Renovation backlog and structural damage: how much value does a property lose? – explained

Structural damage, construction defects and a renovation backlog reduce the market value of a property – but not automatically by the cost of remedying them. In about four minutes, this video explains how damage is taken into account under the German Property Valuation Ordinance (ImmoWertV) and what a market value appraisal can do.

What you will learn in the video

• Terms: construction defect (fault during construction), structural damage (later impairment), maintenance backlog (postponed repairs).
• No double deduction: normal wear and tear is already reflected in age and remaining useful life (§§ 4, 38 ImmoWertV).
• Deductions customary in the market: damage is a special property-specific characteristic (§ 8(3) ImmoWertV); costs are a guide, not automatically the loss in value.
• Worked example: damp basement: 650,000 € without damage, deduction 70,000 €, market value 580,000 €.
• Limits: the market value appraisal does not open up building components; causes are clarified by a building surveyor if needed.

Legal basis and sources (as of 8 October 2026)

• § 8 ImmoWertV – special property-specific characteristics
• § 4 ImmoWertV – age, total and remaining useful life
• § 38 ImmoWertV – age depreciation factor
• Section 194 BauGB – market value
• § 444 BGB – exclusion of liability

This video is an information and promotional video of the real estate appraisal office STRECKEL for its own services. It provides general information, is not legal advice and not a building damage survey, and does not replace an appraisal of your property. Examples are simplified.