Buying real estate cost trap: How to master additional buyer costs!

Buying real estate cost trap: How to master additional buyer costs!

In the busy world of the real estate market, an important question arises for many potential buyers: What actually happens after the purchase? Today we are looking at the classic additional purchasing costs that future owners can incur when purchasing real estate. Keeping track of everything is smarter than ever, because there are some items here that should not be underestimated.

The additional purchasing costs are made up of several factors. First, there is the statutory property transfer tax, which is currently 6.5%. However, this tax varies from state to state, meaning that buyers in Germany are affected by different rates. For example, the property transfer tax in Bavaria is only 3.5%, while in Brandenburg it reaches the maximum limit of 6.5%. This is of course noticeable at every purchase price - and buyers should definitely keep an eye on this, as Clever Immobilien explains.

Cost calculation when buying real estate

But that's not all. In addition to the real estate transfer tax, buyers also have to plan for notary and land registry costs, which usually amount to around 1.5% to 2% of the purchase price. In addition, there is the broker's commission, which in many cases amounts to 3.57% of the purchase price. This brokerage fee is due as soon as the purchase contract is concluded, and in many cases the seller pays a corresponding commission of the same amount.

All of these costs together can add up to a significant amount. According to IB-Real, the total additional purchase costs usually add up to around 7% to 12% of the purchase price. An example: With a purchase price of 300,000 euros in Bavaria, buyers could expect additional costs of around 20,355 euros.

Don’t forget: Additional expenses

But that's not all, because after the purchase there are often additional financial expenses on the agenda. Buyers of older properties are often confronted with high costs for renovations and modernizations. Renovating electrical systems, replacing windows or basic work on the roof and facade are just some of the items that can quickly add up. It is advisable to prepare for this and possibly plan a financial buffer. IB Real points out that many buyers only fully realize these needs after the purchase, which helps avoid unpleasant surprises.

And what about new buildings? Here too, buyers should include the costs for floor coverings, painting, fitted kitchens or outdoor facilities in their expenditure calculation. Although these so-called expansion costs are not part of the purchase contract, they still play a central role in the overall financial assessment of a property purchase.

In summary: When buying a property, it is important to not only keep an eye on the purchase price, but also the multitude of additional costs that are associated with it. A detailed cost plan and close cooperation with experts can help make a purchase a good deal and avoid unpleasant surprises. Remember to inform yourself comprehensively and approach the purchase calmly and carefully - then your dream home could soon become reality.