Commercial Property Germany

1. Are there any restrictions on an overseas company or business buying commercial property?	No restrictions
2. Is land/property generally ‘registered’ so that the title/ownership is guaranteed?	Yes, the ‘Grundbuch’ register
3. What are the basic requirements/procedures?	A written contract in notarial certified form; a change of entry in the ‘Grundbuch’; therefore you have to apply for the change at the ‘Grundbuchamt’ (Registrar), established at all German county courts.
4. On average, how long does the process take?	The term for changing the Register entry depends on the region (e.g. Berlin, up to 2 years, Saxony 6 months), however, a pre-entry filing is possible to secure ownership, which takes 3 weeks.
5. What searches are advisable?	The ‘Grundbuch’; and market price research; and other expert’s opinions on the property.
6. What are estimated disbursement costs?	Notary fees (depending on the price of the property); application costs for the ‘Grundbuch’-change.
7. What are the local and/or national tax considerations in the country of purchase?	Land transfer tax (rate depending on the market price); taxes on the profit if reselling the property
8. What other annual local charges are obligatory?	Property tax (3.5% rate, depending on the market price)
9. Are there any other issues to consider?	You buy the land and the property -responsible for any environmental damage.