Real estate transfer tax and property tax in the case of leasehold
March 22, 2017 | 25,00 EUR | answered by Oliver Burchardt
Good day,
I intend to build a house in 04420 Markranstädt (plot of land 325 m2), with a leasehold for 75 years. The monthly ground rent is 43.88 euros, and the house itself costs 212,032 euros.
I have calculated the real estate transfer tax as follows:
43.88 x 12 = 526.56€
526.56€ x 18.395 (75 years) = 9686.07€
9686.07€ x 3.5% = 339.01€
So the one-time payment is 339.01€.
Now my question is, how much is the annual property tax and whether my calculation for the one-time real estate transfer tax is correct.
Thank you in advance for your help.
Best regards
Dear questioner,
Thank you for your question, which I would be happy to answer as part of an initial consultation.
I cannot definitively answer your question regarding the amount of real estate transfer tax, as you intend to build a house on the purchased property.
If you are only acquiring the land, your calculation of the real estate transfer tax is correct.
However, the arrangement of the contract for the construction of the house may lead to a different assessment. If the contracts are considered as one (for example, if you acquire the land through a developer and simultaneously enter into a contract with the developer for the construction of the house), the price of the house must also be included in the real estate transfer tax. You should present this situation to a colleague locally so that they can review the contracts and advise you on design options.
Unfortunately, I cannot provide you with the amount of property tax. There should be a so-called unit value for the property, which the seller can surely provide you with. The tax office issued a notice years ago that you should request. Once you have this notice, multiply this value by 3.7%, the amount of property tax B for Markranstädt.
Best regards,
Oliver Burchardt
