Plots
Building land
land cost per m2
Are you dreaming of owning your own home and looking for the right building plot? The cost per square metre of building land is a crucial factor. But how are these prices composed and what hidden costs might be lurking? Find the answers in our comprehensive guide. Do you need personal advice? Contact us for a non-binding initial consultation.
The land costs per m² depend significantly on the location, building plan, and degree of development. A careful analysis of these factors is crucial for realistic budget planning.
Ground surveys and preliminary building permits are essential to minimise risks and avoid unexpected costs. Investing in these evaluations can allow for significant savings in the long term.
Professional Advice from legal, tax, and financial advisors, as well as membership in the Grundeigentümerverband, provides valuable support and helps to optimise the building land costs per m² in the long term and ensure legal security.
The dream of owning your own home starts with the plot of land. But what does building land actually cost? The land costs per m² vary greatly and depend on many factors. This guide helps you to understand the prices, identify important influences and avoid hidden costs. In this way, you lay the foundation for your construction project on a solid financial basis. Whether for builders or investors, understanding the land costs per m² is crucial for successful planning and budgeting. This topic also plays an important role in urban planning and development, to create affordable housing and promote sustainable construction projects.
What influences the price?
The costs for building land depend on various factors. Here is an overview:
Location, location, location: The micro-location is crucial. A plot in a quiet residential area with good access to public transport and shopping facilities is usually more expensive than a plot in a remote location.
Development plan: The development plan stipulates what can be built on the plot. Restrictions on building height, number of floors or roof shape can reduce the value of the plot.
Degree of development: Are all necessary connections (water, wastewater, electricity, gas) present? If not, you must expect additional development costs.
Why is this topic important?
Understanding the land costs per m² is of great importance for both builders and investors. Builders can realistically plan their budget, and investors can better assess the profitability of a construction project. For urban planning and development, it is important to know the land prices to create affordable housing and promote sustainable development. Land valuation is a complex process that takes many factors into account.
The development plan is the be-all and end-all for any building plot. It determines what can and cannot be built on the plot. A detailed understanding of the development plan is therefore essential to accurately assess the land costs per m² and to make the most of your building rights. The information from the development plan helps you to identify the possibilities and limitations of your plot and to adjust your building plans accordingly.
What is a development plan?
A development plan is a legally binding document that regulates how a plot can be developed. It is drawn up by the local authority and is binding on all property owners. The legal basis for the development plan is found in the Building Code (BauGB). The local authority and planning offices are the main points of contact for all questions relating to the development plan. Here you can view the development plan and get advice.
Contents of the development plan
The development plan contains detailed regulations on various aspects of building. These include:
Building height: Maximum height of the building.
Number of storeys: Number of permissible storeys.
Roof shape: Specifications for the shape of the roof (e.g. pitched roof, flat roof).
Window orientation: Orientation of windows.
The development plan also defines the exact buildable area (square metres available for building). This information is crucial for planning your construction project. The development plans are crucial for the buildability of a plot.
Impact on land costs
The development plan has a direct impact on the land costs per m². Restrictions in the development plan can reduce the value of the plot, while generous provisions can increase the value. It is therefore important to carefully examine the development plan before purchasing a plot. The development plan can offer both restrictions and opportunities for your construction project. A plot with few restrictions and many design options is generally more expensive than a plot with strict regulations. The land register entries provide information about the legal framework of the plot.
In addition to the development plan, the soil survey and the development costs also play an important role in calculating the price of building land per m². These factors are often underestimated, but they can have a significant impact on your budget. A comprehensive understanding of these aspects helps you avoid hidden cost traps and successfully implement your construction project.
The Soil Survey
A soil survey is essential to examine the condition of the ground. It provides information on the load-bearing capacity of the soil, the groundwater level, and any potential contamination. The soil quality directly affects the foundation and basement sealing of your house. Poor building ground can incur additional costs for special foundation measures. The soil survey also reveals possible contaminations and missing utility connections. Contaminations can significantly increase the price of building land per m² since soil remediation can be very costly. Soil surveys are essential for assessing buildability.
Development Costs
Development includes all the measures required to make a plot buildable. These include:
Water supply
Sewage disposal
Electricity connection
Gas connection (optional)
District heating (optional)
Development costs are usually included in the plot price if the plot is already developed. However, it is important to verify this before purchase. The connection to road traffic is usually the responsibility of the landowner. Undeveloped building land is generally not economically viable, as development costs can be very high. Development costs can account for a significant portion of the building land costs.
To ensure legal safety, you should definitely check the land register and obtain a preliminary building decision before purchasing a building plot. These measures help you avoid unexpected surprises and accurately assess the land costs per m². Legal protection is an important step on the path to owning your home.
Checking the Land Register
The land register is a public record in which all ownership relations and encumbrances of a property are recorded. Before purchasing, you should definitely inspect the land register to learn about potential encumbrances, mortgages, or neighbours' rights of way. These encumbrances can diminish the property's value and affect your building plans. The land register entries provide information about the property's legal framework.
The Preliminary Building Decision
A preliminary building decision is an official confirmation of buildability for a plot. It is issued by the building authority and informs you whether your planned construction project can be realised on the plot. Although not as comprehensive as a building permit, the preliminary building decision gives you important planning security. The preliminary building decisions are an official confirmation of buildability.
The purchase of a building plot is a complex matter that involves considering many legal and financial aspects. It is therefore advisable to seek professional support from legal, tax, and financial advisors. These experts can assist you in addressing individual legal and financial questions and in correctly assessing the land costs per m². The importance of professional advice should not be underestimated.
The Importance of Professional Advice
Legal, tax, and financial advisors can assist you with various aspects of purchasing land. These include:
Review of the purchase contract
Advice on financing issues
Tax aspects of land purchase
It is crucial to resolve individual legal and financial questions before signing a purchase contract. The experts can help you identify and minimise risks. Professional advice is essential for making a secure decision.
Purchase Contract and Certificate of Conveyance
In the purchase contract, it's important to understand the difference between the possessor and the owner. The possessor is the one who uses the land practically, while the owner is the one registered in the land register. Ownership transfer only occurs with the certificate of conveyance and registration in the land register. Notarization is mandatory for the purchase contract to be legally binding. The certificate of conveyance is a crucial step in the transfer of ownership.
Not every building plot is the same. There are different types of land, which vary in their characteristics and costs. An overview of the different land qualities and types helps you better assess the costs of land per m² and find the right plot for your construction project. Knowing the different types of land is crucial for making an informed decision.
What makes a plot of land developable?
A plot becomes developable land when it is designated as such in the development plan or is considered as such due to its location in a built-up area. Land reallocation can result in several plots becoming new developable land. The development of the area must be ensured, with natural factors not prevented from being developed. The land qualities are crucial for buildability.
Types of land
There are various types of land:
Obligatory land: Here, the owner is obliged to build within a certain period.
Temporary land: Here, planning permission is only valid for a specific period.
Finished land: Here, infrastructure costs have already been taken into account and can be transferred to the owner.
The differences between the types of land affect the costs of land per m². Obligatory land is generally cheaper than finished land because the owner has a development obligation. The types of land differ in their characteristics and costs.
As a property owner, you bear a significant responsibility and are liable for any damages that arise from your property. It is therefore important to be informed about property owner liability and to secure the right insurance policies. This way, you can minimise risks and keep the land development costs per m² under control in the long term. Liability and insurance are crucial aspects for any property owner.
Property Owner Liability
As a property owner, you are liable for damages caused by neglect or safety deficiencies on your property. This includes, for example, the obligation to clear snow in winter. If you fail to fulfil your snow clearance duty and someone falls and gets injured, you may be held liable. The liability of the property owner is an important aspect.
Recommended Insurance Policies
To protect yourself from the financial consequences of damages, you should take out the following insurance policies:
Property Owner's Liability Insurance
Household Insurance
Accident Insurance
Building Insurance
These insurance policies cover various types of damage and protect you from high costs. The recommended insurance policies protect against financial risks.
The property owners' association is an advocacy group for property owners. Membership offers you numerous benefits, such as legal, financial, and administrative advice. The association supports you with all questions related to your property and helps you to optimise the land costs per m² in the long term. The property owners' association's network is a valuable resource for every property owner.
The benefits of membership
Membership in the property owners' association offers you:
Legal, financial, and administrative advice
Model cases and expert advice
Information on current legislative changes
The cost of membership is generally between 40 and 150 euros annually. The benefits of membership usually far outweigh the costs.
The purchase of building land is an important decision that should be well thought out. Thoroughly inform yourself about the building land costs per m², the various influencing factors, and the legal framework. Seek professional support from experts and take advantage of the benefits of the landowners' association. This way, you lay the foundation for your construction project on a solid basis. Future developments in the building land market are hard to predict, but good preparation helps you make the right decisions. The property valuation is an important step in the buying decision.
Summary of key points
Here is a summary of the key points:
Thoroughly inform yourself about the building land costs per m².
Carefully examine the development plan and the soil report.
Seek professional support from experts.
Take advantage of the benefits of the landowners' association.
Outlook on future developments in the building land market
Future developments in the building land market are hard to predict. Factors such as population trends, interest rate policies, and energy prices play an important role. It is therefore essential to closely monitor the market and seek advice from experts. The prices of building land depend on many factors.
Recommendations for buyers and investors
For buyers and investors, it is advisable to thoroughly analyze the building land costs per m² and consider the various influencing factors. Good preparation and professional support are crucial for a successful investment. The property investment should be well considered.
State subsidies for energy-efficient building offer an excellent opportunity to invest in a sustainable and future-proof property. Whether it's a new build or the renovation of an older property, the available funding programmes and tax benefits make building or buying energy-efficient land attractive and financially feasible.
With a variety of funding programmes and tax incentives, there are many ways to reduce the costs of building or buying land. Auctoa offers you comprehensive advice and support in selecting the right plot, fulfilling technical requirements, navigating the application process, and avoiding potential problems.
By choosing an energy-efficient plot, you invest in the future of your home. Not only do you reduce your energy costs and ensure a high quality of life, but you also make an important contribution to environmental protection.
Now is the perfect time to explore the funding opportunities for your project. Contact us today to start your individual consultation and easily and quickly apply for funding. Register for free and receive an immediate first estimate for your property's renovation needs.
ImmobilienScout24 offers comprehensive information and guides on the subject of building plots, including development plans and soil surveys.
Land register entries provide detailed information about the legal framework and encumbrances of a property.
Development costs can make up a significant portion of the building land costs; here you will find detailed information about this.
ImmobilienScout24 provides information on the rights and obligations of landowners, including liability and recommended insurances.
ImmobilienScout24 offers an overview of various land qualities and types, which differ in their characteristics and costs.
Property valuation is an important step in the purchase decision, to realistically assess the value of a property or plot of land.
Land prices depend on many factors; here you will find information about the influencing factors.
What are the key factors influencing land development costs per m²?
The location (micro-location, connectivity), the development plan (restrictions, design possibilities) and the level of infrastructure (availability of connections) are crucial for the land development costs per m².
How can I find out if a plot is building land?
A plot is considered building land if it is designated as such in the development plan or if its location within a built-up area qualifies it as building land. Information can be obtained from the municipal and planning office.
What is a development plan and why is it important?
The development plan is a legally binding document that governs the manner of development of a property. It specifies what can and cannot be built on the site. A detailed understanding is essential to properly assess the land development costs per m².
What is a soil report and why do I need it?
A soil report examines the composition of the soil and provides information about load-bearing capacity, groundwater level, and potential contamination. It is important to avoid hidden cost traps and to properly plan the foundation.
What costs should be considered during infrastructure development?
Infrastructure costs include expenses for water supply, sewage disposal, electricity connection, gas connection (optional) and district heating (optional). These costs are generally included in the property price but should be verified before purchase.
What should I check in the land register before purchasing a building plot?
In the land register, you should be aware of possible encumbrances, mortgages, or easements of neighbours. These may reduce the value of the property and affect your building plans.
What is a preliminary building notice and why is it important?
A preliminary building notice is an official confirmation of the buildability of a plot. It provides information on whether your planned construction project can be realized on the land and offers planning security.
What are the benefits of membership in a property owners' association?
Membership in a property owners' association offers legal, financial, and administrative advice, template procedures, and expert advice. The cost is generally between 40 and 150 euros annually.
