Berliner Immobilien Guide
Ancillary purchase costs (Erwerbsnebenkosten)
The ancillary purchase costs are the costs that are not included in the purchase price. They are calculated as about 15% of purchase price. It consists of the broker’s commission, conveyance duties, notary and registry fees and financing costs.
Broker’s commission (Courtage)
The commission in Germany is freely arranged. In highly demanded areas, it is generally the buyer the one who bears the commission. In Berlin it is commonly of 7.14% (6% + VAT) on sales and in case of renting it consists of 2.38 net base rents (2 rents + VAT).
Common ownership (Gemeinschaftseigentum)
The common ownership (as opposed to individual ownership) refers to the building parts, which are kept and shared with the other homeowners of the residential community. Typical elements are corridors, lifts, stairwells and common areas.
Conveyance duty (Grunderwerbssteuer)
Buying a property entails paying a conveyance duty. In Berlin it is since 2014 of 6%. This tax is due at the conclusion of the purchase contract.
Declaration of completeness (Abgeschlossenheitsbescheinigung)
This certificate is a prerequisite for the division of a building into different residential properties. It states that a freehold or part-owned property is adequately, structurally completed (separate rooms) and is a unit itself including a separate, lockable access.
Declaration of division (Teilungserklärung)
The Land Registry explains that a property in a parcel of land is divided into co-owned units. In the notarized declaration of division it is listed which parts of the property are in individual ownership and which are in common ownership. The special usage rights are also listed here.
Environment protection (Milieuschutz)
“The environment protection is part of the urban conservation regulations. According to the building regulation statutes, “environment protection” must be included, among other regulations”; this way the residential population’s structure can be preserved. There are certain prohibitions related to “luxury” reconstruction projects. Like for example attaching a second balcony, merging apartments, installing a guest bathroom, etc.).
Economic plan (Wirtschaftsplan)
The economic plan is prepared annually and shows the estimated revenues and expenses of the housing complex. It is created by the administration and approved by the majority at the property owners’ meeting. It consists of a community plan and the individual economic plans for the respective living units.
Momentan sind die Finanzierungskosten für Immobilien so günstig wie noch nie ..
Homeowner’s association (Wohnungseigentümergemeinschaft)
It is the totality of homeowners or part owners in a housing complex. They meet at least once a year at the property owners’ meeting. Here they discuss, deliberate and pass resolutions.
Land register (Grundbuch)
The land register is a public register kept by the district court. Next to the cadastral information in the references list, the addresses, the type of use and the property size are listed. The first section specifies the owner’s information. The second section includes the rights and restrictions on the respective property (about easements, building restrictions, rights of residence, etc.). In the third section you can find the monetary burdens (land charges, mortgages, bonds, etc.)
Land registry costs (Grundbuchamtskosten)
Changes, registrations and deletions in the land register are connected with fees, which depend on the land register code.
Maintenance costs (Hausgeld)
Also advance maintenance payments; they are the monthly advance payments that were set by the housing administration and registered in the annual economic plan. They include the operating costs, administrative costs and the sinking fund.
Priority notice of conveyance (Auflassungsvormerkung)
The priority notice of conveyance (also called Eigentumsvormerkung) is entered in the land register. This ensures that till the official transfer of ownership, the property cannot be sold more than once.
Real estate tax (Grundsteuer)
The real estate tax is paid quarterly to the town council. It is calculated according to the value assessed by the revenue office and the rate fixed by the municipality.
Regulation for real estate agents and property developers (Makler- und Bauträgerverordnung)
It is a statutory instrument containing regulations primarily to protect the interests of real estate buyers.
Right of special use (Sondernutzungsrecht)
The right of special use gives the beneficiary the right to use certain parts of the common ownership individually. This right can be especially conceded in areas where individual ownership regulations cannot be applied. For example in garden areas, terraces, open spaces.
Sinking fund (Instandhaltungsrücklage)
The members of a homeowner community form the sinking fund by periodically setting aside money for any necessary maintenance or replacement of community assets. The fund will not be abrogated or returned when selling.
Tax clearance certificate (Unbedenklichkeitsbescheinigung)
The revenue office shall issue the tax clearance certificate. It certifies that the conveyance duty has been paid. The entry in the land register is only possible with this certificate.