Easement

Easement - An easement is a real right that encumbers a parcel of land for the benefit of a specific person or another parcel of land. It is recorded in Section II of the land register and can significantly affect the value and potential uses of a property.

What types of easements are there?

The German Civil Code distinguishes between three forms of easements, which differ in terms of their beneficiary and scope.

The real easement (Section 1018 BGB) encumbers a parcel of land for the benefit of the respective owner of another parcel of land. Typical examples include rights of way, rights to lay utility lines, or the right to prevent a neighboring property from being built upon beyond a certain height. The easement is tied to the beneficiary property and automatically transfers to the new owner upon sale-regardless of whether the buyer is aware of it.

The limited personal easement (Section 1090 BGB) grants a specific person the right to use another’s property in specific respects. It is non-transferable and expires at the latest upon the death of the beneficiary. Common applications include residential rights for relatives or rights of use in favor of utility companies for power lines or gas connections.

Usufruct (Section 1030 of the German Civil Code) is the most comprehensive form of easement. It entitles the usufructuary to derive all benefits from a property, such as living in the property themselves or renting it out and retaining the rental income. Usufruct is frequently used in the context of anticipated succession, when parents transfer their home to their children but wish to secure the economic use of the property for life.

Impact of Easements on Property Value

Easements can significantly reduce the market value of a property. A registered right of way restricts development possibilities and the privacy of the property, while a usufruct deprives the owner of economic use for an indefinite period. When determining value, appraisers must consider the specific content, scope, and remaining term of the encumbrance-and, if necessary, deduct a present value of the right from the property’s value.

Before purchasing a property, one should therefore always obtain a current land registry extract and carefully review Section II. Not every easement is equally problematic: A utility right for Stadtwerke Nürnberg (N-ERGIE) in a rarely used area of the property is generally unproblematic, whereas a comprehensive lifetime right of residence can prevent the buyer from using the property for decades.

Comparison of Easements - Types, Beneficiaries, and Impact on Value

Type	Legal Basis	Beneficiary	Transferable?	Typical Impact on Value
Real servitude	§ 1018 BGB	Respective owner of the dominant property	Yes (attached to the property)	-5 to -25% depending on scope
Limited personal servitude	§ 1090 BGB	Specific person (e.g., utility provider)	No	Minor to moderate
Usufruct	§ 1030 BGB	Specific person (usufructuary)	No	-20 to -50% depending on age
Right of way (special case of easement)	§ 1018 BGB	Owner of neighboring property	Yes	-5 to -15%
Utility right (electricity/gas/water)	§ 1090 BGB	Utility company	No	Low (usually <5%)
Right of residence (personal)	§ 1093 BGB	Specific person	No	-15 to -40% depending on age

Practical Tip for Nuremberg and the Metropolitan Region

In the Nuremberg metropolitan region, easements are particularly common in existing properties in older neighborhoods such as Gostenhof, St. Johannis, or Erlenstegen. There, rights of way and utility rights were often registered decades ago and are sometimes no longer known to the current owners.

We advise prospective buyers to not only review the land registry extract before making a purchase decision, but also to request the exact deed of approval from the land registry office. Only there is the full content of the easement listed-the land registry extract often contains only an abbreviated description such as “right of way” without details regarding width, type of use, and duration. In Nuremberg and the districts of Fürth and Erlangen-Höchstadt, the land registry offices are generally able to provide information within a few days. To assess the impact on the purchase price, we recommend consulting an expert.

Frequently Asked Questions About Easements

Can an easement be deleted?

Yes, an easement can be deleted if the beneficiary consents and a notarized authorization for deletion is provided. The costs for the notary and the land registry office range from 100 to 500 euros, depending on the value of the easement. In the case of personal easements, the right automatically expires upon the death of the beneficiary. An easement may also be forfeited if it has not been exercised for a very long period of time-however, this is a complex legal issue that requires review by an attorney.

Does an easement have to be mentioned in the purchase agreement?

The notary is obligated to inform the buyer of all encumbrances registered in Section II of the land registry. In practice, easements are explicitly named in the purchase agreement, and the buyer confirms that they are aware of the encumbrance and assume it with the purchase. We recommend that buyers have the full scope of the easement explained to them by a lawyer or expert prior to notarization in order to fully understand the economic implications.

Which easement reduces property value the most?

A usufruct typically has the greatest value-reducing effect, as it deprives the owner of all economic use-own use and rental are excluded for the duration of the usufruct. The younger the usufructuary, the higher the capital value and thus the greater the loss of value, because a long remaining term is to be expected. When calculating value, statistical life expectancy is used in accordance with the mortality tables of the Federal Statistical Office. A usufruct on a property in Nuremberg in favor of a 60-year-old person can reduce its value by 30-50% compared to an unencumbered property.

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