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This is how much your used house really costs

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This is how much your used house really costs

Buying a used house often seems cheaper at first glance than a new build – but this impression is frequently misleading. In addition to the purchase price itself, numerous other expenses come into play: utility costs, renovations, modernizations, and ongoing liabilities. Those who underestimate these items quickly risk financial difficulties.

Property valuation: More than just the purchase price

Anyone wanting to realize their dream of homeownership and purchase an existing property should not consider the advertised price as the sole basis for their decision. While it serves as a starting point, it by no means reflects the actual total costs.

Key additional factors include unavoidable closing costs, modernizations to bring the property up to current living and energy standards, and ongoing maintenance expenses. Without precise calculations, unpleasant financial surprises are likely.

Below you will find the most important cost factors that should realistically be factored in when buying a used house:

1. Additional purchase costs – unavoidable and often underestimated

In addition to the actual purchase price, there are further costs that are almost unavoidable. Depending on the state and region, these can amount to 10 to 15% of the purchase price.

Real estate transfer tax: Depending on the federal state, between 3.5 % and 6.5 %
Notary and land registry fees: on average around 2 %
Broker's commission: highly variable, sometimes up to 7.14 %

Example:
With a purchase price of €400,000, the additional costs amount to approximately €46,000 to €60,000 – in addition to the purchase price.

2. Renovation and modernization – for a future-proof home

Hardly any older house escapes the need for renovation. Even if the property appears well-maintained on the outside, expensive work may be lurking beneath the surface. Common measures include:

Renovation of roof, windows or heating system
Replacement of pipes, insulation or facade
Interior renovation of bathroom, floors, kitchen and walls
Energy-efficient renovations: Insulation, heat pumps, photovoltaics or efficient heating systems – important in view of rising energy costs and legal requirements.

Depending on the year of construction and condition, modernization costs can quickly rise into the five-figure range.

3. Ongoing expenses – the long-term financial responsibility

After purchase and modernization, further costs regularly arise that will affect the household budget in the long term:

Property tax: depending on location and property size
Insurance: especially home insurance, and possibly additional coverage.
Operating costs: Electricity, water, heating, sewage, waste disposal
Reserves: for future repairs and maintenance

Conclusion: Realistic planning puts you on the safe side.

The purchase price of a property is only part of the story. Those who factor in all ancillary costs, renovations, and ongoing expenses from the outset when buying a used house maintain financial control. This way, the dream of homeownership doesn't become a financial trap – but rather a well-considered and stable long-term investment.