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Purchase contract review.

The property purchase contract decides ownership, encumbrances and money. We review the draft before you sign, from the object of sale and the declaration of registration consent to a secure escrow settlement.

BRANDAUER Rechtsanwälte
Your law firm

BRANDAUER Rechtsanwälte

Salzburg law firm for real estate, property and corporate law

Every matter is handled by a coordinated team of lawyers, legal staff and specialists. In property purchase matters we look at the contract, land register, escrow and tax consequences together.

Call directly +43 662 6280000 WhatsApp Send email Book initial consultation (72 euros)

A property purchase contract binds both sides from the moment of signing. That is precisely why the draft should be reviewed while it can still be negotiated: once signed, changes are hard to enforce, and omissions often only take effect years later. The review ensures that you get what you pay for and that ownership reaches the land register free of encumbrances and in the correct rank.

At the centre are the precise object of sale, the encumbrance status, the declaration of registration consent, the ranking and a secure settlement through a lawyer's or notary's escrow account. Added to this are rights of withdrawal, warranty and the ancillary costs from real-estate transfer tax to the registration fee.

This page orders the key review points and their significance. The guide below helps you assess your situation, but does not replace an examination of the individual case.

Assess your situation

Where do you stand with the purchase contract review?

Answer one or two questions about the stage and the object of sale. You will receive a first, non-binding assessment of your situation.

Already know you want to get in touch? Go straight to the enquiry form.

01 Question 1

At what stage is your purchase contract?

Before signing, almost every point can still be negotiated. Once signed, changes are hard to enforce because the contract binds both sides.

All paths at a glance

Overview of all answers.

01

Once signed, the contract binds you. Check quickly whether a right of withdrawal is open.

If the purchase contract is already signed, later changes are hard to enforce because both sides are bound. In consumer transactions, however, a statutory right of withdrawal may exist, for instance under section 30a KSchG where a real-estate agent was involved, or under section 3 KSchG for a contract concluded away from business premises. These deadlines are short.

Have it checked immediately whether withdrawal is still possible in time and whether the declaration of registration consent and the encumbrance status are correctly reflected. The sooner, the better.

02

For condominium ownership the share, the utility value and the encumbrances decide. Review before signing.

When buying an apartment, the minimum share, the underlying utility value and the condominium object linked to that share should match the land register. Check the B and C sheets for mortgages, easements and any prohibition on encumbrance and sale. Secure the discharge of encumbrances and an orderly settlement through a lawyer's or notary's escrow account.

Also watch for the declaration of registration consent, the priority-ranking notation and the presentation of the energy performance certificate. We review the draft before you sign.

03

For real property the object and the encumbrances must match exactly. Clarify before signing.

When buying a plot of land or a house, the object must be described precisely: the registered property number, the parcel number and the area stated in the contract must match the current land register extract. Check the encumbrance status in the B and C sheets for mortgages, easements, real charges, pre-emption rights and any prohibition on encumbrance and sale, and secure the discharge of encumbrances.

The declaration of registration consent, the priority-ranking notation, the escrow settlement and any land-transfer authority requirement should be clarified before signing. We review the draft for you.

The review points at a glance

What must be right in the purchase contract

A property purchase contract combines several layers: the identity of the object, the encumbrance status, the rank, the consent to registration and secure payment. An error at one point endangers the entire transaction.

Key review points of a property purchase contract before signing
Review point What it is about Risk if it is wrong
Identity The object of sale Registered property number, parcel number and area match the land register Something other than intended is sold; errors in area or share
Security Encumbrance status B and C sheets: mortgages, easements, prohibitions and pre-emption rights You take on third-party charges or ownership is blocked
Ranking Priority-ranking notation Protection of the rank for the intended sale (section 53 GBG) Intervening entries displace your rank before registration
Registration Declaration of registration consent The seller's consent to registration (section 32 GBG) Without it, registration of ownership is impossible
Settlement Purchase price and escrow Payment step by step via an escrow account, clearly defined maturity You pay before ownership and discharge of encumbrances are secured

The table offers an overview and does not replace an examination of the individual case. Which points weigh most heavily depends on location, property and the parties involved.

Capturing the object and the encumbrances exactly

The object of sale must be described unambiguously. For real property, the registered property number, the parcel number and the area belong in the contract and must match the current land register extract; for condominium ownership the minimum share and the utility value are added. Even a wrong area figure or an outdated extract can prove costly later.

The encumbrance status is just as important. The B sheet shows the ownership situation, the C sheet the charges: mortgages, easements, real charges, pre-emption rights and any prohibition on encumbrance and sale. The contract must state clearly what is to remain and what is to be deleted before or at handover. The discharge of encumbrances must be secured before the purchase price flows.

Securing the rank and registering ownership

Without the declaration of registration consent, that is the seller's express consent to registration under section 32 GBG, ownership cannot be entered in the land register. It is the heart of every purchase contract and must appear in the text in proper form and in full.

Time passes between signing and registration, during which third parties could obtain entries. The priority-ranking notation for the intended sale under section 53 GBG protects against this: it reserves the rank and is valid for one year. This ensures that your ownership arises in the agreed rank and free of intervening entries.

Escrow, withdrawal and ancillary costs

The purchase price should not flow directly but through a lawyer's or notary's escrow account. The escrow arrangement ensures that the seller only receives money once the transfer of ownership and the discharge of encumbrances are secured, thereby protecting both sides. Maturity and the conditions for payout must be clearly defined.

Watch for rights of withdrawal: in consumer transactions section 30a KSchG may open a withdrawal where an agent was involved, and conditions precedent or subsequent may also be relevant. Caution is required with any exclusion of warranty, because the formula "bought as inspected" does not cover assured qualities. Finally, ancillary costs arise: real-estate transfer tax of 3.5%, the land register registration fee of 1.1%, the drafting of the contract and, on the seller's side, the real-estate income tax. The presentation of the energy performance certificate is also mandatory under the EAVG 2012.

This page offers a general overview of the Austrian legal position (legal status June 2026) and does not replace advice in an individual case. Which clauses and requirements count depends on the property, the location and the parties involved.

Frequent questions

Purchase contract review.

Why should I have the purchase contract reviewed before signing? +

Because the contract binds both sides from the moment of signing. Beforehand almost every point can be negotiated; afterwards changes are hard to enforce. Errors in the object of sale, the encumbrance status or the declaration of registration consent often only take effect later and are then almost impossible to correct.

What is the declaration of registration consent and why does it matter so much? +

The declaration of registration consent is the seller's express consent to registration under section 32 GBG. Without it, ownership cannot be entered in the land register. It must be contained in the contract in proper form and in full, otherwise registration fails despite the purchase price having been paid.

How does the priority-ranking notation protect me? +

The priority-ranking notation for the intended sale under section 53 GBG reserves the rank in the land register and protects against intervening entries by third parties between signing and registration. It is valid for one year. This way your ownership arises in the agreed rank and free of subsequent encumbrances.

What ancillary costs should I expect? +

Usually the real-estate transfer tax of 3.5% of the purchase price and the land register registration fee of 1.1% apply, plus the cost of drafting the contract and possibly an agent's commission. On the seller's side, real-estate income tax may arise. The exact amount depends on the individual case.

In depth

Terms on this focus area

Declaration of registration consent

The consent to registration under section 32 GBG, without which ownership cannot reach the land register.

Priority-ranking notation

The rank protection under section 53 GBG: reserves the rank for one year and wards off intervening entries.

Discharge of encumbrances

How mortgages and other charges are safely deleted from the land register before the purchase price is paid.
Related topics

This might also affect you.

Escrow and purchase price

Secure handling of the purchase price through attorney escrow: escrow account, payout conditions and protection for buyer and seller.

Land register and encumbrances

Land register status, registration of ownership, easements, mortgages and real burdens. Securing priority and deleting encumbrances.

Warranty and defects

Warranty when buying property, hidden defects, warranted qualities and dealing with clauses such as “bought as seen”.

Received a contract, not signed yet?

We review the draft before you sign and secure the settlement. Call us directly or write to us, with a callback within one business day.

+43 662 6280000 [email protected] Book initial consultation (72 euros)
Contact

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Address

BRANDAUER Rechtsanwälte GmbH Giselakai 51 5020 Salzburg