Property Tax Calculator

The new German property tax (Grundsteuer) is calculated in three steps: First, the tax office determines the property tax value (Grundsteuerwert) of your property. This is multiplied by the legally defined tax assessment rate (Steuermesszahl) to produce the tax assessment amount (Steuermessbetrag). Finally, the municipality multiplies the assessment amount by its individual tax rate (Hebesatz) — this gives the annual property tax. Depending on the federal state, the method for determining the property tax value differs significantly: some states use the value-based federal model, while others use purely area-based models.

Germany has six different property tax models: The federal model (value-based) applies in 11 states, including Berlin, NRW, Saxony, and Schleswig-Holstein. Bavaria uses a pure area-based model where only the plot and building area count — the property value plays no role. Baden-Württemberg uses the land value model, based solely on the land value per square meter. Hamburg has a residential quality model, Hesse uses an area-factor method, and Lower Saxony has an area-location model. Our calculator automatically detects the correct model based on your federal state.

You can find your land value for free via the BORIS portal (Bodenrichtwertinformationssystem) of your federal state. Simply enter your address or parcel number, and the current land value will be displayed. Alternatively, you can request the land value from the expert committee (Gutachterausschuss) of your municipality. For the property tax calculation, the land value as of January 1, 2022 is typically used, which is stated in the property tax value notice (Grundsteuerwertbescheid) from the tax office.

The Hebesatz (municipal tax rate) is a percentage set individually by each municipality and serves as the final multiplier in the property tax calculation. It varies enormously: from under 200% in small rural communities to over 900% in some major cities. Municipalities were asked to adjust their tax rates during the reform to keep total revenue neutral. In practice, however, many municipalities changed their rates to varying degrees, meaning the individual tax burden for property owners has indeed shifted.

This cannot be answered in general terms, as it depends on three factors: the new property tax value of your property, the tax assessment rate, and your municipality’s adjusted tax rate. While the reform was planned to be revenue-neutral — meaning the municipality should collect the same total amount — within each municipality there are winners and losers. Property tax tends to increase for properties in prime locations with high land values, while owners in simpler areas are often relieved. Use our old-vs-new comparison to see your personal change immediately.

Yes, you can file an objection (Einspruch) with the responsible tax office within one month of receiving your property tax value notice. Carefully check whether the underlying data is correct: plot area, living area, land value, year of construction, and property type. Common sources of error include incorrect area figures or an overstated land value. The objection does not have a suspensive effect — you must continue paying the property tax in the meantime. However, if the correction is successful, you will receive a refund for any overpaid tax.

Bavaria deliberately chose against the federal model because the state considers a purely area-based calculation to be fairer and simpler. In the Bavarian area model, property values and land values play no role — only the square meters of the plot and building count. Bavaria argues that this prevents rising real estate prices from automatically leading to higher property taxes and makes the calculation more transparent and comprehensible for owners. Critics counter that the model ignores value differences between prime and simple locations.

In principle, the property owner is the taxpayer — they receive the assessment and must pay the property tax to the municipality. However, the landlord may pass the property tax on to tenants in full as operating costs, provided this is agreed in the rental contract. This is the case in the vast majority of rental agreements. The property tax then appears in the annual operating cost statement. An increase in property tax due to the reform can therefore directly result in higher utility costs for tenants.

Property tax A (agricultural) applies to agricultural and forestry businesses and their land. Property tax B (built-up) applies to all developed and developable plots — meaning residential buildings, condominiums, commercial properties, and undeveloped building land. For the vast majority of property owners, property tax B is relevant. The tax rates for A and B are set separately by municipalities and usually differ significantly. Our calculator computes property tax B, as it applies to the majority of all property owners.

Property tax is due in four installments of one quarter of the annual amount each: on February 15, May 15, August 15, and November 15. Alternatively, owners can apply to the tax office to pay the property tax as a lump sum on July 1 — this application must be submitted by September 30 of the previous year. When ownership changes (e.g., buying a house), the new owner is only liable for property tax from January 1 of the following year. The payment dates apply uniformly throughout Germany.