Real estate transfer tax in Germany: the rate in each state

Why the rate changes from one state to the next

The federal transfer tax act (GrEStG) sets a default rate of 3.5% in § 11. The states may choose their own: Article 105(2a) of the Basic Law says the Länder have the power to determine the rate of this tax. The federal government itself describes the result as a range “between 3.5 and 6.5 percent” (Bundestag Drucksache 21/5776, 6 May 2026). Bavaria never moved off the default; its tax office states that the rate is regularly 3.5%.

Everything else is federal and identical across the country: what triggers the tax, how the base is built, who owes it, when it is due, and the exemptions. Only the percentage changes, and sometimes whether a state tops it up with its own aid for first-time buyers (see the guide on the Hessengeld in Hesse).

The rate in each of the 16 states

Two warnings. First, state rates have moved recently (Saxony in 2023, Thuringia in 2024, Bremen in 2025), so check the date of any rate you read elsewhere. Second, announced changes are not law: a rate that a state government says it intends to change applies only once the state parliament has passed it.

What the tax is charged on

The base is the Gegenleistung, the consideration (§ 8 GrEStG). On a sale, § 9 counts the purchase price plus other obligations the buyer takes over and any rights the seller keeps (a right to live in the home, for example). The Bavarian tax office adds three practical points: the transfer tax and the notary costs are not part of the base; furniture and fittings that are priced separately in the contract are not taxed as land; and a maintenance reserve is no longer deductible for notarised contracts after 20 May 2021. The result is rounded down to the euro (§ 11).

Who pays and when

By law, the parties to the contract owe the tax (§ 13 Nr. 1), and the tax office may pursue either of them. The Bavarian and North Rhine-Westphalian tax offices say they first ask the party who agreed in the contract to bear it; if the contract is silent, the NRW office normally turns to the buyer first. The Rhineland-Palatinate ministry notes that in practice the parties agree that the buyer alone pays.

The tax arises when the notarised sale contract is validly concluded, not when you get the keys or the price is paid (the Bavarian and NRW pages both say so). Your notary reports the sale to the tax office; you then receive a notice, and the tax is due one month after the notice is announced (§ 15). The tax office may allow a longer period, but the Bavarian office says deferral is for justified exceptions only and the NRW office says it generally cannot be granted. Budget for the amount in your financing.

From payment to the land register

You cannot be entered as owner in the land register (Grundbuch) until the tax office issues a clearance certificate (Unbedenklichkeitsbescheinigung, § 22). It is issued when the tax is paid, secured or deferred, or when an exemption applies, and it goes to the notary. The guide on the tax clearance certificate explains the sequence.

If the contract is cancelled by mutual agreement within two years, on application the assessment is cancelled (§ 16). Some purchases are exempt altogether; see transfer tax exemptions for family.

Which professional to consult

A notary (see the notary profession page) prepares the contract and reports it to the tax office. A tax adviser (Steuerberater) or the competent tax office answers questions about a specific assessment, a deferral or an exemption. Payotte does not list, rank or recommend notaries.