Buying a flat in Germany: the steps, the notary, property transfer tax and estate agents

Buying your own flat or house in Germany is a solid way to protect your capital and secure a home. The process is strictly regulated, and the mandatory involvement of a notary significantly reduces the legal risks.

Additional purchase costs (Kaufnebenkosten)

On top of the purchase price, you pay additional costs of 10 to 15%: property transfer tax (Grunderwerbsteuer, from 3.5% in Bavaria to 6.5% in North Rhine-Westphalia and Brandenburg; 6% in Berlin), notary and land registry fees (1.5 to 2%) and the estate agent's commission (usually 3.57% for the buyer).

Checking the land register (Grundbuchauszug)

Before the contract is signed, the notary obtains a current extract from the land register. Its three sections (Abteilungen) are checked: who the owner is, whether there are encumbrances or third-party rights such as a right of residence (Wohnrecht), and whether land charges (Grundschulden) are registered.

Signing the purchase contract before the notary

The purchase contract is concluded before a notary, who reads the entire text aloud. The notary is neutral and makes sure that both parties are legally protected and that the payments are handled safely.

Priority notice and the timing of payment

After signing, the notary has a priority notice of conveyance (Auflassungsvormerkung) entered in the land register, which protects the buyer against the property being sold a second time. The buyer only transfers the purchase price once the notary confirms that all conditions have been met (Fälligkeitsmitteilung); a notary's escrow account is used only in special cases.

Next step

The notary and the land register reliably protect the buyer's rights; above all, check the building's condition and the minutes of owners' meetings in advance.