The Offer To Purchase And Sale Agreement is a fundamental document in German real estate transactions, used when one party intends to purchase real property from another. This document type is essential for both private and commercial property transactions in Germany, requiring careful preparation to comply with German Civil Code (BGB) requirements. It must be notarized to be legally valid and serves as the basis for the property transfer in the land register (Grundbuch). The agreement typically includes comprehensive details about the property, price, payment terms, warranties, and closing conditions. It's particularly important to note that unlike some other jurisdictions, German property purchase agreements follow a strict formal process and must include specific provisions required by German law.
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1. Parties: Identification and details of the seller and purchaser, including full legal names, addresses, and registration details if companies
2. Background: Context of the transaction and brief description of the property being sold
3. Definitions: Key terms used throughout the agreement
4. Property Description: Detailed description of the property including address, land register details (Grundbuch), and cadastral information
5. Purchase Price: Amount, currency, and payment terms including any deposits or installments
6. Payment Terms: Detailed payment schedule, method of payment, and account details
7. Transfer of Title: Conditions and process for transferring property ownership (Auflassung)
8. Representations and Warranties: Seller's declarations regarding property condition, encumbrances, and legal status
9. Closing Conditions: Prerequisites for completion of the sale including necessary approvals and registrations
10. Costs and Taxes: Allocation of transaction costs, transfer taxes, and notary fees
11. Notices: Communication procedures between parties
12. Governing Law: Confirmation of German law application and jurisdiction
1. Financing Conditions: Include when purchase is subject to buyer obtaining financing
2. Due Diligence: Include when buyer requires a due diligence period
3. Existing Tenancies: Include when property is subject to existing lease agreements
4. Property Management: Include when addressing interim period management
5. Environmental Provisions: Include when environmental issues or contamination may be relevant
6. Construction Requirements: Include when property includes incomplete construction or requires specific works
7. Property Usage Rights: Include when there are specific restrictions or rights affecting the property
8. Broker Provisions: Include when real estate agents are involved in the transaction
1. Property Plans: Official cadastral plans and property drawings
2. Land Register Extract: Current Grundbuch extract showing ownership and encumbrances
3. Inventory List: List of included fixtures, fittings, and furniture if applicable
4. Payment Schedule: Detailed breakdown of payment installments and timing
5. Due Diligence Documents: Technical reports, permits, and property documentation
6. Existing Leases: Copies of current lease agreements if applicable
7. Property Photographs: Current photographs documenting property condition
8. Energy Certificate: Energieausweis as required by German law
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