The usufruct of a property is the right to enjoy its habitability without being the owner (who has the use and enjoyment of the property). If we buy a property with usufruct, we will have to consider the usufructuary as if they were another seller, they sell the right of habitability (usufruct) and the owner sells the ownership (bare ownership),
There are different types of usufructs, it can be: lifetime; when it lasts for life; or temporary, granted for a specified time. This will affect the value of the usufruct.
If it is temporary, the value is 2 percent of the total value of the home for each year of duration of the usufruct not exceeding 70 percent of the value of the property and not taking into account periods of less than one year.
For example, if the usufruct on a property of €100,000 is for 20 years and 2 months, only the 20 years will be counted, and its value will be 20x2%=40% so 40%x100000€ = 40000€ would be the value of the usufruct.
If the temporary usufruct is less than 1 year, for example 9 months will count as 1 year. And the calculation on €100,000 would be 1x2%=2% where 2%x100,000€=€2,000 would be the value of the usufruct.
Let us remember that the percentage can never exceed 70% of the value of the property, in which case 70% would apply and no more for the calculation of the value of the usufruct.
If it is lifelong, the minimum value is 10% and the maximum is 70%. The value is calculated by subtracting the usufructuary's age from 89.
If the usufructuary is 50 years old and the property has a value of 100,000€, it is calculated by 89-50=39% where the value is 39%x100000=39,000€
The property may also have more than one usufructuary, with the right of one passing to another as they pass away. In this case, the value must be calculated with the age of the youngest usufructuary. 89-the age of the youngest. If it is a couple enjoying the usufruct of 80 and 70 years, we will take the age of the 70-year-old, then 89-70=19% the value would be 19%100,000=19,000€.
So: What is the value of the full ownership of the property? It is the sum of the value of the usufruct plus the bare ownership.
