Sale/Gift/Transfer of a property with KFW subsidy 153

Hello dear forum,
unfortunately, I cannot find any information on the above-mentioned topic either in the FAQs of the KFW or on the WEB.
Maybe there are specialists here?
Starting point:
About three years ago, we acquired a property with the 153 promotion (KFW55 house) and subsequently rented it out.
This remains unchanged and is to stay that way.
The loan is running, is still being paid off, and the repayment grant was also received years ago.

Now we are considering transferring the property to our child.
Is this possible without any problems or would this have any (negative) impact on the financing ([KFW])?

I am surprised that I generally cannot find anything about this on the www – I think it is in my opinion not unusual
to sell (or rather to gift/transfer) a property that was subsidized by the [KFW]?

Or am I seeing this wrong?
Many thanks in advance and have a nice Sunday
Sabine

I am surprised that I generally cannot find anything about this on the www – I think it is not really unusual in my opinion to sell (or rather gift/transfer) a property that was financed with a subsidy from the KFW?

Only that in the case of a sale, the KfW loan is always repaid. That question does not arise. Now to the question of all questions: Should only the property be transferred or also the loan? Transferring the house and keeping the loan, I have not seen in almost 25 years of lending business. Both together should work (although I do not know the 153 terms by heart) if your bank cooperates. It may be possible, but you do not have a right to it. It is also very rare.

Good morning Karsten from NRW,
first of all, thank you very much for the feedback.
Regarding the question of questions:
The land charge for the KFW loan is not registered on the KFW55 apartment to be transferred, so EXCLUSIVELY the apartment will be transferred to the child, NOT the loan. We will keep the loan and continue to service it as before.

The note that the loan is always repaid upon sale does not fully make sense to me, because with a sale the loan can/will sometimes also be transferred - be that as it may, it is not relevant for our case.

From my point of view, (there should be) nothing against a transfer/gift, since
1. The building was constructed/built according to the KFW55 standard as originally required
2. No deterioration in this respect occurs through the transfer
3. The loan served the construction

What do you think?

From my point of view, (there should) be no objection to a transfer/gift, because 1. The building was constructed/built to the KFW55 standard as originally required 2. No deterioration occurs with the transfer in this regard 3. The loan served the construction

Yep. Then it’s all no problem in the situation described by you. But it is essential to include the non-deterioration clause in the purchase/gift contract (see KfW).

The note that the loan is always repaid upon sale does not quite make sense to me because, upon sale, the loan can sometimes also be transferred – be that as it may, it is not relevant for our case.

Not relevant for you, that’s true. But in practice it almost never happens. Why? Because the old loan is generally not sufficient for the buyer and he needs an additional financing of his own. And that must almost inevitably be with the bank that provides the loan to be transferred. Does the bank want that? Of course, that depends on the creditworthiness and the loan-to-value ratios. The buyer’s bank definitely wants first rank in the land register for its own financing. Upon transfer of the loan, this rank is naturally locked, so there is no financing at all. Conclusion: Yes, it is possible in principle to transfer the loan upon sale. But for practical reasons, this almost never happens because the old loan is almost always a knockout criterion for further financing.

I take my hat off - many heartfelt thanks.
Thank you for the hint regarding the "Verschlechterungsgebot," that was also the only thing I could find in MERKBLATT 153 under "Auskunfts- u Sorgfaltspflichten des KN":
"Sofern Sie innerhalb von 10 Jahren nach Kreditzusage das geförderte Gebäude oder die geförderte Wohneinheit verkaufen, ist der Erwerber auf die Förderung der KFW und auf das Verschlechterungsverbot für die energetische Qualität des Gebäudes nach §11 Absatz 1 Energieeinsparverordnung hinzuweisen."

Your explanations about the loan in case of sale: Now I understand the hint - you are absolutely right!
May I briefly ask if you are a professional given your extensive knowledge? - TOP - And that you take the time - WOW
Especially with the different KFW programs, which also differ in detail, just whether for own use or "Fremdnutzen" as with the ex 153er subsidy, this is already a huge challenge for the KFW caseworkers themselves.
I also contacted KFW with my concern via the contact form but was referred to call the hotline ... which probably won't help me much until I have presented my special concern verbally and in the end only a written confirmation counts, which I might not receive ...
Therefore my own initiative here in the forum, fully aware that information should be treated with caution - but if it seems conclusive to me - as you wrote - that is enough for me.
For your information: Even the lending bank, the credit caseworker, could not give me a binding statement regarding my concern - not even after inquiries at the headquarters ...
=> Once again MANY THANKS Karsten!

May I briefly ask if you are a professional with so much knowledge? - TOP - And that you take the time - WOW

It's my job as a banker ;-) And the forum is a hobby on the side...