Additional costs when buying a property

When purchasing a plot of land or a property, land transfer tax is payable. Each federal state sets its own rate. In Bavaria, it stands at 3.5 per cent, making it the lowest in the country.

It is calculated on the basis of the purchase price, less the value of any movable items included in the sale, such as fixtures and fittings or a fitted kitchen. These should be listed separately in the contract of sale and valued at a realistic price.

The notary draws up and certifies the contract of sale and oversees the legal procedures right through to the transfer of title. In the event of financing, the notary also certifies the creation of the mortgage.

In addition, there are the Land Registry fees, including those for the priority notice of conveyance, the mortgage and the transfer of ownership.

In total, you should budget for notary and land registry fees amounting to around 1.5 to 2 per cent of the purchase price. For higher purchase prices, the percentage is usually lower.

A estate agent’s commission is payable for advice and the brokerage of a property. Since December 2020, statutory requirements regarding the allocation of the commission have applied when consumers purchase a flat or a detached house. In Munich, the buyer’s share is often 3.57 per cent of the purchase price, including VAT. The exact amount and allocation depend on the specific agreement and the relevant legal provisions.

At RIEDEL, our service includes personalised individual viewings, coordinating the necessary formalities, carrying out credit checks on prospective buyers and finalising the contract of sale. We carefully prepare for the appointment with the notary and accompany you in person. We remain your point of contact even after the sale has been completed.