IMLU · COMMERCIAL · LAWYERS AND PROBABILITY ADVICE
Property in an estate: informed decisions about improvements
IMLU assesses suitable residential properties, develops a limited improvement plan and pre-finances the agreed works.
An inherited house is often the largest asset in an estate. At the same time, questions arise: sell in its current condition or upgrade first? Which works are worth taking a closer look at? Who decides and how can the result be accounted for in a comprehensible manner?
Your law firm or estate advisor will receive the project documents for their own assessment. The legal support and the decision about the estate remain with the responsible people.
A verifiable alternative for your clients
You need an assessment that can be used to justify a decision. This includes the condition of the property, a realistic scope of work, sales assumptions and a complete look at the costs that still need to be taken into account.
Compare two paths using the same yardsticks
We consider the sale in the existing condition and the variant after a targeted upgrade. Material costs, revenue sharing, sales fees and other known expenses are presented separately. A higher purchase price alone does not say which option is economically more advantageous for ownership.
Consider upgrading without a prior renovation contribution
IMLU pre-finances the upgrade for a suitable project agreed in writing. The owner does not have to pay for the agreed work in advance. The repayment of the materials and the participation in any additional proceeds are part of the later project billing. This does not automatically cover other estate, consulting or sales costs.
Clearly delineate the real estate project
You receive a defined scope, understandable approvals and project-related documents. This makes it easier to fit it into your existing mandate. Your recommendation will depend on your client and the specific circumstances; Contact with IMLU does not constitute an obligation to place an order.
Handed over in an orderly manner after the upgrade
The agreed work is documented. A PINNEX starter package is included for every apartment upgraded in the project. We determine in advance which property documents will be provided for consultation, marketing or later handover.
For which estate properties an examination makes sense
An empty apartment with a manageable need for renovation
The apartment is generally usable, but appears unkempt due to worn surfaces, old floor coverings or minor defects. We check whether a limited package of measures appears to make economic sense before the sale. Condition, access and existing documents form the starting point.
A house where different sales channels are discussed
Some of those involved prefer the immediate sale, others want to invest first. A written proposal makes the scope, cost assumptions and time required comparable. The coordination or resolution of an inheritance dispute remains the responsibility of those involved and their appointed advisors; IMLU provides the contribution to the property.
A property subject to the execution of a will or regulated representation
A responsible person organizes the next steps and needs a comprehensible proposal for the property. We coordinate inspections, approvals, status reports and project billing with her. Which powers exist and which further consents are required will be clarified for the specific case.
A property whose participants do not live on site
Distributed places of residence make inspection and coordination difficult. Agreed status images, a clear scope of work and documented changes can make joint meetings easier. Photos or a 360° tour do not replace a technical inspection or a legal assessment.
Significant structural damage, lack of access, unclear approvals or a mandatory short sales deadline can speak against this route. We are planning at least a month for the renovation. Preparation, necessary clarifications and the subsequent sale take additional time.
For the ownership perspective, we also explain the decision on the page Heirs and inherited property.
What we clarify before a project
The first request can be made anonymously. For an assessment, all that is required is the municipality, type of property, approximate condition and the question you would like to examine about the property.
If you are interested further, we will agree on access and the permissible transfer of the required property information. A binding project agreement is only created once the people authorized to make decisions have been identified and the approvals have been received.
The project basis includes in particular:
- the documented initial state and the base value agreed in writing;
- the measures, their limits and how to deal with additional work;
- the material budget, the repayable items and their receipts;
- Access, use, necessary clarifications and any permits;
- the schedule, acceptance and intended status information;
- the sales channel, existing mandates and separately applicable fees;
- the rules for abandonment, lack of sale or lack of positive additional proceeds;
- Recipients, releases and handover of the property documents.
The base value is a reference value agreed before the start of the project based on the assessment of the existing property. It is neither a guaranteed payout nor automatically an independent bank or market value estimate. If your mandate requires an additional assessment, this will be arranged and classified separately.
Example: calculate the property and the advice separately
The numbers are freely chosen assumptions for an individual residential property. They do not describe a completed IMLU case, nor a valuation or price forecast. In the example, the owner pays the separate sales fee after the proceeds are divided.
Appreciation and property proceeds
| position | Amount in CHF |
|---|---|
| Agreed value before appreciation | 920’000 |
| Assumed certified sales price thereafter | 1’110’000 |
| Refundable material costs | 32’000 |
| Divisible positive additional revenue | 158’000 |
| 50% for ownership | 79’000 |
| 50% for IMLU | 79’000 |
| Property proceeds from ownership before further fees | 999’000 |
| Additional IMLU sales fee: 1.5% of 1,110,000 | −16’650 |
| Property proceeds after this sales fee | 982’350 |
| Difference from the underlying value without sales costs | +62’350 |
The distribution of payments before the sales fee is understandable: CHF 999,000 for ownership, CHF 32,000 material repayment and CHF 79,000 IMLU share together result in the assumed purchase price of CHF 1,110,000. Assuming own work costs of CHF 28,000, IMLU's share remains CHF 51,000 before further project, financing, operating and tax costs. The material reimbursement is not an additional profit.
A comparison with the same sales costs: A sale at the base value of CHF 920,000 would result in CHF 906,200 after an assumed fee of 1.5%. Compared to this comparison amount, CHF 982,350 is CHF 76,150 higher. CHF 62,350, on the other hand, refers to the difference to the base value before sales costs. These two statements use different bases of comparison.
All amounts are before additional VAT owed, taxes, consulting fees, notary and land registry costs, mortgage repayments, any early repayment costs and other agreed expenses. The property proceeds are therefore not a statement about freely available money or the payment claim of individual heirs.
What role does the purchase price achieved play?
For these three positive variants, the base value and materials remain the same. The assumed separate IMLU sales fee is 1.5% of the purchase price; additional consulting costs are not yet included.
| Assumed purchase price CHF | Divisible additional proceeds CHF | Share ownership CHF | Property proceeds after sales fee CHF |
|---|---|---|---|
| 1’020’000 | 68’000 | 34’000 | 938’700 |
| 1’065’000 | 113’000 | 56’500 | 960’525 |
| 1’110’000 | 158’000 | 79’000 | 982’350 |
At CHF 952,000, the divisible additional proceeds would be zero; at CHF 940,000 the bill would be −CHF 12,000. Then the positive 50/50 calculation does not apply. How materials, work already carried out and demolition or lack of sale will be treated must be agreed in writing before the start. There is no guaranteed minimum payout based on the underlying value.
An additional scope of consulting commissioned
A law firm can provide services for its clients in connection with the project, provided these have been commissioned and are not already included in the existing mandate. Your own fee follows this mandate agreement. The cooperation with IMLU does not trigger any automatic placement fee or participation in the IMLU share.
This calculation example assumes an additional 10 hours at a freely chosen CHF 280 per hour. This is neither a lawyer's fee nor a recommendation or a guaranteed mandate volume.
| Assumed additional power | hours | Fee in CHF |
|---|---|---|
| Review of responsibilities and documents relevant to the project | 3 | 840 |
| Review of the revaluation and billing agreement | 2 | 560 |
| Discussing the options with the client | 2,5 | 700 |
| Review of the project-related final invoice | 2,5 | 700 |
| Total additional mandate | 10 | 2’800 |
If in the example this CHF 2,800 is also borne by the owner, CHF 982,350 still leaves CHF 979,550 before the other costs mentioned. The difference to the base value without sales costs is then CHF 59,550. The law firm fee is revenue for work actually commissioned, not reported law firm profit.
PINNEX: Property documents with a defined group of recipients
The project includes a PINNEX starter package for each upgraded apartment. A property-related QR code and a property-specific PIN lead to the documents approved for this purpose. Scope, access, handover and any subsequent operating costs are agreed on a project-by-project basis.
For an estate project, the agreed content could be:
- dated pictures of the condition before the upgrade;
- approved scope of measures and documented changes;
- relevant information about the work carried out and materials used;
- agreed receipts and documents for project billing;
- released photos or tours for marketing;
- agreed notes and documents for the later handover of the property.
Before the handover, the responsible people determine which documents will be released to which group of recipients. Internal project invoices remain outside the buyer's dossier and are handed over separately to authorized parties if necessary. Wills, inheritance quotas, dispute files, copies of ID cards and confidential office correspondence do not belong in the property dossier released for marketing.
PINNEX supports the agreed documentation. It does not replace the office file, a complete technical examination or the required sales documents. This does not guarantee permanent free provision and an automatic connection to law firm software.
Photos, 360° recordings and suitable outdoor shots can be part of the agreed presentation. Use and publication are permitted; Drone recordings also depend on the specific feasibility and the necessary requirements.
Collaboration with clarified responsibilities
| role | Task in the coordinated project |
|---|---|
| Authorized persons | Commission the project and grant the necessary approvals within the scope of their authority. |
| Law firm or estate advice | Accompanies your clients within their own mandate; Legal checks are carried out by the qualified consultants commissioned for this purpose. |
| IMLU | Checks the potential for upgrading, describes and carries out the agreed work, documents the scope and provides the project invoice. |
| Designated seller | Manages marketing and sales according to separate mandate; Media and communication are coordinated. |
| Responsible notary and other specialist departments | Take on your tasks in specific sales or in the necessary clarifications. |
1. Narrow down the question about the property
We discuss whether it is about a general cooperation or a specific property. An initial overview without identifying case data is enough to get you started. Existing consulting, administration and sales mandates will be taken into account in further planning.
2. Visit and make a proposal
Once access has been clarified, we assess the condition and possible extent. You will receive a project-related proposal with the basic value assumption, materials, measures, time required and calculation variants. Open technical or legal points are identified as such.
3. Decide and approve in writing
The responsible persons will assess the proposal, with their advice if necessary. Authorities, contracts, costs and rules for a different course of events will be clarified before the start. Additional work requires the agreed approval.
4. Upgrade and document
IMLU carries out the agreed upgrade and provides the specified status information. We are planning at least a month for the renovation; Condition, scope and deliveries influence the specific duration. Documentation, acceptance and sales documents are coordinated.
5. Sell and bill separately
The assigned salesperson manages the sale. IMLU provides the receipts and project billing according to the agreement. Sales and consulting fees remain separate items. Further processing of the estate and the allocation to individual beneficiaries are carried out by the responsible persons.
Questions from law firms and estate advice
Can we first talk about cooperation without a specific property?
Yes. We can first clarify responsibilities, suitable property types, documents and the process. You do not need to specify a property for this request.
What information is sufficient for an initial property inquiry?
Municipality, type of property, approximate condition and your question. First describe the case without the names of the testators or heirs, the exact property address or confidential mandate documents.
Who can commission the upgrade?
This will be clarified based on the specific ownership and representation relationships. Mere participation in a community of heirs or the supervision of a mandate is not sufficient as project approval. IMLU only begins after clarification and the necessary approvals.
Can we work with IMLU as executors?
Yes, if the cooperation and the necessary decisions are covered by your specific authority. Access, releases, scope and reporting are agreed accordingly; a blanket power of attorney is not required.
Does IMLU provide inheritance law advice?
The IMLU service includes the agreed real estate project. Inheritance quotas, legal disputes, powers of representation and tax issues are assessed by the qualified advisors commissioned in each case within their own mandate.
Does the property also have to be sold via IMLU?
The sales channel will be coordinated separately. An existing broker can continue his mandate. The additional 1.5% only applies to your own, separately issued IMLU sales mandate.
Is the underlying asset a guaranteed payout?
It is the reference value agreed in writing for the model. It does not guarantee a purchase price or a specific amount for the ownership or individual heirs.
How are material and labor costs treated?
Agreed, documented material costs will be repaid before the positive 50/50 step in accordance with the project agreement. IMLU covers the labor costs of the upgrade from its own share. They will not be deducted a second time before division.
What happens if there is no positive additional revenue?
In this case, separate rules must be agreed upon before the start. The positive example calculation cannot be used unchanged. The same applies to an abandonment or no sale.
Does our law firm receive a referral fee?
The cooperation described here does not provide for any automatic placement remuneration or participation in the IMLU share. Your fee comes from the services actually commissioned within your own mandate agreement.
Does PINNEX replace our office files?
PINNEX serves the agreed property and project documents. The office files and confidential estate documents remain in the intended handling of your advice. Recipient and handover are determined per project.
Are all documents visible to prospective buyers?
The content released for marketing is determined separately. Internal billing and confidential estate or mandate information are not automatically included.
How long does a project take?
We are planning at least a month for the renovation. Preparations, clarifications, deliveries and the actual scope of work influence the process. The subsequent sales period is considered separately and is not guaranteed.
Does the offer also apply to rented or occupied properties?
Such properties require a separate examination of access, use, scope and general conditions. Preparation for sale does not require automatic clearance, termination or consent of the residents.
In which region does IMLU work?
We support suitable projects from Malters in the cantons of Luzern, Uri, Schwyz, Obwalden, Nidwalden and Zug. Before making an agreement, we check whether a specific property and its time frame fit the model.
Discuss cooperation or anonymized property
Would you like to get to know the process or check two sales channels for an estate property? Kacper Ruta is your contact at IMLU. First, describe the question you want to clarify.
Kacper Ruta · IMLU · Werkstrasse 11, 6102 Malters