New rules for brokerage commission: Who really pays, tenants or buyers?

New rules for brokerage commission: Who really pays, tenants or buyers?

Berlin, Deutschland - What is happening in the world of real estate? In Germany in particular, the real estate market is becoming increasingly dynamic and more dynamic changes also have new regulations. A central aspect is the brokerage commission that arises when a rental or purchase contract is concluded and currently employs many tenants and buyers.

If you conclude a rental agreement via Life at Homes Real Estate, you can prepare for a commission of two net rent plus 19 % VAT. This information has provided Wohnglueck.de. The brokerage company also offers extensive services such as consultations, support for financing and even the option of free property. The telephone accessibility is possible Monday to Friday from 9:00 a.m. to 6:00 p.m. or you can also contact WhatsApp easily.

new regulations for brokerage commission

But how did these regulations come about? By June 2015, there was no legal requirement in Germany that would have clarified who had to bear the brokerage commission. In the past, the tenant usually paid the commission, which often grabbed additional money in his pocket. Real estate sales were essentially a matter of the sellers and buyers, with some federal states settled by a buyer. This has been fundamentally changed when the ordering principle was introduced on June 1, 2015, which states that the broker's customer, usually the landlord, has to pay the commission. Tenants thus benefit from the fact that they can rent apartments without additional fees.

On December 23, 2020, a new law to distribute brokerage costs in Germany was issued. This law means that buyers and sellers share the brokerage costs evenly if both have commissioned the broker. If only one party has commissioned the broker, it may pass on a maximum of 50 % of the costs to the other party. Before this regulation, buyers often had to bear a significant brokerage commission alone, while sellers had hardly any costs, which did not make the situation easier for buyers. The average total broker commission is now between 5.95 and 7.14 percent of the purchase price.

insight into the current market situation

The development of the broker market is particularly explosive, since the range of rental apartments is declining, which significantly complicates the search for accommodation. Many landlords now require distance payments to indirectly recovered the brokerage costs. This topic has recently caused unrest because not all tenants can adapt to the additional financial burdens.

The conclusion? Anyone who deals with real estate cannot avoid the topic of brokerage commission. Whether buying or renting, the new regulations bring both opportunities and challenges. It is worth taking a look at the options that brokers like Life at Homes Real Estate offer - including a loyal reservation option and support over the entire purchase process.