Austrian Property Purchase Process

Generally, purchase costs are as follows:

• Notary fees 2% + VAT
• Stamp duty 3.5%
• Land registry fee 1.1%
• Agency fees 3% + VAT (waived in some new developments)

When considering the purchase of an off-plan ski property in Austria, buyers encounter structured payment plans that correspond to key milestones in the construction process. These staged payments are designed to ensure a synchronised financial progression that aligns with the development stages of the property. There are two fixed payment plans:

Rate Plan A

• 15% at the start of building works
• 35% on completion of the shell and roof
• 20% on completion of plumbing and electrical installations?
• 12% on completion of the facade & windows
• 12% on completion of the property
• 4% on handover of keys
• 2% after three years

Rate Plan B

• 10% at the start of building works
• 30% on completion of the shell and roof
• 20% on completion of plumbing and electrical installations?
• 12% on completion of the facade & windows
• 17% on completion of the property
• 9% on handover of keys
• 2% after three years

In both Rate Plan A and Rate Plan B, the payments are channelled into an escrow account. This account ensures that funds are securely held until construction milestones are verified by a lawyer, after which they can be released to the seller. These staged payment plans offer buyers a structured and secure approach to purchasing off-plan properties, aligning financial commitments with the property's developmental progress.

1. Decide terms for the offer: Choose the property and agree key terms you want: price, handover date, and any conditions (e.g., “subject to finance”)
2. Draft the Kaufanbot (buying offer): Your estate agent will prepare the Kaufanbot agreement listing the buyer and seller details, price, and any special conditions.
3. Sign the Kaufanbot: Both buyer and seller sign. Once signed, it’s legally binding on both sides.
4. Appoint the notary/lawyer: Your agent may have some recommendations for a local notary or lawyer to complete the purchase. In Austria, it’s customary that the buyer chooses the lawyer who then acts for both parties.
5. Draft the Kaufvertrag (purchase contract): The notary/lawyer drafts the purchase contract based on the signed Kaufanbot.
6. Review and approve the draft: Both parties check the draft Kaufvertrag and confirm approval (request any edits now).
7. Sign the official Kaufvertrag with legalised signatures: At a notary’s office in Austria or at an Austrian embassy or consulate. It is now sometimes possible to complete this online via video call.
8. Return signed documents + required paperwork: Send the fully signed, legalised contract and any additional documents back to the notary/lawyer handling the sale.
9. Arrange payments via escrow:
   1. All monies are paid into the notary/lawyer’s escrow account.
   2. Funds are released by the notary/lawyer only when the contract’s conditions are met.
   3. If buying off-plan, payments are made in stages tied to construction milestones that are independently certified; each stage is released from escrow as it’s completed.
10. Completion & ownership: Once the signed contract, supporting paperwork, and all financial stipulations are satisfied and returned to the notary/lawyer, you legally become the owner. Handover occurs on the agreed date.