Buying Process

Buying property in Austria is not like the lengthy, stressful and bureaucratic system that
operates e.g. in the UK. Nothing could be further from the truth! In fact, with our help, this
can be a very simple and remarkably easy process.

How does it work?
Property in Austria can be purchased by any EU citizen.
Purchase offer: Once you have found your desired property, you sign a legally binding
document with your offer which is passed by the estate agent to the seller for consideration.
We can do the negotiating on your behalf. Once a price has been agreed, the seller signs this
contract and is committed to the deal; there is no gazumping! No valuation surveys are
required by the banks. If you need to arrange a mortgage, we can provide details of a reliable,
independent financial adviser to find the best deal for you based on your
requirements/preferences and arrange the whole process for you. Documents such as a payslip,
proof of address etc. can be faxed or emailed. As a matter of normal routine, the buyer
will post a deposit in the amount of 10% at the time the purchase agreement is executed. The
deposit will be held in escrow, pending the completing of the sales transaction itself. If the
sale falls apart through no fault of the buyer, the buyer will have his or her deposit returned.

Deeds: Finally, about two weeks after signing the purchase offer, the signing of the deeds
requires a notary who does all the conveyancing plus any other legal work required for the
mortgage. We work notaries in different regions and can recommend these services should
you want them.
Payment: Usually, payment to the seller must be made within 14 days following the signing
of the deeds.
Registering with the Austrian Land Registry: Within 2-3 months after the payment the
property is registered in the Austrian Land Registry under your name and the process is
finished.

How can we help?
We aim to make the process as smooth and as straightforward for our clients as possible.
Indeed, our clients are always very surprised at how easy and stress-free it is! If you like, we
will organise all appropriate meetings and take care of other administrative tasks and logistics
as required. As our partners are local, this has its distinct advantages: not least that they know
the system, the language and the people! They are present at each meeting (should you wish)
to minimise any language or procedural concerns you may have. In addition, once you have
purchased your property, we can inform the relevant utility companies on your behalf. We
frequently aid clients in other ways; such as from organising/managing alterations to property
and recommending ways to rent their property, to finding a cleaner and even recommending a
gardener! How long does this whole process take from offer to entry? Obviously this depends
on our clients' circumstances but frequently the whole process takes only 6 weeks from when
the offer is made to being the registered owners. Many of our clients make only 2 short trips:
one to view the property and the area etc. and another brief one to sign the contracts,
mortgage agreement and open a bank account.

What are the costs?
The total cost of a property is likely to be between 10 - 11% greater than the purchase price,
when all fees (including mortgage fees) are included. This comprises land purchase tax, land
registery entry, estate agent's commission¹ and notary fees. If you require a mortgage, you
should allow up to approx. 5% to cover all bank and notary charges.
¹ Estate agents' commission(3.6%) are set by law.

Copyright 2008 Luxury Investments Ltd