Brokerage commission: costs and breakdown

If a real estate agent is involved in your real estate purchase, costs will be incurred. These are called broker’s commission. The amount of the commission depends on the amount of the purchase price as well as on the federal state. For private purchases, the broker’s commission is split 50/50 between the buyer and seller. For commercial purchases, this division is individually negotiable.

• Private purchase: 50/50 between buyer and seller
• Commercial purchase: Freely negotiable

Fees by state: Table

Depending on the state in which the property is located, different fees are due. In principle, you can expect a brokerage commission between 3.57% and 7.14%.

Brokerage commission: 3,57% – 7,14%

So for private purchases, these values apply:

Buying real estate: Learning from A-Z

Here you will find everything you need to know for your real estate purchase from A-Z: owner-occupancy or rental, financing a condominium, apartment search, real estate portals, brokers, valuation, purchase prices, negotiations and taxes. Knowledge and experience from experts, in one guide.

✓ A guidebook
✓ All facts
✓ Insider tips
✓ Purchase checklists

Learn step-by-step the home buying process and lots of insider tips!

• Buy apartment

Living space for investors: Small apartments in A and B locations

As an investor, it is not only important to you to achieve a high rental return and avoid vacancies, but also to rent out your property quickly and easily. Therefore, you should select an optimal living space for this purpose.

Most important: High rental yield, no vacancy & fast leasing

Important: When buying a property as an investment, pay attention to the relation between the number of rooms and the living space. Example: A 120 m² apartment with 2 rooms is just as difficult to rent out as a 60 m² apartment with 5 rooms. Instead, apartments between 50 and 80 m² have proven themselves in the past. One-room apartments with a size of 20 to 40 m² in very good A and B locations are also profitable. These properties are particularly popular among singles, young professionals and students. The only disadvantage: a frequent change of tenants.

Here are our tips in summary:

1. Balanced relation between room and living space size
2. Apartments between 50 and 80 m²
3. One room apartments between 20 and 40 m²

Tip: Avoid vacancy with WG division

So apartments that are too large are difficult to rent out. Why? The target group for such apartments is simply smaller. If you already own such a larger apartment or are planning to buy one, then you can get around these difficulties by renting it out as a shared apartment. Although this entails a frequent change of tenants, it allows you to earn a more effective price per square meter.

You can now find more tips on the optimal property size in my guidebook on Immobilien-Erfahrung.de:

• Size of a property: living space (m²) when buying a condominium? (external)

Microapartments also make excellent investment properties:

Living space for owner-occupiers: high feel-good factor

Compared to capital investors, the subjective feel-good factor plays the biggest role for owner-occupants when choosing the right living space. Most owner-occupants tend to have more living space than necessary. However, keep in mind that a larger property also comes with a higher purchase price. Not to mention the high ancillary purchase costs!

Personal preference and goals are paramount!

Conclusion: How big should your property be?

This question depends on your investment strategy as well as on your individual goals. If you are buying a house or apartment as an investment, you should make sure that the number of rooms and the size of the living space match. In addition to 2-3 room apartments between 50 and 80 m², one-bedroom apartments in A and B locations have also proven successful. If you invest in a property as an owner-occupier, your personal well-being comes first.

If you want to learn even more on the subject of buying a property, whether owner-occupied or capital investment, numerous articles, guides on the subject of rented vs unrented, as well as checklists, all free and 24 hours online available, with us!

Apartment, house, apartment building, everything for real estate beginners!

Now new on Immobilien-Erfahrung.de:

• Buy property: learn – external

Difference: purchase price factor and rental yield

For the calculation of both results, the same factors are used. The annual rental income and the investment costs. The difference lies only in the preparation of the calculation and thus in the result.

Both give an indication of profitability.

Rental yield: result says…. Definition

Result for rental yield calculation:

Rental yield > How much surplus remains each month to cover repayments, interest and reserves for repairs or capital accumulation?

Purchase price factor: result tells… Definition

Result for purchase price factor calculation:

Purchase price factor > In how many years will the investment costs be paid off by the annual rental income?

Simplified, the formulas you’re about to learn look like this:

• X / Y = Z1
• Y / X = Z2

Z = Profitability

My recommendation for beginners: rental yield

As a real estate beginner, you’ll need ongoing income quickly because most of your equity is probably in your first property. For beginners, it therefore makes sense to compare properties on the basis of rental yields. This way, you immediately know what monthly surplus an individual property can generate (for you).

The purchase price factor is more interesting for longer-term investments (target: appreciation and 10, 20, 30 years; before that you pay monthly), where short-term cash flow is not important.

• Tip. Read more about the difference here, on my new project, specifically for real estate buyers! The subtleties between yield & investment real estate – external

Either way, both calculations aim to help them compare different property listings and do it quickly!

Rental yield: Example

Let’s look at both forms of profitability calculation again in detail, with examples.

Once again, briefly the definition: If you calculate the gross rental yield, the result tells you what surplus remains monthly and forms your cash flow. For the repayment and interest (financing of the bank), as well as reserves for maintenance, or everything that then remains for your own, additional asset accumulation.

Formula and comparison

Rental yield = annual net income / investment * 100

Purchase price is 100,000, annual rent 3,200. Calculation looks like this:

• 3,2 = 3.200 / 100.000 * 100
• Result: 3.2

Calculate rental yield: Offer comparison (example)

The result of this calculation is always a percentage. This tells you how much surplus remains to cover the costs (repayment, interest, reserves for maintenance) and ideally a further surplus remains for you as an investor in the property.

With the current interest rate situation, you can expect approx:

• 2 % redemption
• 2% interest
• 2 % Management and maintenance reserves

reckon. Accordingly, properties with a yield of over 6% are interesting for you as a buyer.

• Yield therefore 6% + X

Just like the purchase price factor, you compare different offers in a quick way, based on two factors, the purchase price and the achievable annual rent.

• Object A: Rental yield 6.8%
• Object B: Rental yield 5.3%
• Object C: Rental yield 7.5%
• Property D: Rental yield 4.2%
• …

Accordingly, you would choose to look more closely at Property C, with a 7.5% yield (+1.5% over target of 6%). So the tenant pays off your property and you would have additional monthly income. Also, property A, with still 6.8% yield.

For object B, with 5.3%, you could check later, with your own experience and even more knowledge, whether there are any optimization possibilities, e.g. rent increase, if no adjustments are made by the landlord for a long time.

Learn even more about the return on investment!

At Real Estate-Experience.com, I’ll show you even more about rental yield and ways to make quick valuations, including looking at property location. Learn all about the here:

• Rental yield

Purchase price factor: Example

Again, as a reminder, the definition: if you calculate the purchase price factor as a result, it tells them in how many years the rental income, the investment costs covered.

Calculate purchase price factor: Offer comparison

The purchase price factor is typically between 10 and 40, depending on the region and location of the property, condition and so on. In Berlin the value is between 30 and 38, in cities like Düsseldorf it is between 18 and 24.

Formula and comparison

Purchase price factor = investment / annual net income

Purchase price is 100,000, annual rent 3,200. Calculation looks like this:

• 31,25 = 100.000 / 3.200
• Result: 31.25, so ~ 31

Accordingly, your comparison of real estate listings will look something like this:

• Object A: Purchase price factor 18
• Object B: Purchase price factor 21
• Object C: Purchase price factor 19
• Object D: Purchase price factor 17

So property D is the most profitable, because the financing would be paid by the rent within 17 years. Property A would be paid off within 18 years, property C within 19 years and property B, would need 21 years to pay off the entire financing, through the rental income.

Therefore this tip for you!

Tip. Calculate annual rent

How can you actually calculate the possible annual rent? You are probably looking for your property on a real estate portal, such as ImmobilienScout24, Immonet or another provider. Simply change your search filter from buy to rent. You can already see what rental prices are being charged for comparable properties in the same area or, even better, neighbourhood (1 km radius search). From this, you can forecast the possible annual rent that can be achieved for your property.

Of course, independent of the rent optimization just mentioned, if the previous owner has not made any rent adjustments for a long time, in addition there are upgrading possibilities and expansion possibilities, depending on the type of property.

Conclusion: Purchase price factor and rental yield simply explained

I hope you have found here the simplest explanation there is for purchase price factor and rental yield! If you want to learn even more on the subject of buying a property, whether owner-occupation or investment, numerous articles, guides and checklists, all free and available 24 hours online, with us!

Apartment, house, apartment building, everything for real estate beginners!

Now new on Immobilien-Erfahrung.de:

• Buying real estate: learn – external

In addition, for all beginners, still this tip:

• First property purchase

Most expensive streets in Munich: Seestraße to Sophienstraße

The Bavarian capital is not for nothing one of the most expensive residential areas in Germany. Yet the dream of many is to live in Munich. The metropolis in the south of Germany not only offers fantastic holiday regions for skiing or beach holidays in the Alps or Italy, Switzerland or Austria, but also a unique charm. Munich enchants residents and visitors with historic facades, idyllic squares and plenty of green parks, especially the English Garden or the Olympic Park. If you want to buy a property in Munich, you should be prepared for steep prices. We have compiled some of the most expensive streets, squares and adresses in Munich for you.

Overview: Expensive adresses in Munich and location summarized

Before we talk about individual streets and squares in Munich with their respective details and prices for real estate, here is an overview of the most expensive adresses in the Bavarian capital. Here you have to reckon with a purchase price of real estate between about 10,000 – 20,000 euros per square meter.

• Elisabethplatz – Maxvorstadt / Schwabing
• Flemingstraße – Bogenhausen
• Klenzestraße – Glockenbachviertel
• Königinstraße, Seestraße, Mandlstraße – Schwabing
• Maria-Theresia-Strasse – Alt-Bogenhausen
• Müllerstraße – Glockenbachviertel
• Schellingstraße – Maxvorstadt
• Sophienstraße – Maxvorstadt
• Steinstraße – Haidhausen
• Zuccalistraße – Nymphenburg
• Auffahrtsallee (north & south) – Nymphenburg
• Titianstrasse, Montenstrasse – Nymphenburg

Elisabethplatz: Living in Maxvorstadt

The area around Elisabethplatz is one of the most popular adresses in Munich and is therefore also one of the most expensive. Buyers of property here should expect to pay around 12,000 euros per square metre. Elisabethplatz is located in the trendy Maxvorstadt, not far from the city centre. The English Garden with its extensive green spaces invites you to relax and unwind and is only a 15-minute walk from Elisabethplatz. The Olympic Park is also just two and a half kilometres away. So it’s no wonder that this address, centrally located yet surrounded by greenery, is popular with many Munich residents.

Tip. Here you can also find more information as a seller: Sell property Maxvorstadt

The price per square meter here is up to:

Maximum prices up to 12.000 € / m²

Here at Elisabethplatz you will find top adresses like:

• Schauburg Munich (Theatre)
• Hilscher jeweller

Elisabethplatz in Munich (map):

Flemingstraße: Property near the banks of the river Isar

Flemingstraße in Munich Bogenhausen is a good 1km long and lies in the immediate vicinity of the banks of the Isar. The leafy bank, on whose opposite side the famous English Garden extends, invites you to long, idyllic walks along the riverbank. On the other side, Flemingstrasse is lined by Arabellapark. The immediate proximity to many extensive green spaces and the Isar river make this address particularly popular. Many detached houses and city villas can be found here. If you are lucky enough to get hold of a property on Flemingstrasse, you should expect a purchase price of around €15,000 per square metre.

The price per square meter here is up to:

Maximum prices up to 15.000 € / m²

Here near Flemingstraße you will find top adresses like:

• Various consulates
• Isarufer & English Garden

Flemingstraße in Munich (map):

Klenzestraße: Living in Munich city centre

With a length of just over 200m, Klenzestraße in the centre of Munich is a fairly short but nevertheless extremely popular street. The close proximity to Gärtnerplatz and the Isar riverbank, which can be reached in just a few minutes, make this street an attractive place to live. Munich’s Museum Island and the world-famous Viktualienmarkt can also be reached from here in just a few minutes’ walk. Living in the city center offers many short distances and an everyday life among the popular historic buildings. The infrastructure here is also remarkable, supermarkets, cafés, restaurant and much more are in the immediate vicinity.

The price per square meter here is up to:

Maximum prices up to 10.000 € / m²

Here in the Klenzestraße you will find top adresses like:

• Café 36
• Gärtnerplatztheater

Klenzestraße in Munich (map):

Müllerstraße: Gärtnerplatz & Viktualienmarkt

Müllerstraße runs parallel to Klenzestraße and offers similar advantages, especially in terms of location. For many people who have moved to Munich, but also for native Munich residents, living in the city centre is a wish that is often not easy to fulfil. Those who get hold of a property or apartment here can consider themselves lucky. The proximity to the Viktualienmarkt and Munich’s city centre is an absolute plus for this location, and all the shops that you need to go to regularly are within walking distance.

The price per square meter here is up to:

Maximum prices up to 25.000 € / m²

Here in Müllerstraße you will find top adresses like:

• The Seven skyscraper
• Viktualienmarkt in the immediate vicinity

Müllerstraße in Munich (map):

Königinstraße, Seestraße, Mandlstraße: At the English Garden

These three streets are among the most popular and at the same time most expensive adresses in Hamburg. They are located in close proximity to each other – Königinstraße even merges into Mandlstraße – and border the popular, huge English Garden, which invites thousands of Munich residents every day for walks, breaks in the green or boat trips. Located in the north of Munich and on the western side of the English Garden, the city center can be reached very easily and quickly from these streets. Only the car traffic can be a problem here, at rush hour you should better switch to public transport or the bike.

The price per square meter here is up to:

Maximum prices up to 20.000 € / m²

Here in the Königinstraße you will find adresses like:

• English Garden
• Alliance
• Registry office Schwabing

Königinstraße in Munich (Map):

Maria-Theresia-Straße: Living with a park view

Maria-Theresia-Straße is located in the eastern city centre of Munich on the “other” side of the banks of the Isar and runs parallel to the Maximiliansanlagen. The large and well-maintained park area along the banks of the Isar is an absolute highlight for joggers, dog owners or even nature lovers. Wiener Platz and the Maximilianeum are also within walking distance, as is the Praterinsel, which can be reached via the Maximiliansbrücke. Historic city villas and the one-sided street has a unique charm and offers free, undeveloped views of the park for all residents.

The price per square meter here is up to:

Maximum prices up to 18.000 € / m²

Here in Maria-Theresia-Straße you will find top adresses like:

• Maximiliansanlagen (Park)
• Museum Villa Stuck

Maria-Theresia-Straße in Munich (map):

Steinstraße: Life at Wiener Platz & Isarstrand

Steinstraße, which starts from Wiener Platz, is in close proximity to Maria-Theresia-Straße, which runs along the Maximiliananlagen. Accordingly, Steinstraße is also in close proximity to this popular park on the eastern side of the Isar. Its proximity to the Äußere Ludwigsbrücke bridge provides access to the Museum Island as well as a quick route by car or e-scooter towards Munich city centre. The street, which is around 350m long, is home to residential properties as well as a number of shops and eateries.

The price per square meter here is up to:

Maximum prices up to 10.000 € / m²

Here and near Steinstraße you will find top adresses like:

• Rue des Halles (Restaurant)
• Munich City Library
• Isarstrand

Steinstraße in Munich (map):

Schellingstraße: North of Munich with a lot of gastronomy

Schellingstraße in Munich’s Maxvorstadt district is an extremely popular street in Munich. Situated between the expansive English Garden and the city centre, Schellingstraße is just under 2km long and offers plenty of space for properties of all kinds. The proximity to Munich sights and highlights such as the Alte Pinakothek makes this address particularly attractive. Many restaurants and catering establishments have settled here, inviting you to linger and making it possible for residents to eat out comfortably all week without having to put up with long commutes.

The price per square meter here is up to:

Maximum prices up to 10.000 € / m²

In the vicinity of Schellingstraße you will find top adresses like:

• Alte Pinakothek
• Munich Residence

Schellingstraße in Munich (map):

Sophienstraße: Real estate at the Old Botanical Garden

Sophienstraße in Munich runs in two directions along the old Botanical Gardens in Munich and is therefore a much sought-after address in the Bavarian capital. The direct view of the green idyll makes living on any floor on Sophienstraße a dream, as you are right in the city centre, yet can enjoy green nature on your doorstep. Munich’s main railway station is also in the immediate vicinity, within walking distance and thus offers an ideal connection if you don’t want to struggle through the city traffic by car.

The price per square meter here is up to:

Maximum prices up to 13.000 € / m²

Here in Sophienstraße you will find top adresses like:

• McKinsey & Company
• The Charles Hotel
• Botanic garden

Sophienstraße in Munich (map):

Driveway (north & south): castle panorama in the countryside

The northern and southern driveway avenue runs on two sides along the Schlossgarten canal of Schloss Nymphenburg and is thus located rather in the west of Munich, above the main railway station. With a length of over 2km in both directions, the avenue offers many gorgeous properties along the leafy canal bank. The panoramic view of Nymphenburg Palace is partly free on top. The quiet street, which is lined by a picturesque avenue of trees, is home to some architectural treasures that are worth their price. Anyone who gets the opportunity to grab a property in the driveway avenue should take it.

The price per square meter here is up to:

Maximum prices up to 10.000 € / m²

Here in the driveway avenue you will find top adresses like:

• Nymphenburg Palace / Grünwald Park
• Bavarian Chamber of Architects

Northern driveway avenue in Munich (map):

Here you can see the avenue panorama of Munich’s Nymphenburg Palace.

Zuccalistraße: West Munich with Botanical Garden

The Zuccalistraße is located a bit outside of Munich’s inner city in the west of Munich. Despite the fantastic location directly on the Botanical Garden, the property prices are quite reasonable by Munich standards due to the slight “remoteness” – however, one cannot speak of the most expensive street in Munich as cheap. The Zuccalistraße is located to a large extent directly at the Botanical Garden and offers many adjacent property owners a direct view of the well-kept large park. Anyone who lives here has hit the location jackpot!

The price per square meter here is up to:

Maximum prices up to 10.000 € / m²

Here at Zuccalistraße you will find popular adresses like:

• Nymphenburg Castle
• Botanic garden

Zuccalistraße in Munich (map):

Tizianstraße, Montenstraße: Living in Neuhausen-Nymphenburg

Tizianstraß and also Montenstraße are located in the direct vicinity of the southern and northern Auffahrtsallee, as well as Zuccalistraße. The location near Nymphenburg Palace and its adjacent palace park makes these adresses residential areas with holiday flair. A walk along the palace garden canal also makes you feel like you are on holiday. The huge palace park also includes a botanical garden and a palace café and invites you to long walks or leisurely picnics. Living not far from the Neuwittelsbach villa colony could hardly be more beautiful, but prospective buyers will have to pay for it.

The price per square meter here is up to:

Maximum prices up to 10.000 € / m²

Here in Tizianstraße and the surrounding area you will find top adresses like:

• Titian Square
• Nymphenburg Castle

Titian Street in Munich (map):

The most expensive road on Lake Constance

Before we take a closer look at the individual streets in Constance, we will now give you an overview of the most expensive streets in Constance. The purchase price per square metre is around 10,000 euros.

• Alpsteinweg

Alpsteinweg

The Alpsteinweg is considered the most expensive road in Constance. And not without reason. Its ideal location on the shores of Lake Constance, the large plots of land, and the quiet location drive up the prices per square metre.

The price per square meter here is 10.000€ /sqm

Maximum price up to 10.000€/ sqm

Map and location of the Alpenstein trail:

Most expensive streets in Germany: real estate, districts & prices per square metre

Berlin, Munich, Sylt & Co: Germany’s metropolises are home to some of the most luxurious properties. Inselstraße in Berlin, Königinstraße in Munich and Südliche Seestraße on Lake Starnberg – only those who can afford it live here! Would you like to buy a property here? Find out everything about Germany’s most exclusive streets, what makes them so special and above all: how much a square metre costs here.

• Most expensive streets in Germany: properties, districts and prices per square metre – List