REAL ESTATE GUIDE
Knowledge on purchasing, selling, valuation and legal fundamentals of real estate in Austria
The real estate guide by Vision Real Estate provides a concise and clear overview of the key topics for owners and buyers in the Zillertal and beyond.
What is the Land Register?
Land and rights equivalent to land (e.g. building rights) are immovable property within the meaning of Section 285 of the Austrian Civil Code (ABGB) and represent defined parts of the earth’s surface. They are recorded in the Austrian land register.
The land register is a public register maintained by the district courts, in which, in particular, ownership structures, real rights (e.g. easements, mortgages) as well as encumbrances and restrictions of a property are entered (Sections 1 et seq. of the Austrian Land Register Act 1955 – GBG).
Each property is assigned its own land register entry (EZ) (Section 3 GBG), which constitutes the legally relevant land register unit.
The land register entry consists of the property register sheet, the ownership sheet and the encumbrances sheet.
The land register map and documentation contain the deeds and court decisions that form the legal basis for the respective entries.
Erdem David Turan
Immobilienexperte – Österreich
office@vision-realestate.at
+43 664 93409763
What is an Exclusive Listing Agreement?
An exclusive listing agreement (Alleinvermittlungsauftrag) is, under Austrian brokerage law, a contract by which a client undertakes to appoint only one broker to mediate the sale or letting of a property for a specified period (Section 14 of the Austrian Estate Agents Act – MaklerG).
In return, the broker undertakes to carry out the brokerage activities with particular diligence and intensity. This includes, among other things, market analysis, marketing, client management and support through to the conclusion of the contract.
Within an exclusive listing agreement, different contractual structures are distinguished. In practice, it may – depending on the agreement – also be stipulated that a direct sale by the owner is excluded during the term of the contract. However, this obligation does not arise automatically and must be expressly agreed.
An exclusive listing agreement typically also clearly defines the offering conditions, such as the asking price, the duration of the mandate and the broker’s commission.
Erdem David Turan
Immobilienexperte – Österreich
office@vision-realestate.at
+43 664 93409763
What costs arise when gifting a property?
The costs of a property gift depend primarily on the value of the property and the specific structure of the transfer. In Austria, no gift tax is levied on the transfer of real estate. Instead, real estate transfer tax (Grunderwerbsteuer) is payable, the amount of which is based on the property value (Section 7 of the Austrian Real Estate Transfer Tax Act – GrEStG). Depending on the structure, a progressive rate may apply.
In addition, the following costs typically arise:
- Notary or legal fees for drafting the agreement
- Land register fees (registration fee currently 1.1% of the property value)
To determine the relevant property value, a professional valuation may be required or advisable depending on the individual case. As the tax treatment of property gifts depends on specific circumstances, coordination with a tax advisor and notary is strongly recommended.
Erdem David Turan
Immobilienexperte – Österreich
office@vision-realestate.at
+43 664 93409763
What should be considered when inheriting a property?
The inheritance of a property takes place within the framework of probate proceedings. Ownership of the property is transferred to the heirs either by statutory succession or by testamentary disposition.
In Austria, no inheritance tax is levied. However, real estate transfer tax (Grunderwerbsteuer) is payable upon registration of the new owner in the land register. The amount is based on the so-called property value and, in the case of transfers within the family, is generally calculated using a preferential progressive rate.
In addition, the following costs arise:
- Court or notary fees within the probate proceedings
- Land register fees for the registration of ownership
As the legal and tax treatment of inheritance cases depends on the individual circumstances, early coordination with a notary or tax advisor is recommended.
Erdem David Turan
Immobilienexperte – Österreich
office@vision-realestate.at
+43 664 93409763
What additional costs arise when purchasing a property?
In addition to the purchase price, further costs must be taken into account when acquiring a property, commonly referred to as ancillary purchase costs.
Typically, the following apply:
- Real estate transfer tax: 3.5% of the purchase price
- Land register fee: 1.1% of the purchase price (registration of ownership)
- Costs for contract drafting and escrow services (notary or attorney)
- Broker’s commission, if an agent has been engaged
The exact amount of ancillary costs depends on the purchase price, the contractual structure and the involved service providers. A transparent overview of all costs should therefore be established prior to concluding the contract.
Erdem David Turan
Immobilienexperte – Österreich
office@vision-realestate.at
+43 664 93409763
How long does it take to rent out an apartment?
The marketing period depends significantly on the attractiveness of the property, the chosen rental price and the marketing strategy. Learn here how Vision Real Estate approaches the letting of your property and how long the process typically takes.
In the current market situation, letting a property generally takes approximately 1–2 weeks after entering the market.
Erdem David Turan
Immobilienexperte – Österreich
office@vision-realestate.at
+43 664 93409763