Update: Increase or Property Sales Tax in Berlin

www.properties-in-berlin.com

The Berlin Senate has now decided to raise the property sales tax (stamp duty) in Berlin from 5% to 6% taking effect 1. January 2014.

As a compensation the Senator of Justice will introduce a legislation for agent's commission to be limited to 5% plus VAT. Currently there is no regulation but the custom is 6% plus VAT - negotiable, especially for bigger investments. In Berlin as in most parts of Germany the commission is fully paid by the buyer.

Both the level and the fact that the buyer is paying the full commission is a "surprise" for many international investors but in the current "seller's market" situation hard to negotiate.

See the previous posting in this blog.

For support in the identification of the right investment targets please visit our website at www.berlin-portfolio.com. Especially for international Private Investors and Property Funds we provide a task force service for quick reaction to interesting opportunities. We provide independent support for the property search including foreclosure or auction properties and their valuation or appraisal. (Also see our free property market Research Service) Please use this link to the contact facilities provided there to place any requests .
Uwe Falkenberg 

Update: Increase or Property Sales Tax in Berlin