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First, we check whether the property is listed in the contaminated sites register of the responsible authority or whether there are concrete indications of contamination, for example due to prior commercial use.
If the suspicion is confirmed, the anticipated costs for soil surveys, remediation, and disposal of contaminated material are deducted from the unencumbered market value.
Since contamination can additionally limit marketability and entail legal uncertainties, an additional flat-rate deduction is often applied for this increased risk.
Even a mere suspicion of contamination without final clarification can have a value-reducing effect, as potential buyers factor in the remaining legal and financial risk.
Once remediation has been completed and the area officially cleared, the original value deduction can generally be fully eliminated, as the contamination has then been properly removed.