Before embarking on its purchase in Berlin and Germany, it is important to know the additional costs. So you will be able to calculate the global budget for your investment.
Buying fee for real estate in Berlin
The offers of apartments for sale are presented with a sale price without other costs related to the purchase. In addition to the sale, there will be other associated costs in your purchase. Here are the details for Berlin:
- Grunderwerbsteuer (land transfer tax): 6% of the sale price
- Grundbucheintrag (registration in the land register): 0.5% of the sale price
- Notary fees: 1.5% of the sale price
- Agency fees: 7.14% (VAT included) of the selling price
In order to calculate the global investment, you add approximately 15% on the sales price.
As a non german speaker, we also advice you to work with a english-german lawyer. They will help you to understand the legal conditions and can represent you during the entire process:
- Reading and analysis of the sales contract
- Explanation of the sales contract
- Amendment application on certain terms of the sales contract
- Signing the sales contract attorney (in agreement with the buyer)
- Assistance to financing from German banks
With these legal advices, you ensure a good understanding of the sales contract.
Other expected costs for the acquisition of a property in Germany
Outside the standard costs, you should also take in consideration the various costs associated with buying and/or rent out:
- Financing: interest of the bank or the financial institution
- Kitchen: the apartments are often sold in Germany without the kitchen. Indeed, some people move in with their kitchen. Adding a kitchen can be a plus to easily find a tenant. In the case of furnished flat, the kitchen is mandatory.
- Renting: to rent a furnished flat, you have to provide everything necessary for the apartment. Take into consideration the number of people who can live in and adapt elements based on the number. In addition, it is strongly advised to take a cleaning service twice a month to make sure the apartment stays clean throughout the rental.
- Rental fees: if you are not in Berlin, an agency like Invest-AB.com can take care about renting out and the relationship with the tenant.
- Tax declaration: rental incomes are taxable in Germany and you have to declare them.
Our agency is at your disposal for any questions about additional expenses to buy an apartment in Berlin or to rent out an apartment.