The 5th Liebenau Specialist Days on Property Release, held on 16 and 17 September in the Schloss-Saal of the Stiftung Liebenau in Meckenbeuren, took comprehensive stock of two decades of property release in Germany. The event addressed the question of how property owners can utilise tied-up assets from their properties without having to give up their own home. Around 50 experts from consumer protection, financial services, real estate, consulting and politics participated in the two-day specialist forum.
Dr. Markus Nachbaur from the Stiftung Liebenau stated in his opening remarks that what was originally a nascent market has developed into a broad spectrum of possibilities for mobilising real estate assets while preserving the living situation. He emphasised that after 20 years, property release is no longer an experiment. The further development of the market requires understandable offers, transparent presentations of opportunities and risks, and legally sound and balanced contracts.
Consumer Perspective and Market Standards
Renate Daum from Stiftung Warentest highlighted that the range of products has expanded considerably over the last 20 years, meaning that different needs – from financial support to the desire to remain in one's own home for as long as possible – can now be met. However, she identified continuing gaps, particularly in credit solutions for older owners and offers for permanently hedging longevity risk. The comprehensibility of products remains a central challenge. Christoph Maurer from INITIUM AG presented a generational model that combines lifelong, land registry-secured residential rights with capital investment. This enables older owners to free up real estate assets while maintaining age-appropriate living conditions, while capital investors can invest in residential properties with a lower equity commitment.
Marcel Kirchmaier-Gaupp from Landesbank Baden-Württemberg (LBBW) analysed the current situation in the real estate market. He pointed to rising market interest rates, inflationary pressure and higher energy prices as factors complicating financing and dampening credit demand. Although the residential property market has stabilised after price declines since 2022, it remains highly dependent on interest rates. Kirchmaier-Gaupp continues to view housing within the real estate market as a comparatively defensive segment with fundamentally intact demand.
Levin Freiherr von Elverfeldt from EVG Erbbaugrund Verwaltungsgesellschaft mbH and Dirk Hotopp from HausVorteil AG explained hereditary building rights (Erbbaurecht) as another form of property release. This model legally separates land and building; the land is sold, but the building remains the property of the original owner and can continue to be used, inherited and, in principle, mortgaged. The combination of liquidity release and long-term planning predictability while retaining building ownership was highlighted as an advantage. Buy-back options can offer additional flexibility.
The Role of the German Property Release Association
Thomas Weiss, Managing Director of vobahome and Board Member of the Bundesverband Immobilienverrentung (BVIV – German Property Release Association), summarised the association's work to date. He particularly highlighted the establishment of common market standards, sample documents, the further development of suitability checks, more transparent cost disclosures and the qualification of advisors. The BVIV increasingly views property release as a distinct advisory field at the interface of real estate, financial and consumer advice. The ability to compare different solutions comprehensibly and tailor them to individual needs is crucial.
- —Assessment of individual suitability
- —Understandable product explanation
- —Transparent costs
- —Documented advice
Christoph Sedlmeier from the Stiftung Liebenau and also a board member of the BVIV, concluded by emphasising that the need for such solutions is likely to continue to grow in view of demographic change, rising care and renovation costs, and more difficult financing options. Property release is primarily a relationship business, where the solution must not only fit at the time of contract signing but also remain viable in the event of changed life circumstances. A more diverse and transparent market can enable older owners to act here. The specialist days made clear how the perception of property release has changed over the last two decades; from individual products to a distinct advisory field that focuses less on the individual model and more on holistic asset mobilisation.
