From January 1, 2023, the real estate transfer tax in Hamburg will increase by 1% to 5.5%. A real estate purchase worth, for example, €800,000 then means an increase in real estate transfer tax of €8,000. Money that you would like to use for other purposes and can, if you still strike in 2022.
2. admittedly, interest rates have risen very sharply this year, but what’s next? Most real estate experts and bankers expect interest rates to rise even further in 2023, to 5.5-7%. So if you close now and buy a property, you may save yourself 1.2% to 2.7% mortgage interest for the next 15 years.
If we stick to the example of a property worth €800,000, this means savings in 2022 versus 2023 of €9,600 to €21,600 – per year. Extrapolated over a 15-year term (with a constant annuity), this results in savings of € 144,000 to € 324,000. This is not to be missed if you are determined to buy a property.
3. is it worth waiting to see if real estate prices continue to fall in order to then “get a bargain”? Rather not. It may well be that some properties will still fall a little in price, as has already happened in recent weeks, but the threat of interest rate increases does not compensate for the possible reductions in purchase prices.
Our recommendation: Take advantage of the currently oversized offer of real estate and make your choice in peace. Don’t wait for prices to possibly fall in 2023. This speculation may not pay off.