the family about wishes, ideas and possible conflicts at an early stage.
🔲 Create a professional will
Draw up a legally compliant and clear will with a notary or specialist lawyer – especially for real estate!
🔲 Check the Berlin will (for married couples)
Sounds simple, but can become an inheritance trap for the children. Consider alternatives.
🔲 Make arrangements for the community of heirs
Who can live in the house? Who is paid out? What happens in the event of disagreement? Put everything in writing!
🔲 Have the property value estimated regularly
A realistic market value prevents unrealistic expectations or unfair offers later on.
🔲 Check the gift during your lifetime
It may make sense to transfer the house during your lifetime – with usufruct or right of residence.
🔲 Define financial compensation options
Whoever takes over the house should be able to pay the others fairly. Clear rules for valuation help.
🔲 Plan to avoid a partition auction
This is usually the worst option – too expensive, too slow, too burdensome.
🔲 S eek advice
Lawyers, tax advisors or mediators can provide support at an early stage – before things go wrong.
We provide professional support for communities of heirs
Especially in the case of larger real estate values or complex family constellations, we recommend taking advantage of professional management at an early stage. As an experienced partner, we provide comprehensive support for communities of heirs – from the legal structure and valuation to the development of joint solutions.
We help with this:
- defuse conflicts before they escalate,
- Moderate negotiations,
- to develop fair compensation models,
- and real estate projects in the interests of all parties involved.
Safeguard family peace – and the value of your property.
We are there for you when it comes to the professional management of communities of heirs.