How is the new property tax calculated?

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.

Which calculation model applies in my federal state?

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.

Where do I find my land value (Bodenrichtwert)?

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.

What is the Hebesatz and how does it affect my property tax?

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.

Will my property tax increase or decrease?

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.

Can I object to my property tax assessment?

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.

Why does Bavaria have its own property tax model?

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.

Do tenants have to pay property tax?

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.

What is the difference between property tax A and property tax B?

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.

When is property tax due and in what installments?

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.

Property Tax for Condos: Special Rules & Calculation | Property Tax Calculator

Property Tax for Condominiums: Why It Is Different

Condominiums (Eigentumswohnungen) present a unique challenge for property tax calculation because they involve shared ownership of land and common areas combined with individual ownership of specific residential units. Unlike a single-family house where one owner holds full title to both the land and the building, a condominium owner holds two distinct legal interests: the Sondereigentum (special ownership) of their individual unit and a Miteigentumsanteil (co-ownership share) of the common property, which includes the land, the building structure, hallways, stairwells, and other shared facilities.

This dual ownership structure means that the property tax for a condominium cannot simply be calculated based on the unit alone -- it must account for the proportional share of the underlying land and the common building structure. The way this proportion is calculated, and how it feeds into the property tax formula, depends on the state model and specific property characteristics.

In Germany, approximately 10 million residential units are organized as condominiums under the Wohnungseigentumsgesetz (WEG, Condominium Act). For all of these units, the property tax reform required individual reassessment, creating one of the most administratively complex aspects of the entire reform process.

The Co-Ownership Share (Miteigentumsanteil)

The Miteigentumsanteil is the cornerstone of condominium property tax calculations. It is expressed as a fraction (for example, 85.23/1000 or 1/12) and is permanently recorded in the Teilungserklaerung (declaration of division) and the Grundbuch (land register). This fraction determines the owner's proportional share of the total property -- both the land and the common building elements.

For property tax purposes, the Miteigentumsanteil is used to calculate the individual unit's share of the total plot area. If the total plot is 2,000 m2 and your Miteigentumsanteil is 50/1000 (i.e., 5%), your allocated plot area for property tax purposes is 100 m2.

The Miteigentumsanteil does not necessarily correspond to the relative size of the apartments. It may reflect the original developer's allocation, which could have considered factors such as floor level, orientation, balcony size, or other amenities. A penthouse apartment might have a larger Miteigentumsanteil than a ground-floor apartment of the same size because it was deemed more valuable at the time of division.

Understanding your Miteigentumsanteil is essential because it directly affects your property tax. An incorrectly recorded or applied Miteigentumsanteil will result in an incorrect tax assessment.

How the Federal Model Handles Condominiums

In the federal model (used by 11 states), the property tax value for a condominium is calculated by combining the proportional land value and the individual unit's building value.

The land value component is calculated as: Total plot area x Miteigentumsanteil x Bodenrichtwert. For example, if the total plot is 1,500 m2, your Miteigentumsanteil is 60/1000, and the Bodenrichtwert is 300 EUR/m2, your proportional land value is: 1,500 x 0.06 x 300 = 27,000 EUR.

The building value component is based on your individual unit's living area, the building's age (with statutory depreciation), and the local Mietniveaustufe (rent level). This component is unit-specific and does not involve the Miteigentumsanteil.

The total property tax value is the sum of both components: proportional land value plus unit building value. This is then multiplied by the Steuermesszahl and the Hebesatz to produce the annual property tax.

A key point: the Steuermesszahl for condominiums classified as Wohnungseigentum is the same reduced rate applied to residential properties (0.031% in the standard federal model). This classification usually benefits condominium owners compared to commercial property rates.

How Other State Models Handle Condominiums

Bavaria (Area Model)

In Bavaria, the condominium calculation is straightforward. The plot component uses the total plot area multiplied by the Miteigentumsanteil, and the building component uses the individual unit's living area. Since values play no role, the calculation is simply: (Proportional plot area x 0.04 EUR) + (Living area x 0.50 EUR), followed by the Steuermesszahl and Hebesatz.

Baden-Wuerttemberg (Land Value Model)

In Baden-Wuerttemberg, since only the land value matters, the condominium property tax is based entirely on: Total plot area x Miteigentumsanteil x Bodenrichtwert. The building -- its size, age, and condition -- is completely irrelevant. This can produce surprising results: a tiny studio apartment and a large family apartment in the same building pay identical property tax if they have the same Miteigentumsanteil.

Other Modified Area Models

In Hesse, Lower Saxony, and Hamburg, the condominium calculation follows the respective state model's area-based approach, using the Miteigentumsanteil to allocate the proportional plot area and the unit's living area for the building component.

WEG Allocation Rules and Their Impact

The Wohnungseigentuemergemeinschaft (WEG, owners' association) manages the condominium complex and allocates various costs among unit owners. While the property tax itself is assessed individually for each unit by the tax office, the WEG's Teilungserklaerung and Gemeinschaftsordnung (community rules) can indirectly affect property tax in several ways.

The most important indirect effect relates to the Miteigentumsanteil. If the WEG decides to amend the Teilungserklaerung -- for example, to merge or divide units -- the Miteigentumsanteile may change, which in turn affects property tax allocations. Such changes require unanimous consent of all owners and must be recorded in the Grundbuch.

Additionally, the classification of specific areas as Sondereigentum (special ownership) versus Gemeinschaftseigentum (common property) can affect how living and usable areas are calculated for property tax purposes. A cellar room classified as Sondereigentum and used as a living space may count as additional living area, while one classified as common property would not.

WEG administrative costs and the Hausgeld (monthly maintenance charge) are separate from property tax and should not be confused with it. However, if the property is rented out, both the property tax and certain WEG-related costs can be passed through to the tenant as operating costs.

Practical Examples

Example 1: Federal Model -- Medium-Sized Apartment in Berlin

Consider a 75 m2 apartment in a 10-unit building in Berlin-Charlottenburg. The total plot is 1,200 m2, the Miteigentumsanteil is 82/1000, the Bodenrichtwert is 800 EUR/m2, and the building was constructed in 1975.

Proportional plot area: 1,200 x 0.082 = 98.4 m2. Proportional land value: 98.4 x 800 = 78,720 EUR. The building value calculation uses the 75 m2 living area, statutory rent based on Berlin's Mietniveaustufe, and depreciation for a building now over 50 years old. After completing the full federal model calculation, the Grundsteuerwert might be approximately 120,000 EUR. With a Steuermesszahl of 0.031% and Berlin's Hebesatz, the annual property tax could be around 250-350 EUR.

Example 2: Bavarian Area Model -- Apartment in Munich

A 90 m2 apartment in a 6-unit building in Munich. Total plot: 800 m2, Miteigentumsanteil: 150/1000. Proportional plot area: 800 x 0.15 = 120 m2. Plot equivalent: 120 x 0.04 = 4.80 EUR. Building equivalent: 90 x 0.50 = 45.00 EUR. Total: 49.80 EUR. With the Bavarian Steuermesszahl and Munich's Hebesatz, the annual tax calculation follows the straightforward Bavarian formula.

Example 3: Baden-Wuerttemberg Land Value Model -- Stuttgart Apartment

A 65 m2 apartment in Stuttgart. Total plot: 600 m2, Miteigentumsanteil: 70/1000, Bodenrichtwert: 1,200 EUR/m2. Proportional plot area: 600 x 0.07 = 42 m2. Property tax value: 42 x 1,200 = 50,400 EUR. Note that the apartment's size is completely irrelevant in this model -- only the land share matters.

Common Pitfalls for Condominium Owners

Pitfall 1: Incorrect Miteigentumsanteil

Always verify that the Miteigentumsanteil used in your assessment matches the fraction recorded in the Grundbuch. Data entry errors during the mass reassessment are not uncommon. Even a small discrepancy can result in a meaningfully different tax amount.

Pitfall 2: Confusion Between Living Area and Total Unit Area

For property tax purposes, only the living area as defined by the Wohnflaechenverordnung counts -- not the total floor area. Hallways, storage rooms, and areas under sloped ceilings may be counted at partial values or excluded entirely. Ensure that the living area in your assessment reflects the correct calculation.

Pitfall 3: Garage and Parking Space Allocation

Garages and parking spaces in a condominium complex may be assessed separately if they constitute independent Sondereigentum (with their own Grundbuch entry and Miteigentumsanteil). In other cases, they are part of the common property and allocated through the building's Miteigentumsanteil. The treatment affects both the total property tax and how it is distributed among unit owners.

Pitfall 4: Assuming All Units in a Building Pay the Same

Even within the same building, different units can have significantly different property tax amounts. Differences in Miteigentumsanteil, living area, and (in some models) floor level or orientation can all produce different results. Do not assume that your neighbor's property tax bill is a reliable reference for your own.

Pitfall 5: Not Updating After Renovations

If you renovate your unit and the renovation changes the living area (for example, by converting an attic space into living area), this should be reported and may affect your property tax. Similarly, if the WEG undertakes building-wide changes (such as adding elevators or converting common spaces), these may affect the building's assessment.

Property tax for condominiums is inherently more complex than for single-family houses due to the shared ownership structure. Understanding how your Miteigentumsanteil, your unit's specific characteristics, and your state's calculation model interact is essential for verifying that your assessment is correct -- and for taking action if it is not.