White house with a red roof, wrought-iron fence gate, and red entrance – Example image for real estate purchase contract

Introductory information on the purchase agreement

Selling a property is one of the important decisions one makes in life. Therefore, we would like to make the contents of a purchase agreement understandable to you. In this article, we will first explain some general information about the purchase agreement. Further articles will explain the specific contents of a purchase agreement, which are in detail: the parties involved, the subject matter of the purchase, the purchase price, the seller's liability for defects, Transfer of possession, use, burdens, and risk, Costs and Taxes, Conveyance and land register entry.

General information on the purchase agreement

Basically, a distinction is made between two types of acquisition, namely acquisition for value and gratuitous acquisition. Acquisition for value includes, among other things, the purchase agreement, barter transaction, building lease, voluntary real estate auction, real estate leasing, but also the award of the bid in a foreclosure sale, expropriation, and urban land consolidation. Gratuitous acquisition includes, for example, a gift or inheritance. Every purchase contract contains a precise description of the property to be sold.

The contract itself is a bilateral legal transaction in which the seller undertakes to transfer ownership of a plot of land to the buyer and to hand the property over. This applies equally to developed and undeveloped land. However, the buyer undertakes to pay the agreed purchase price on time and in full and to accept the property.

For the transfer of ownership to take place, German law additionally requires the Agreement on the transfer of ownership. In the case of real estate, this agreement is called „Auflassung“ (conveyance). Furthermore, an entry in the land register is necessary.

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Question:

What form does a purchase agreement need to take?

Answer:

For a property to be sold or purchased, it requires notarization. Based on the information provided by the buyer and seller, the notary draws up a draft purchase agreement, which is then read aloud at a joint appointment and signed by all parties involved.

Notarial certification serves several functions. It should protect the buyer and seller from ill-considered and hasty real estate transactions. Furthermore, the advisory function of the notary is important. The notary must ensure that the intentions of the buyer and seller are recorded in writing correctly, completely, and in a legally effective manner. The purchase agreement thus becomes a notarial deed that is kept in official custody and thereby also fulfills an evidentiary function.

Notaries must always independent and impartial be. Notaries are therefore appointed to a public office for the certification of legal transactions by the responsible ministries in the respective federal states. The costs for the notarization are uniform.

Statutory deadlines

At sales contracts between businesses and consumers do notaries have the task of ensuring that the legally prescribed deadlines are observed. In practice, this means that the consumer Contract text at least 14 days before notarization is presented. For example, when a property developer sells to a private individual or an investor acquires a plot of land from a private individual.

The legislature wants to ensure that the consumer has sufficient time to review the contract content and therefore has the opportunity to obtain comprehensive advice. However, if the seller is a private individual and the buyer is as well, there is no statutory 14-day period required by law. But of course it makes sense to take enough time for the purchase contract before the actual notarization takes place.

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Important notes

For the sake of completeness, it should be pointed out that collateral agreements and substantial subsequent amendments must be notarized. Otherwise, there is a risk that the contract will become void. As for the content of the purchase agreement, the principle of freedom of contract applies here.

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Great professionalism and constant availability

Now that the sale of my apartment has been completely finalized, I would like to take this opportunity to thank you again for the excellent cooperation with your agency. The marketing of the property, especially the exposé you created, was of a high standard and presented the property optimally. Your agency was characterized by high efficiency, great professionalism, and constant availability. You advised me excellently throughout the entire sale and truly accompanied me until the final formalities. For these reasons, I can only wholeheartedly recommend your agency.

Dr. J. L.

Thanks to Mr. and Mrs. Rogers, we found our dream home :)
The care was, from the first second to the last, very, very friendly, professional, and accommodating. We couldn't have wished for a better collaboration and would like to thank you sincerely! :)

L. B.

We would like to thank Ms. Rogers and Mr. Rogers from the bottom of our hearts for their exceptional support as we searched for our new home. After more than three years of intensive searching and numerous meetings with various real estate agents, we have finally found a team that has impressed us not only with the highest level of professionalism, but also with their warmth and great dedication.

From the very first contact, we were guided through the entire purchasing process with great care, patience, and friendliness. Also worth mentioning is Ms. Kaufmann—a financing expert who was recommended to us by Ms. Rogers. The collaboration between Ms. Rogers, Mr. Rogers, and Ms. Kaufmann played a key role in ensuring that all the formalities went remarkably smoothly and without complications.

Communication was always open, honest, and warm, and the advice was professional and tailored precisely to our needs. Thanks to this support, we were able to make our dream of owning our own home a reality.

We wholeheartedly recommend Rogers Immobilien to anyone looking for real professionals with a human touch. Thank you again sincerely – we will remember you fondly!

M. G.

A fantastic and very honest real estate agency—Mr. and Mrs. Rogers were highly knowledgeable and provided us with the best possible advice and information at every step throughout the several-month process of purchasing an older home. 5 stars—that’s become a rarity in Munich!

P. W.

While searching for an apartment to rent in Munich, we eventually came across a property listed by Mr. and Mrs. Rogers. We have nothing but positive things to say about the entire process, from our initial contact all the way through to the handover of the apartment. Everything went very professionally and smoothly. Mrs. Rogers was always approachable and went out of her way to answer even the smallest questions as quickly as possible and to gather all the requested information. Mr. Rogers organized and conducted the apartment viewing and subsequent handover very carefully and conscientiously. All in all, we were extremely satisfied with our interactions with Mr. and Mrs. Rogers and can highly recommend them!

S.R.

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