Berlin is (still) one of the most interesting real estate markets in Europe right now. This city offers a unique urban & international environment. With high living standard, and plenty of parks and recreational areas, it can be the right choice for living or looking into buying your apartment in Berlin.
As I started my investigations in the real estate market, I came across a few things that one should know about when looking into that topic. I have gathered most important aspects to consider if you want to invest in the Berlin real estate market. It is mainly focused on buying a flat in Berlin since don’t have the means to buy a house. It is still relevant for other property types though.
DISCLAIMER : This is rather long piece, an introduction to a pretty big broad topic with many elements to consider. Bear with me and make yourself another cup of tea. 🙂
General considerations about Berlin’s current trends
Is it still worth buying a flat in Berlin?
In 2021, it is still more financially sound to buy property in Berlin, than to rent. This has been confirmed by the very official “Institut der Deutschen Wirtschaft” in this Wohnkosten 2021 report.
Purchases prices for an apartment in the center of Berlin are still “moderate” compared to London, Paris or New York. Positive expectations for the city and low interest rates make Berlin an attractive place for an investment.
While some parts of the cities like Prenzlauerberg or Kreuzberg has largely gentrificated and are more costly, many areas like Moabit or Neukölln are still interesting choices to consider. However, even in Prenzlauerberg or Kreuzberg, the price difference can play in your favor if you extend your search to just a few streets away.
Can I buy property in Berlin to rent it out?
If you are just investing in property to rent it out, rental returns in Berlin are still more attractive than in other cities like Munich, as stated in this 2021 study. However, do know this when buying an apartment in Berlin; any existing tenant agreement cannot be legally terminated to allow the owner to move in. In worst cases, it can be 10 years later. German law is particularly tenant-friendly. This is particularly important to know most Berliners are renting (85% in this 2017 study.
On the Berlin housing market, investors and residents’ demand has been steadily increasing over the past 20 years. The main explanations behind this are growth in both population and numbers of households due to the increased attractiveness of the city. In addition, economic performance is improving in the capital of Germany. Thus the purchasing power is increasing.
Is it better to buy or rent in Berlin?
As a tenant, it’s always hard to to commit to a loan, especially if you still have an old rental contract. If you are unsure of your financial situation and want to make projections to validate your estate project, you can turn to simulators like this one. It lets you compare how much your net worth would be, if you were to buy vs if you were to rent.
The current shortage of living space
Another factor impacting investors’ confidence in Berlin’s future is the shortage of living space in the city. This 2021 report estimates that there are at least 200 000 units missing on the market to satisfy demand. This is due in part by public policy which has delivered a low amounts of building permits over the years.
What is important regarding taxes, fees and legal issues
A tax consultant is recommended to assist purchasers with any tax issues related to buying property in Berlin. Additional fees can be up to 15% of the purchase price as follows:
- Notary costs (Notar): 1-2%
- Land registry office fee (Grundbucheintrag): 0.5%
- Property transfer tax (Grundwerbsteuer): 6%
- Agents fees up to 3.57% (from 2021 on)
Take also good note that the German law has also taken steps to avoid speculation and fast increases in estate prices. A hefty tax has put into place onto the benefit made over reselling an estate if you don’t respect some conditions, literally removing that benefit. This means that under German law, in case you want to sell your apartment again, you need to have lived at least 2 consecutive years in the said apartment prior to the selling contract. Another alternative is to resell after 10 years if you don’t live in the flat your self.
There might also be some additional domestic regulations in your home country that you might want to check as well before you buy an apartment in Berlin. (I can’t help you there 😉 )
What are the possibilities to obtain a credit with a local bank?
If you are a German resident with a permanent residence status (or an EU citizen), banks will mostly consider you as a German national. However, there are some subtle discriminations, as pointed out in this post.
International buyers that are not German residents can obtain finance for up to 50% of the property value. Banks and other lenders may offer loans based on the equity available in another property. Many estate agents will assist buyers in finding suitable financing options and renting out the property, if required. You can of course go to your domestic bank to see what’s possible but it is not guaranteed they will agree to a loan involving an estate abroad or/and there might be some translation to do for the bank to have a look at all the documents. Just get in touch, you might not know what comes out of it.
Another alternative could be one of the innovative platforms like Hypofriend, which brings much needed transparency for expats in that market. They help you to find the optimum mortgage for your case by letting banks and credit institutions compete to provide the best rate. They are also able to tell you very fast how much you can afford with your current situation, income etc… All of this 100% digital and with no strings attached. That’s a pretty clever way to go about this. Look at this as the next-generation finance advisor.
I have also covered more in details what factors are taken into account when requesting a mortgage with a German bank as a foreigner in this post.
Which documents should I request from the owner to learn more about the property ?
It is simply not enough to see the place and knock on the walls. You have to take a look at bigger picture of your commitment to the place. You should ask the following minimum :
- Wirtschaftspläne (Budget/Economic planning) : This describes what has been decided by all the owners of the building financially speaking, giving also more details about the different expenses and their evolution in time. Look for the mention “Rücklage“, the reserve of money in the common budget of the property. Look also for “Hausgeld” which are the monthly expenses.
- Teilungserklärung (Declaration of division) : This document is showing what belongs to the apartment and what belongs to the joint-property like the stairs for example.
- Energie Ausweis (Energy consumption assessment) : Gives details about the energy efficiency of the property.
- Grundriss (Ground view) : The lay-out of the property.
Who are the different actors on the market and what are their roles ?
Estate agencies
Agencies are necessary middle-men in the Berlin market as direct transactions between private owners are quite rare. Again, the local culture & market conditions hasn’t led to a lot of small private owners but rather to several big-scale property management companies. Thus the culture to do deals between small private persons is not mainstream when it comes to buying an apartment in Berlin.
Agencies gather your requirements and help you find your dream apartment either by working with other agencies or using their first-party database. As anywhere else in the world, there should be no fees involved hiring an agency as they work on a performance basis.
Steuerberater – Tax Consultant
A tax consultant can help you find the best system so there are as little costs as possible owning or renting out the flat. They can often help you grasp you a better picture of what the total cost of ownership could be. Many variables come into the deal so it could be a good idea to spend a bit of money on a tax consultant to potentially save thousands in the future. It’s not a necessary to involve a tax consultant but it’s advised.
Anwalt – Lawyer
Lawyers are not necessarily involved in the process of buying an apartment in Berlin either but they can be helpful to draft a sales contract or even pre-sales agreement one. Just as a tax consultant, they can also guide you through the different technicalities of owning and optimizing the costs of a flat. Some Steuerberater have a lawyers’ practice they work with, or even have one internally. In addition to analyze the contract, they can also represent the buyer at the notary. This is often the case if the buyer is not living in Germany or does not speak German. So a perfection option especially for investors as they have to come only once for selection the flat. The notary has to check if all parties involved understand the contract when he reads it in front of all parties involved. If a person who does not speak German wants to buy an apartment in Berlin without a lawyer an interpret has to be a the appointment at the notary.
Notar – Notary
Unlike in some other countries, notaries in Germany don’t have a advisory role during the transaction. They stay neutral and are purely there to execute and make the transaction visible & official to the eye of the German state. They also make sure that all documents are valid to put your name of the land register. Their fee depend on the value of the property. Don’t expect to understand any of their administrative German while making their deed, it’s purely formal that they enunciate orally all elements of the transaction and the contract.
Hausverwaltung – Property Management
While not directly involved in the process for people who look to buy an apartment in Berlin, they are a valuable contact to have as they often provide all the documents to prospective buyers. Those documents give away important information about the property as we have seen. Most of the time however, the agency representing the seller has gathered those documents for the buyer already.
Where do I find apartments to buy in Berlin?
The usual estate platforms
I won’t surprise you too much by telling you to look at platforms such as
The digital landscape is not that all competitive. This also due to very bureaucracy-driven culture here, where handling matters directly between private people is fairly unusual. Alternatives that tend to highlight inserts from landlords directly are the following:
Don’t expect miracles, but it’s still interesting sources.
Classifieds, newsletters & social networks
This is a less usual route, but it can yield interesting results. It can also lead to a cheaper acquisition cost.
A lot of estate agencies have their own newsletters. This is often where newly available flats to buy in Berlin will be made public/available first, before they go on Immoscout and such. Don’t forget to sign-up for those.
Estate project developers
If you are willing to look a Neubau, there is no better option than to source offers directly on the developers’ websites or on platforms listing Neubau projects around the city:
Consider auctions
This option is often little known but several properties are being sold at auctions. This could also represent a good opportunity to bid and make a bargain and buy an apartment in Berlin but involves a few issues.
- You are almost always not permitted to visit the place since it is an auction.
- The tenant or the owner is not obliged to let people see it so most of them just don’t, making this a wild card sometimes.
- You do have access to all regular documents though.
- Auctioning in German can be tricky .
You also have be present physically at the auction and transfer 10% of the estimated value to enter the auction. All apartments for sale in Berlin are listed on this website.
This option may not the best for first-time buyers in Berlin. Consider it your wild card.
How do I maximize my chances of success?
Make sure your bank/broker is aware of your wish
Once you have reached an agreement with the seller, it is important to go as fast as possible. Since a bank will likely be involved, you need so make sure your contact person at the bank is aware of your search. Something I did for example is to send my bank an “alert” about a flat I was “about to buy” to rehearse the process with them and keep me in their top-of-mind.
Provide a financing confirmation
Your bank or broker can provide you with a document called “Finanzierungsbestätigung” or “Finanzierungsnachweis“. It’s a document stating that your current financial situation can indeed give you access to a mortgage for x amount. It’s additional security for the seller that the process will go smoothly if they decide to a make a deal with you.
This document is however non-binding for the bank because it needs to have details of the property in order to approve for the mortgage completely. It’s a subtle difference.
Quick look at prices in Berlin:
With purchasing a flat in Berlin comes the question: how much is it going to cost me? The unfortunate answer is: “It depends”. I won’t go into details on factors impacting prices (location, Altbau/Neubau, condition, tenant/no tenant, etc.). This is best done by an expert. I will instead insert the following map that shows the cost for a 80m2 Neubau in 2021:
It’s an imperfect representation of the current market, but it’s a good start. You can also look at this detailed report, district by district. It even boils it down by neighborhood.
Typical process during a search
This is how you buy an apartment in Berlin
- Set your requirements and get real about your search/priorities
My first priority was always location-location-location when I wanted to buy an apartment in Berlin but you might feel differently. Try to get a sense of the market and know what’s reasonable to expect. Don’t hesitate to widen your net at first as it is by visiting many apartments that you will know which requirements should be considered with more flexibility.
- Create alerts on all estate platforms to get the latest offers
Set search agents to get alerts by emails as soon as a property matches your requirements. This way, you are sure to put a foot in the door early. Signup to agencies’ newsletter too.
- Talk to a few agencies for guidance & reality check.
Agencies can be powerful allies when you pick the right ones, they help you to get through all the administrative stuff especially if you don’t speak German. They also represent the chance to be brought-in first (or at least early) when something new is being put out for sale, which is really important in the Berlin estate market. Just make sure to pick the right ones.
- Go and visit interesting properties even if they don’t match your requirements exactly
This relates to my first point. This is really important because it will teach you the reality of the market and allow you to make a more qualified search. You also don’t want to dismiss a property that might have been “above par” after all. So go see a property that’s a bit further than that Ubahn Station. Go see that flat that looks like it’s been in a war zone. Go see that house that doesn’t have central heating. I can’t stress how important this is.
- Check ALL parameters of the property (location, location, location but also…)
In my search to buy an apartment in Berlin, location was my first priority so i naturally had special eye for this when weighting my decision. However, try to push away the “sexy” parameters for a second and consider the other very important parameters. Space, location, orientation and lay-out are all important but make sure to check how the finances of the property looks like, how expensive the monthly expenses are, if there are any renovations already planned, etc. Those parameters can make the difference between a good deal and a bad one.
A lot of people, even experimented ones, often dismiss an opportunity because they only look on the surface of things and don’t look at the actual potential of a place. A poorly equipped kitchen, a really dirty living room shouldn’t put you off. Look at the bigger picture and think about the potential you could uncover with a bit of work & time. Little gems can hide under gravels. 🙂 - Make your bid fast, but take your time too…
If you are convinced you have found your dream property, be fast ! Others may be faster than you. However, you still need to be remain cool-headed. Don’t rush and ask all the necessary documents but be quick about making the decision. You might also want to use the service of a building surveyor (Immobilien Gutachter/Bewertung) too to check if walls are sound.
I hope this all-around guide about how to buy an apartment in Berlin was useful to you. Don’t hesitate to suggest improvements or ask questions in the comments.
PS: this post got quite popular so I decided to make one about how to approach the issue and sell an apartment in Berlin.
Hey Bastien,
Its an excellent article and you have covered many very fine points. Kudos and thanks for sharing it out especially for the English speaking people out here.
My question: With the whole inflation, high interest from banks, and later on the tax if you sell soon, up-keep and maintenance cost, risk of many special charges: Does it still make sense in buying a house if you want to sell and gain some money for the future? In Reddit I even read, many find is hard to even break even. The only bright spot I see (according to the immoS webpage) is that the housing price is increasing in berlin approx 10% in an year. What is your opinion on this considering a scenario an expat wants to sell the property in few (5-10) years, does it still make sense?
Hey Aron. This is an excellent question, probably the main question that everybody wants an answer to. Short answer is: it depends. Price, location, tenants, Neubau vs Altbau, trends, family plans, job situation: there are so many parameters to take into account. Only you (with some help & research) can answer that question. Right now, I’d personally view estate as way to resist inflation & depreciation, more than a way to make big bucks, but that’s my opinion only. Maybe ask on the FB group in the post to get more opinions.
Hi Bastian!
Great article. I have a couple of questions for which I hope you can provide some advice for!
1) Do you have a rental agency you recommend?
2) Are there any foreigner tax differences? for example, having to contribute more at the end of the year or pay a higher price for the home? This is, if I was the resident of the home.
3) If the first step always to speak with your bank or if speaking with a real estate agent recommended.
Thank you so much!
Hey Donna. Glad it was helpful to you. 1). No I don’t. There are so many and since I’m not active in the market, it’s hard to give actual recommendation. 2)Not that I am aware 3)When nothing can happpen without the bank, it’s best to assess what your financing options are first. It can also be an independent broker, mind you.
Hello, As a home owner in Berlin B region can someone highlight or give an approximate figure as to how much it costs for property tax, garbage collection, Chimney sweeper, sidewalk tax ..etc monthly / yearly
Thank you
Hey Namita. That’s a tough figure to give because it depends on the type of property, construction year, location, etc. Many parameters. Could be 400€/month, could be 850€… What type of property are you looking at?
I never knew someone could write an article with such clarity and dexterity that the online websites demand these days. Amidst all such pressure, coming up with such a nice article is indeed incredible. Thanks to the writer of this post as he or she has done a really great job.
And most important thing. Dont brag about it that you bought an appartment. A lot of “Berliners” dont have the economical situation to afford a flat. Everyone who buys (and then even just rents the flat instead living there) is basically contributing to the increasing housing crisis in Berlin. I understand the motivation but avoid to put phrases like “London / Paris is sooo expensive” or “Just moved from Switzerland and bought an appartment”.
Some call it “Neid” other “social Injustive”….just be aware of it :).
Hi Bastien,
Great article.
I just have some confusion about the roles of rental agents/lawyers/tax consultants, and additionally from my side, financial advisors.
First of all, is financial advisor the same thing as tax consultant (Steuerberater) ? If yes, I thought that they also work on performance basis (since you mentioned “it could be a good idea to spend a bit of money on a tax consultant”)
Second, you mention in the article “Agents fees up to 3.57%” . Does this cover all the different (above-mentioned) parties being potentially involved in the procedure? Because you later mention that “there should be no fees involved hiring an agency as they work on a performance basis”. So I assume that this is related to a potential hire of Tax Consultant and Lawyer ?
And the last point, it seems that there can be an entity that serves you as a combination of Tax Consultant and a Lawyer. If that is correct, that looks like a good option to me, as it reduces the number of entities involved. Did I got that right ?
Thanks in advance for your help!
Vlad
Hey Vlad. A Steuerberater can offer financial advisory services to some degree, but not beyond their specialty. Financial advisor encompass more skills/services & can consult on various topics such a retirement, estate investment, stocks etc. Both roles can collaborate with each other and there can be some overlap, but they are not the same. When i mentioned “agents”, i mean “estate agents”. And again tax consultant & lawyers are different jobs.
Thanks for the very helpful post. Just one question about working with a realtor/agent. When I look online at properties on one of the several sites (e.g., immobilienscout24), most properties list an agent (Anbieter) to contact for more information (someone I would call the listing agent). If I understand your advice correctly, you would suggest having my own agent (e.g., someone from Invest-AB) and work with him/her to learn more an apartment rather than contacting the listing agent directly? Thanks in advance for your help.
Hey Max. You can go both ways really, it depends how confident you are doing this on your own. There is no “right way” to do this.
Hey, thanks for sharing a great piece of information.
Can you throw some light on how owning a house effects tax deduction from salary?
Hey Heena. Right now, i can’t think of anything but some expenses on an house may be put off in taxes.
Very good article indeed. do you know if it is recommended to get a credit to pay for the initial deposit ? Will it affect the possibility of getting a mortgage?
Hey Himanshu. You’d need to meet with a finance advisor for a qualified response but it’s probably best to be able to pay that from your own pocket, as well as the fees too.
Excellent Blog. This is very useful to know the things to be considered when buying an Apartment in Berlin. Thanks for sharing this post.
Hi Bastien. I don’t know if Invest-AB has changed much recently, but we haven’t been able to get much info from them. I was told by them that a 3 room flat will be 300k + We’re not looking for a place in any of the trendy areas and we don’t mind if it’s occupied (we’re not ready to move yet), so we were surprised that the price would be that high. Then Invest-AB said they’d get back to us with a place that might be right for us, but we haven’t heard anything. Can you recommend any other agencies or do you know if it’s possible to find someone who can act as a purchasing agent to help us look? Thanks!
Hey Emelia. Thanks for your feedback. This doesn’t seem unreasonable, but of course there are so many parameters to take into account. Berlin prices have grown by a lot (the biggest worldwide increase last year!). You are of course right to try your luck with multiple agencies at the same time. However, i have been out of the game for a little while, so there is no other agency i can recommend without any doubt. Sorry. Good luck for the search!
Dear Emelia,
Thank you for your message and your interest in our agency.
As Bastien replied, the prices increased rapidly – specially in the last three years – and if you check offers on the current market, you can see it pretty fast. If you find a cheaper offer than the average prices of the area, then we always recommend precaution as it certainly means that something is wrong or not clear.
We might have had a conversation about prices and if we did not have anything matching your search criteria in our portfolio, we prefer being honest to clients and not suggest something they might not want. We always say that we will contact you if we have an offer that might interest you – and we really do it – and if we do not have anything, then we do not have anything. Nobody wants to receive offers that does not match search criteria.
To be able to see if we can help you and to understand better your search criteria, we would need your full name as we do not find any mails from an Emelia in our Databank/Mails, which makes us hard to connect the dots and to know what were your search criteria. Please feel free to contact us again by e-mail and we see what we can do.
Have a great day!
Best regards,
Jean from Invest-AB.com
I just called to Invest-AB the first time this morning because of the recommendation in the blog and got quite interesting customer service, so I’m not bothering them again. I wanted to ask general questions about how the process of bidding an apartment goes, what I should take into account when reserving an apartment and so on and the person in the call told me he can’t help me because I’m not their customer and then after 5 min he complained to be giving me now answers for free and that I didn’t even tell my name in the beginning of the call (which I actually did).
I’m not native German speaker and lived in Berlin less than 2 years and about to make the biggest purchase of my life so would like to really feel trust when dealing with potential agency and can’t really say I got a good impression.
So sorry I took 7 min in total your time this morning for free!
Dear Marie,
Thanks for your comment. We are always open to constructive feedback in order to improve our customer experience constantly .
In your particular request, 2 points were not reported correctly in your comment. First, you have not presented yourself and you did not mention that you found an apartment through another agency than ours. Second, we are not allowed to answer in the name of other agencies regarding a reservation process. Third, we have a dedicated service for this kind of situation and buyers in your situation ask us for a consulting service. Most of our clients arrange a real estate consulting appointment.
We are ready to help people willing to buy in Berlin with English language support. We are aware it is an important purchase in their life, we deal with them every day. For that, we have a consulting service that you can book with our agency if the property is not for sale through our agency.
We hope you understand this position and wish you all the best with the purchase of your property. If you need any consulting, please feel free to contact us.
Hi,
I`m considering buying an apartment in Berlin.
Can you please help me to understand how meeting at notar should end? After agreeing on everything with seller. Should I receive copy of signed contract and the end of the meeting at notar? If not when and how I should receive it?
Thank you in advance for your help,
BR,
Barbara
Hi Barbara,
Since in Germany only notarized purchase contracts for real estate or land are legally binding, a notary is needed. The notary in Germany requires all documents to be in German, hence you will be required to be present with a German speaking representative, and their identity will be recorded as a witness.The notary serves as a neutral intermediary between the contracting parties, they noatrize the purchase contract of the property and arrange the request for the land charge at the land registry (Grundbuch).
Typically, if you use a bank you will need to make sure that your loan contract is prepared before the notary appointment otherwise you will run the risk that you sign the purchase contract (legally-binding) without being able to finance the property. Hence, we always suggest to understand your mortgage options well in advance of the final signing. Please note, you always have up to 2-weeks to cancel the mortgage contract even if the notary appointment is cancelled or the seller pulls out last minute.
Kind Regards,
Nick@Hypofriend
Hi Bastien,
Thank you for your feedback. Do you have any a advice for an agency or someone that can renovate my apartment ?
Regards,
Dassise
Hi Dassise, i know Invest-AB can help you find the right professionals but i don’t know any myself sorry.
Hi,
Do you have any contacts who can inspect the building for you? (like a surveyor)
Regards,
Manasi
I cannot recommend anyone at this point i’m afraid.
Compared to US real estate markets with multiple listing services, the Berlin market seems not very transparent and very fragmented. How do you find reliable (that is accurate and disinterested) information an such questions as price trends, time on market of individual properties, differences of offer and closing prices, etc? Is this even possible, or do you just pay the asking price and hope for the best?
Hi Phil. It’s like anywhere else in the world; you get a better understanding with time and experience as you are active on the market. Otherwise, you need to “buy” this information from an experienced estate agent via consulting fees.
Good read!
What are my rights, as a buyer, if the property comes with a tenant and a contract. Can I end the contract and move in?
Hi Daniel. Germany is very protective of tenants. Depending on the contract, it’s not unusual to see tenants leave after years. It’s on a case by case basis.
I plan to go to Berlin to see properties. Eventually I will want to buy one, but I will no longer be there. My brother lives there so I thought giving him a power of attorney to buy the property for me. Is that called Vollmacht? Who can make the document? A lwayer or notary? Any info on this might help. Thanks!!!
Hi there. Yes it is called a Vollmacht, a lawyer can help you do it as the notary is staying neutral is this.
Good article. Would like to add that banks no longer give you finance for a property unless you earn a taxable income in Germany.
While it’s a pity, it helps avoid foreign investors inflating property prices, which I guess is a good thing for the German economy.
Hi Dana,
I am the founder of http://www.hypofriend.de and would like to chime in on this since we’ve also helped people with foreign taxable income secure local German mortgages. The downpayment requirements are between 30% & 40% depending on the rental income as are the interest rates. But I can confidently we say it is possible as long as your are not self-employed abroad.
For more questions please check our website.
Kind Regards,
Nick @Hypofriend
Can you tell me a bit more about how the property auctions go?
The price/value listed on the website, is that the starting bid? or what they think it is worth?
Any idea how long you have to pay what you bid?
Explain the 10% bit to me- is that like you have to pay that to even bid? Or just show that you have that much?
As usual, love your blog posts. Thanks!
Hi Brian. Yes, the prices listed there are the starting bid and you need to transfer the 10% beforehand to be able to enter the auction.
Hey
Does anybody know anything about “in-berlinhomes.com”, we’ve been scammed out of £2000 previously trying to find a place so want to be 100% sure now and can’t find any reviews online. We can make an appointment to view the apartments and are doing so but just have a constant uneasy feeling about everything now after losing the first amount on money.
I’ve been renting an apartment for almost 2 years with them and haven’t had any issues.
I was not able to view the apartment before renting it but it was 100% what was advertised in the ad.
Sometimes they do take forever to reply though when talking about contract renewals.
Thanks for good information, What about costs for foreigners? Does it cost more to buy or rent apartmanet or the same as german people?
Thanks for answer.
Hi Luke. Market prices are the same for all and there is no extra-tax for foreigners if that’s what you are asking. However, please note that there may be additional regulations from your home country. Also, you might pay more/lose money indirectly, because your level of information is not the same as locals, hence the need for an agency sometimes.
Thanks for a very helpful article!
I’m wondering if I would need to consult a Tax Consultant before signing a contract, or can it be done afterwards?
Hi Johnny. Do you need to meet one before signing a contract; it’s optional but recommended to understand more about the impact it will have on your finances. Do you need one after: probably a good idea to optimize your investment.
really clear and helpful.
Thank you 🙂
Fantastic piece. Well-structured and thorough. Super useful as a starting point and to have this overview. Thanks a lot!
Hi Bastien!
Great article, very informative. In your experience, what is a normal % required for the deposit upfront on an apartment?
Thanks,
Madeleine
Hi Madeleine. Thanks for leaving a comment. I’m glad it helped. Usually banks here require 20% to 30% of the total loan, depending on your contract.
Hi Madeleine,
I am the founder of Hypofriend and would like to chime in on this since we’re a licensed German mortgage broker. In Germany, the minimum downpayment depends on a number of factors, the main factor is your residence status, if you are a blue-card holder or non-permanent resident, you should expect to put down 10%. Additionally, you should expect to at least cover the purchase fees (up to 15%). Finally, a downpayment of 5-10% can save you a lot of interest as the interest rates drop significantly due to a lower Loan-to-value.
For more questions please check our website.
Kind Regards,
Nick @Hypofriend
Very good explanation! I am a French citizen and right now I am in San Francisco with my daughter.
I return to France in a couple of weeks; is it possible to send me a brochure for a one bedroom and two bedroom with their prices and monthly expenses ( charges and taxes)
Thank you
Hi Eddie, please contact an estate agent directly. I am not one of them. AB invest, the agency in this article does speak french.