Buying an apartment or house is a big investment, so a thorough review of the real estate purchase agreement and the associated documents such as the land register or the declaration of division is essential. Contracts are often incomprehensible to normal people and full of legal terminology. We will help you to understand the contracts and check for you whether the contract disadvantages you or contains clauses that are unfavorable to you. We will also show you the risks.

Real Estate Law: Basics and Importance

Definition of Real Estate Law

Real estate law covers all legal aspects related to the acquisition, ownership and sale of real estate. It protects the rights of buyers, sellers and owners and ensures that transactions are legally sound.

Why Is Real Estate Law Important?

A sound understanding of real estate law is crucial to avoid legal problems and ensure that your real estate investments are safe and legally compliant.

Real Estate Purchase Agreement Review

Why Real Estate Purchase Agreement Reviews Are Essential?

The real estate purchase agreement is a legally binding document that sets out all the terms and conditions for the purchase of real estate.

Carefully reviewing a real estate purchase agreement protects against hidden clauses and unforeseen costs. It ensures that all contract terms are fair and transparent. Small mistakes or negligence can lead to legal problems and major financial disadvantages later on.

Buying an apartment or a house is something special and unique for most people – you don’t buy an apartment or a house every day. It is also usually a large investment that you have to pay back over several years. It is therefore important not to neglect the risks and not to sign the real estate purchase agreement in a hurry.

It is important to note that the real estate agent only receives his commission if the buyer signs the real estate purchase agreement – the agent’s statements must therefore be critically questioned and checked. The small print of the exposé always states “all information is based on information from the owner/seller”.

What’s Included in a Real Estate Purchase Agreement Review?

 We comprehensively examine the entire contract, including the associated documents – in particular the land register extract (Grundbuchauszug) and, in the case of apartments, the declaration of division (Teilungserklärung). We can also focus solely on the property purchase agreement or specific documents based on the client’s needs. We analyze and check the contract for unclear or unfavorable contract clauses, hidden costs and disadvantageous conditions, so that you know your risks before buying and there are no nasty surprises afterwards. The contract should be fair and legally correct. Formulations that are unfavorable for you can cause problems and high additional costs later on.

Real Estate Lawyer: Expert Guidance for Property Deals

Why Consult a Real Estate Lawyer for Property Purchases?

A specialized lawyer knows the intricacies of real estate law and can advise you comprehensively and represent your interests. The real estate agent, who is usually hired by the owner, and the seller are only interested in selling as quickly as possible at a high price. The notary is obliged to be neutral and therefore cannot represent your interests.

It is therefore very important for you to have someone at your side who looks after your interests and checks the real estate purchase agreement for risks and formulations that are disadvantageous to you.

Kanzlei Sven Wittke – Real Estate Purchase Agreement Review and Legal Services in Germany

Our real estate attorney provides comprehensive professional support, including the review of property purchase agreements and related documents. We highlight key points in the contract, offer suggestions for amendments, and answer questions clients may have.

Since the number of documents involved varies depending on the type of property, we typically request relevant materials from clients first to estimate the required work time and determine the review fee. Only after the client agrees to the offer do we proceed with the review. Additionally, we can tailor our services to focus on specific documents based on the client’s needs, creating customized solutions to meet individual requirements.

For international clients, we strongly recommend a thorough review, including documents such as the land registry and the declaration of division. This ensures that clients avoid making costly mistakes due to unfamiliarity with cultural differences or legal systems, preventing unnecessary expenses down the line.

Advantages of Legal Advice

Seeking advice early can help avoid costly mistakes and ensure legal clarity. Before signing a contract with a notary, you should take sufficient time to carefully consider whether you truly want to purchase the property. However, once signed, the contract is generally irrevocable. During the notary appointment, the notary will confirm that you agree to and fully understand all the terms of the contract. The contract will also state that you have read and clearly understood the contents of the land registry and the declaration of division. As a result, attempting to withdraw from the agreement or assert your rights afterward will be extremely challenging.

To avoid unnecessary risks, it is advisable to thoroughly review the contract and seek professional legal consultation before signing. By preparing in this way, you can fully understand the potential risks and confidently decide whether to proceed with the contract.

Our Review Process

We provide an offer based on the information provided by the client. Once the client agrees, we initiate the review process and give a report in German or English according to the client’s preference.

The report will detail the risks and key points of concern in the contract, helping the client fully understand its terms and offering recommendations for amendments. Thoroughly checking risks and adverse terms is essential to protecting rights and interests of our clients. We are committed to revealing potential risks and issues before signing to prevent future disputes and losses.

Apartment Purchase Contract: What to Check Before Signing

Special Features of an Apartment Purchase Contract

An apartment purchase contract must take special features such as declarations of division (Teilungserklärungen) and special rights of use (Sondernutzungsrechte) into account.

Risks of Apartment Purchase Contracts

Is the apartment empty, is it used by the owner or is it rented? – The different case constellations have different risks that must be taken into account when drafting the contract so that you do not have any disadvantages and unforeseen costs later.

Incorrect or unclear regulations can lead to conflicts and problems within the community of owners or the contracting parties. A careful review of the documents minimizes these risks.

Review Your Contract for Security in Every Purchase

Important Contract Components

The lawyer checks whether all important and necessary contract components have been taken into account and clearly formulated.

A detailed look at the contract clauses prevents misunderstandings, later legal problems and subsequent high costs that could have been avoided.

Apartment Purchase Contract Review: Avoid Costly Pitfalls

Special Features of a Real Estate Purchase Agreement for an Apartment

Our audit also includes aspects such as the declaration of division (Teilungserklärung), maintenance payments (Hausgeldzahlungen), business plan (Wirtschaftsplan), maintenance reserves (Instandhaltungsrücklagen), community regulations (Gemeinschaftsordnungen) and the minutes of the owners’ meeting (Protokolle der Eigentümerversammlung).

Common Errors in Property Purchase Contracts for Apartments

Unclear regulations in the contract, such as special usage rights (Sondernutzungsrechte) and maintenance obligations (Instandhaltungsverpflichtungen), can lead to problems later. In addition, a detailed review of the minutes of the owners’ meeting is necessary, as there are often additional costs hidden here that need to be identified.

Land Register Extract (Grundbuchauszug) Explained: What You Need to Know

Meaning of the Land Register Extract

A land register extract contains all land register entries for a property and thus gives the buyer all important information about ownership and encumbrances such as liens on real property (Grundpfandrechte), usufruct (Nießbrauch) or land charges (Reallasten). Knowing and checking the current land register extract is of crucial importance for the purchase decision and the purchase price.

How to Apply for a Land Register Extract

We support you in obtaining and interpreting land register extracts. You usually receive the land register extract directly from the seller or real estate agent.

Declaration of Division (Teilungserklärung): Important Information for Apartment Owners

What Is a Declaration of Division?

The declaration of division is a very extensive document, which regulates the division of a building into individual property units and their use. The declaration of division also contains the community rules/house rules, which are binding for the buyer and regulate the interaction between the owners. It should be noted that often additional changes to the declaration of division exist.

Relevance of the Declaration of Division When Buying an Apartment

A careful review of the declaration of division and their changes ensures that all rights and obligations are clearly defined and known to you. The real estate purchase agreement only briefly refers to the declaration of division, but the exact content and the resulting obligations are not discussed. We check the declaration of division and the changes for special features and problems so that you are not surprised by them.

Apartment Owners’ Meeting (Wohnungseigentümerversammlung)

What Is an Owners’ Meeting?

The owners’ meeting normally takes place once a year. All apartment owners meet and discuss problems and concerns of the house community as part of self-management. The relevant resolutions are made at the meeting, which are binding for all owners. It also serves to supervise the property management.

Why the Owners’ Meeting Matters for Your Real Estate Purchase Agreement

It is mandatory to take minutes of the owners’ meeting. All resolutions and the topics discussed are recorded in the minutes. The protocol shows important criteria for the buyer that are also decisive for the purchase, such as changes to the house rules, the decision on a special levy and, in particular, upcoming repair and renovation measures. We look through the protocols and inform you about important points so that you can include these aspects in your purchase decision.

Real Estate Purchase Agreement Review: Costs and Time Required

How Much Does It Cost to Review a Real Estate Purchase Agreement?

The costs of a contract review depend on the value of the property, the scope of the documents, and their complexity. Once we receive the relevant documents, we can provide a rough estimate of the time required and the associated cost, giving you a clear idea of what to expect. Compared to the potential problems, inconveniences, and litigation expenses that may arise from signing a contract without careful review, the cost of a review is highly reasonable.

Some websites offer contract review services at extremely low prices, but these services often involve only a superficial review of a contract. Their responses are usually too brief to help clients fully understand the details of the agreement. If clients ask further questions or need additional advice, they are often charged extra fees. These fees are typically not clearly disclosed upfront, which can mislead clients into believing they are included in the service. Many only discover the high additional charges after receiving the bill, leading to disputes.

To avoid falling into such online traps, it is advisable to choose a law firm that offers transparent pricing and comprehensive review services. This ensures your rights are protected and helps you avoid unnecessary losses and disputes. We specialize in providing comprehensive legal consultation services for the purchase of houses and apartments. Based on the information provided by our clients, we offer clear evaluations and cost estimates. Our costs are transparent and straightforward for your peace of mind and confidence.

How Long Does It Take to Review a Real Estate Purchase Agreement?

The duration depends on the complexity of the documents and whether all the paperwork and documents are already available. A comprehensive review and a detailed report outlining the problems and pointing out the clauses that are negative for you takes a certain amount of time. We work quickly but carefully so that you receive a report with suggestions for changes and additions as soon as possible.

We are of course also available to answer any additional questions so that you can sign your contract with peace of mind.