This article looks at the general cost of a parking space if you are purchasing one in connection to buying a home, and whether it is possible to co-finance a parking space in the purchase price when buying a home.
How much does a parking space cost?
When purchasing newer homes in the cities, it is common practice to pay for a parking space if you wish to have access to one.
How much you should expect to pay for a parking space will depend, among other things, on where you are located, the buildings in which the parking space is located, and any restrictions on to whom, and for how much, you can sell the parking space.
In Copenhagen, the price of a parking space is usually between DKK 300,000-600,000. If you are located in Aarhus Ø, a parking space usually costs between DKK 300,000-350,000. However, in Aarhus it is not uncommon to rent a parking space instead of buying one. If you are located in Aalborg, Odense, or Vejle, a centrally located parking space usually costs DKK 200,000 and upwards. That said, a parking space in Vejle can easily be DKK 400,000.
The most expensive parking spaces in Copenhagen can cost between DKK 500,000-1,000,000.
The demand is high for parking spaces in cities, and the supply is low, so the above prices merely confirm that if you want your own parking space in one of Denmark’s cities, you will have to pay a substantial amount for it.
Parking in larger cities has become difficult, making parking spaces a high priority for many buyers and, for some, even a requirement when purchasing a new home. For resale purposes, having your own parking space in the city as a homeowner is also a significant asset. The parking space will often be a part of the negotiation process.
To whom can the parking space be sold?
The guidelines for buying and selling a parking space in a homeowner association will commonly be laid out in clear rules. These may state, for instance, that a parking space may be sold internally to members of the homeowner association and consequently not to an external third party. This will have an impact on the price of the parking space.
Is it possible to co-finance a parking space in the purchase price?
In the majority of cases, you are only purchasing the right to use a parking space, which is why banks/mortgage institutions commonly don’t want to co-finance a parking space in the purchase price. If you, on the other hand, own the land the car is parked on – for instance, if the parking space has its own title deed or is part of the total estate – mortgage banks are usually willing to co-finance the parking space in the purchase price.
Residential permit
If you don’t want to buy a parking space, or don’t have the finances to do so, all residents of, for instance, Copenhagen Municipality and Frederiksberg Municipality have the right to buy a parking permit to park on the street. Other rules apply to electric and shared cars. However, residential permit is only valid for a limited area, and it can be difficult to find a parking space. The price of a license depends, among other things, on the license zone and the fuel consumption of your car. It is possible to apply for one license per adult in the household. You can therefore only obtain more than one license if there are several adults (above the age of 18) registered at the address.
Professional buyer counseling
You should always make use of buyer counselling when purchasing a home. At Minkøbermægler.dk, we look after your interests throughout the entire buying process as your personal adviser. Contact us today to learn more about how we can help you get through your real estate purchase safely.
Note, the real estate agent is hired by the seller and represents the seller’s interests throughout the whole process, while the buyer’s agent exclusively represents the interests of the buyer.
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