Personal assets used for the purchase or financing real estate. This includes cash, bank and savings deposits, stocks or unencumbered real estate, as well as the cash value of life and pension insurance.
Association of all apartment owners. The rights and obligations of each party are governed by the declaration of apportionment, the association rules, and the house rules.
This includes all parts of the property that do not belong to any individual in the owner's association (special property) or third parties. Examples: staircases, elevators, façades, roofs, and power lines.
Register administered by the district court (Amtsgericht) containing the legal information for a property. The register includes the size and type of use, ownership as well as rights, encumbrances, and restrictions.
Land acquisition tax
This tax applies to the acquisition of real estate or land. It is a state government tax and amounts to between 3.5% and 6.5% of the purchase price depending on the state. In Berlin, the current rate is 6%.
Security on the part of the borrower towards the creditor that is entered in the land registry. This secures the bank's loan receivables with regard to the borrower. In case of failure to pay, this can be enforced and used to cover the loan debt owed to the bank.
Owner's association fee
Monthly advance payment for utilities and maintenance fund of the owner's association. This is normally paid to an administrator based on an economic plan.