A report only has an effect if the remaining useful life is below the statutory useful life (Section 7 (4) sentence 2 EStG). For residential buildings, the ImmoWertV assumes a model total useful life of 80 years (Annex 1 ImmoWertV); without modernisation, the remaining useful life therefore only falls below 50 years from a building age of around 30 years .
- Residential buildings completed 1925–2022 (statutory 50 yrs, 2 %): from about 30 years of building age, noticeable effect usually from 35–40 years
- Completed before 1925 (40 yrs, 2.5 %): almost always, except after full refurbishment
- Completed from 2023 (33 ⅓ yrs, 3 %): practically never
- Non-residential buildings held as business assets (33 ⅓ yrs, 3 %): office buildings (model total useful life 60 yrs) from about 27 years, retail and warehouse buildings (30–40 yrs) much earlier
Modernisation extends the remaining useful life (Section 4 (3) in conjunction with Annex 2 ImmoWertV) and pushes the threshold upwards; after a full refurbishment a report is usually not an option. The additional annual depreciation is building value × (1/RUL − 1/50): with a building share of EUR 300,000 and an RUL of 30 years, that is around EUR 4,000 more depreciation per year; with an RUL of 45 years, only around EUR 670.
