Buy land and then have it developed

Hello everyone,

I would like to buy a plot of land from my mother and aunt at the official standard land value. However, the plot is not yet connected to electricity, water, telecom, etc., and a few trees still need to be cut down. Is it allowed for me to buy the plot now at the official price and then have them basically pay for the development? Or does that count as a gift and must be taxed? Unfortunately, it is not possible beforehand, as the money comes from me first. And I also do not want to pay it myself, as that would probably cause problems again with gifts (because the land is too cheap), appraisers, etc. I would simply like to buy the finished plot.

Best regards

Warning: Layperson's assessment through the lens of an imagined tax avoider (legal). It would probably be better the other way around. They pay you before the purchase for the costs of development and clearing in the form of a contract. Here you would have to tax the profit, but if you have no profit because you hire subcontractors, then you also pay no taxes.
After that, you buy the property from them as usual.
But honestly, you should rather ask a tax consultant.

Actually, you have two conflicting interests. On the one hand, to buy as cheaply as possible due to real estate transfer tax (presumably only for the aunt's share) and notary costs, and on the other hand, to avoid gift tax. Gift tax is probably hardly an issue between mother and child. On the other hand, a gift between aunt and nephew/niece would quite quickly be subject to gift tax. The exemption amount here would be €20,000. On the other hand, you first have to come up with €20,000 for half of the development costs.

Numbers are therefore necessary for assessment.

Incidentally, side agreements to the real estate purchase must also be taken into account in the notary contract. If you include the subsequent development, then you have the same problem you actually wanted to avoid.

Since this is already tending towards tax advice and reserved only for professions authorized for tax advice, I rather recommend also consulting a tax advisor.

On the other hand, a gift between aunt and nephew/niece would become subject to gift tax quite quickly. The exemption amount here would be €20,000. On the other hand, you first have to come up with €20,000 for half the development costs.

Moreover, one might also consider a gift between aunt and mother, so the money simply circulates tax-free in a circle. :D

Moreover, one might consider a gift between aunt and mother, so the money just circulates tax-free. :D

Exactly.
But as I said, you would first need to know a few numbers before thinking further.

Is it allowed for me to buy the property now at the official price

But the official price should be (much) cheaper since it is not yet developed?! There is not just one value of a property, but several. In this case, you don't have to refer to the standard land value of a developed property. Just as a reminder.