Real estate loan broker; application for a license

If you want to broker or advise on real estate loans commercially, you need a license to do so.

Among other things, you must prove that you are reliable and have the necessary expertise and professional liability insurance.

The license can be granted to natural and legal persons.

If you employ staff who are involved in brokerage or consultancy or are employed by you in a managerial position for this purpose, you must ensure that these employees are also knowledgeable and reliable.

The content of the permit may be restricted and linked to ancillary provisions if, in the opinion of the authorities, this is necessary to protect the general public or borrowers.

In addition to applying for the permit, you must also be entered in the register of intermediaries. You can usually submit the application for this at the same time as the application for permission.

• The following documents are required:
  • Proof of personal reliability, such as a certificate of good conduct for submission to a public authority and an extract from the Central Trade Register.
  • Proof of orderly financial circumstances, such as an excerpt from the debtors' register of the enforcement court and information from the insolvency court
  • Proof of professional liability insurance or an equivalent guarantee
  • Proof of expertise: certificate of having passed an examination or proof of relevant professional qualification
  • Extract from the commercial register in the case of legal entities and commercial partnerships

• Personal reliability, i.e. you have not been convicted of a criminal offense in the past five years
• Orderly financial circumstances
• Professional liability insurance or an equivalent guarantee
• expertise
• Main branch or head office in Germany and commercial activity in Germany

You must apply for permission as a real estate loan broker before you are allowed to take up your activity.

• You first submit an application including all supporting documents
• As a rule, you can also apply for entry in the register of intermediaries at this stage
• The responsible office checks whether you meet the requirements
• If you meet all the requirements, the license will be issued

You must also be entered in the register of intermediaries at the latest when you start your activity.

The permit is valid for an unlimited period of time.

Processing usually takes a few weeks once all the documents are complete.

Fees will be charged. The exact amount can be found in the fee schedule of the responsible authority.