Brokerage commission explained clearly –
Your questions about costs, allocation & legal matters
Since December 2020, buyers and sellers have generally shared the brokerage fee equally. At casa4mia Immobilien, we focus on fairness, transparency, and transparent agreements.
Who actually pays the broker’s commission?
Brokerage commission – often a misunderstanding
The broker's commission, also known as brokerage fees, is a source of uncertainty for many owners and buyers. Since December 2020, a clear rule has been in place: For single-family homes and condominiums, the buyer and seller share the commission. Nevertheless, various agreements and special cases exist. We'll give you an overview of what's permitted and how you can benefit from clear agreements.
These three points are particularly important for owners and buyers.
01
What is a broker's commission?
The remuneration for the successful brokerage by the broker – regulated in the German Civil Code (BGB), agreed individually.
02
Indoor & Outdoor Provision
The seller pays the inside commission, the buyer the outside commission. The commission is often split equally.
03
Legal regulation since 2020
For single-family homes and apartments, buyers and sellers share the brokerage commission.
Since 2020, a brokerage contract must be Text form – e.g., by email. This provides legal certainty and clarity for both parties. For tenants, the Ordering principleOnly the person who hires the broker pays. Fair solutions through splitting the property are common when purchasing – especially in Bavaria, where the broker's commission is traditionally 7.14% (including VAT).
Transparent contracts
Brokerage contracts must be concluded in writing – a handshake is no longer sufficient.
Fair cost allocation
The client always bears at least
50% of the brokerage fee – exceptions only in individual cases.
Regional differences
In Bavaria, the commission is usually 7.14% including VAT, while in other federal states it is lower.
Negotiable Brokerage
The height is not fixed – it can be individually adjusted within the usual rates.
Real estate agent commission explained clearly – with casa4mia.Immobilien
Whether you're looking to sell, buy, or rent, we'll guide you with clarity and compassion. So you'll always know what costs will be incurred and how commission is regulated.
FAQs
Here you will find the most important questions and answers about brokerage commissions – clearly explained, transparently prepared, and always up-to-date.
What is a broker's commission according to § 652 BGB?
The broker's commission (also called brokerage fee) is the remuneration a real estate agent receives when a purchase or rental agreement is concluded through their services. It has been regulated in the German Civil Code since 1896.
What is the difference between inside and outside commission?
The seller pays the internal commission directly to the agent – it is not shown in the exposé.
The buyer pays the commission. It is stated in the property description and is therefore immediately visible to prospective buyers.
How is the brokerage commission regulated by law since 2020?
As of December 23, 2020, buyers and sellers of single-family homes and condominiums generally share the brokerage commission equally. The client must always contribute at least 50%.
How much is the broker's commission in Bavaria?
In Bavaria, the usual brokerage commission for real estate purchases is 7.14% including VAT – this is usually paid equally by the buyer and seller.
When must the brokerage commission be paid?
The commission is due as soon as the purchase or rental agreement is legally concluded and the agent has verifiably provided their services. All agreements must be recorded in writing.
Is the broker's commission tax deductible?
Yes, if the property is used to generate income (e.g., rental). In this case, the brokerage fee can be claimed as a business expense or business expense.
The commission is not deductible for the purchase of owner-occupied residential property or for tax-free sales.
When is the broker’s commission waived?
A commission may not be charged if:
- it is rent-controlled housing (social housing),
- the agent and owner are legally or economically linked,
- the agent is himself the owner, landlord or manager,
- or the brokerage fee is immorally excessive.
Is the commission amount negotiable?
Yes – the commission amount is generally negotiable. Brokers base their rates on regionally customary rates, as long as legal limits are observed.
How is the broker's commission regulated for rental apartments?
The "order-by-order" principle applies here: Only the person who commissions the agent pays the commission. By law, it is limited to a maximum of two months' net rent plus VAT.
Contact us without obligation – we will advise you personally.
