Tips for home buyers
Real Estate

Tips for home buyers

Whether home or income object – finding the right property is not so easy: starting with a stable financing on the search to the purchase contract buyers have to make numerous decisions. So that their project succeeds, we have put together the most important tips for home buyers here. 

Convenient location, a well-designed property and the purchase price must be right: Who wants to buy an apartment or a house, has many claims. And rightly so: after all, the purchase of real estate often has long-term effects on further life. The starting point should therefore be a sound financial plan, which also takes into account possible additional costs. At the same time it is also worthwhile to deal with different funding opportunities. Is the financing, the next step is already easier: The search for suitable real estate offers is comfortable and easy from the couch. If you have found your dream home or your dream home, but should not rush: Home buyers should critically review the properties of the object as well as the land register and purchase contract to scrutinize.

In 5 steps to the dream property – and valuable tips for homebuyers 

Step 1: Plan Financing

Who wants to buy a property, should set his financial frame well. Fewest real estate buyers can pay the purchase price one hundred percent out of their own pocket and therefore decide to finance a loan. A high proportion of equity capital is advantageous, as this often leads to more favorable conditions.

Consider additional costs – use funding opportunities

When financing buyers should also expect further costs: Even the regular expenses for brokers, notary and land registry and land transfer tax can beat more than ten percent of the purchase price – further costs are often added. 

Additional costs when buying a house

Who buys house and reason, in addition to the purchase price with notary and land register costs, as well as other costs count. So high are the most important additional costs when buying a house.

Depending on what real estate buyers intend to do with their property, they may be able to avail themselves of different funding options: KfW-Bank offers low-interest loans for the purchase or construction of its own home. Low-income or large families can be supported by the Housing Promotion Act. If you want to rent an apartment or a house, you can instead benefit from the dedication for wear.

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Step 2: Find and find the right property

The one plans his own home, the other the rental property – but property seekers are usually facing the same questions: existing property or new building? Centrally located or rather on the outskirts? The properties of the property itself, but also its surroundings are crucial. Who wants to buy a used property, should also look more carefully, whether renovation work is needed. It is often helpful to consult an expert.

Step 3: Matching property found? Look closely!

If the buyer believes that he has found his dream home, he should not act prematurely: First, he should consult the necessary documents and, if necessary, have them checked by an expert.

  •  Read the Energy Performance Certificate carefully: is the house an energy waster or saver?
  •  See the land register before buying: Is the seller the sole owner? Are there any loads and restrictions? Is the house encumbered with a mortgage?
  •  Take a close look at the development plan: Are there any restrictions on building a house or expanding it?
  •  Is there any monument protection or could the building be listed as a historical monument in the future?
  •  To make sure that the property is not contaminated with contaminated sites such as chemicals, homebuyers should take a closer look at buying interest. 

Step 4: Now it’s time for the purchase contract

Once all the details have been clarified and the buyer and the seller agree, the notary can be commissioned with drafting the purchase agreement.

What points should be in the sales contract and why can a preliminary contract make sense? Answers to the most important questions can be found on our topic page Sales contract .

If the purchase contract has been checked, the notarial checkout follows: In this case, the seller often insists that the buyer presents him with a confirmation of financing or a proof of capital. If the notary contract is signed, the notary enters an opening order – a kind of binding reservation – in the land register.Only then does the buyer make the payment and pay the land transfer tax. Thereafter, the buyer receives the necessary clearance certificate to register as owner in the land register.

Step 5: Transfer and move

If the property is handed over to the buyer, he should check their condition carefully and – if agreed – existing defects have been eliminated accordingly. Here it may be worthwhile to make a log and to recordthe condition of the property exactly. 
Buyers who use the property themselves still have to manage the move. This is associated with the usual hustle and bustle: pack boxes, unscrew cabinets and drag furniture, log off and re-register. In order to save at least a part of the effort, some people prefer to hire a removal company. 

Moving companies

Last but not least: properly secure the new property

Fire, storm and flood: forces of nature, but also a water pipe break can cause devastating damage to your own property. On the other hand, owners can secure themselves through homeowners insurance and natural hazard insurance.

Who helps you with what damage? Here you will find all the important information about insurance .

In retrospect, anyone who has successfully completed the real estate purchase will hardly regret having taken every step of the way to plan and taking sufficient time – for example to obtain additional financing offers, a second viewing appointment, a real estate appraisal or the review of the contract by one legal experts. Because all these steps ultimately make it possible to hedge the purchase well and to protect against additional trouble or expense.

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