A

Architects

We want you to feel completely at home in your apartment, so we’ll build it to suit your requirements as far as possible. You can be involved in discussions with architects and building project managers. You won’t even have to pay for this service, for we are happy to provide the first five hours of consultation on your behalf. In our experience, clients find this quite sufficient. Just let us know what you want.

B

Building specifications

In the building specifications you will find a detailed description of construction methods used in the whole building, specifying the materials used and works carried out.

C

Commonhold ownership

Commonhold ownership confers sole rights to an apartment intended for residential use. In this case it is known as residential property. If private property is used for other purposes (storage, parking) it is classed as shared freehold. Regulations stipulate in any case that such spaces shall be self-contained. Individual rights of ownership are defined in the declaration of division, along with the regulation of common property. Note, however, that not everything in your apartment comes under individual ownership. Load-bearing walls, windows and screed floors, for example, are common property.

Common property

Common property refers to everything that does not belong to just one owner but to owners of all apartments in the building. This includes the land, façade, roof, load-bearing walls and some other things too.

Condominium Act

The German Condominium Act (WEG) provides the basis for all regulations regarding commonhold ownership, common property and administration, as well as building regulations and management procedures. Long after construction is completed, our in-house property management service will still offer you competent agents thoroughly familiar with building management. There are many similarities with project management and site operation – and you can be assured of the requisite attention to detail.

Conveyancing solicitor

A conveyancing solicitor is an impartial lawyer whose competencies include certifying property sales. They will point out the legal implications of the contract of sale, which has to be read out aloud. The purchase price can be transferred into a separate fiduciary client account, normally held by solicitors. This affords greater security for clients.

D

Declaration of division

The declaration of division is the legal basis for sharing a building between different owners. In a declaration of division certified by lawyers, owners have to register residential and common property on their land with the Land Registry. This records which parts of the building are defined as individual property and which remain common property. The declaration of division determines the proportion of the building in common property belonging to each owner. When the declaration of division has been approved, the original title to the apartment building is concluded and the Land Registry draws up a separate title for each individual apartment. The declaration of division and associated documents are kept at the Land Registry.

E

Energy Performance Certificate

Facts and figures relating to the energy efficiency of your property can be read on its Energy Performance Certificate. This EPC identifies standards in energy-efficiency and determines access to subsidies from the German development bank KfW.

Estate agent fees

Estate agents charge a broker’s commission. With projects managed by SAMONIG Berlin, though, you can forget the fees charged by estate agents: we always deal directly with clients. Our prices are final purchase prices: the only additional charges will be those normally associated with property purchase, such as legal fees and property purchase tax, also called stamp duty.

F

Floor area

The floor area of a residential apartment includes all usable spaces. This includes living space and cellar storage, but not service areas such as boiler rooms or thoroughfares such as staircases or entrances to the building.

Floor plans

Apartment floor plans can vary and may be adapted to suit your requirements as far as construction works still allow - within limits permitted by structural engineering and wiring in the building.

Finance and borrowing capital

Property purchases are usually financed in part with borrowed capital. Loans from banks, building societies or third parties might provide such capital. We will be happy to recommend independent financial advisers. These advisers receive a payment from banking institutions when credit has been secured – not from you.

Fixed interest rates

Borrowing at fixed interest rates guarantees rates of interest for the whole period covered, regardless of any national interest rate changes. The KfW German credit institute for development will give selected buildings an ‘energy-efficient’ rating. All our properties meet their standards for energy efficiency and are thus eligible for subsidies: we will tell you how to apply for these. Please note that we are not allowed to offer you advice on the law or tax matters: this brochure merely provides you with general information, rather than specific advice. We recommend that you seek appropriate legal and financial advice before proceeding.

Fixtures and fittings

You can choose fixtures and fittings for your own apartment to suit your individual tastes. For details of options available, please consult the building specifications and our catalogue. Our experts on interior decoration will be ready to advise you if required.

L

Land registry

This is a public register of property, recorded in terms of land (section 1), encumbrances and restrictions (section 2) and mortgage or security rights (section 3).

M

Management company

All property owners within an apartment building belong to its management company. All apartment owners have a say in decisions made by the company and are represented by its directors.

P

Property purchase tax or stamp duty

Buying a property incurs a one-off payment of stamp duty (land tax). This is levied by the local finance authority; in Berlin it currently represents 6% of the purchase price.

Purchase price

Payment of the purchase price is normally required in seven instalments, calculated according to the stage reached in construction: you only have to pay for building work that has already been completed. This serves to protect your rights as a consumer; you are also entitled to hold back 5% of the purchase price until all works have been completed as agreed, in accordance with regulations applied.

R

Refurbishment

Refurbishment is a term often used in renovation. Buildings cannot retain their value without regular maintenance and renovation. When an old building undergoes a process of thorough, quality assured, sustainable modernization and updating, this generally requires complete renovation. The result is a new build within an old building: modern living standards with the unmistakable charm of an older building’s history.

Rent index

The rent index gives an overview of local rent levels for comparison and serves as a guide for tenants as well as landlords. Our projects are classified as new build apartments in older buildings. This means rent can be negotiated without restrictions when renting out for the first time.

S

Shared freehold

Shared freehold relates to individual rights to spaces not used for residential purposes, which are part of the common property. Garages, for instance, will be subject to shared freehold.

Shares in common property

Owners of each apartment also own a share in any common property, relative to the size of apartment owned. Specification of that share determines the extent of legal responsibility for each owner and is laid down in the declaration of division. to brokers and property developers.

Signing the contract

As soon as we know your requirements for the floor plan of your new apartment and have details of your finance arrangements, we can sign the sales contract. It is a legal requirement for property purchases to be certified by a solicitor, which means the contract of sale has to be read out word for word at our meeting. To comply with consumer protection regulations, that certification meeting has to take place at least 14 days after receipt of the draft contract. You should expect it to take about two hours.

Special right of use

This relates to an individual’s sole right to use specific parts of common property. Owners of other apartments are not entitled to use these. Such areas remain common property and thus under the responsibility of the management company. Garden areas and terraces are likely to fall into this category.