Foreclosure Auction (Zwangsversteigerung)
Foreclosure auction (Zwangsversteigerung) of real estate in Germany: procedure, risks, and opportunities for bidders - a comprehensive guide.
Financial
ZVG
Also known as: foreclosure, forced auction, judicial sale
A foreclosure auction (Zwangsversteigerung) under German law is a court-ordered procedure for the forced sale of a property. At the first auction hearing, the 5/10 rule applies: bids below 50% of the market value can be rejected, and bids below 70% require the creditor's consent. A security deposit of 10% of the market value is required.