House purchase with occupancy 6 months later, payment plan

now you are also bringing a possible insolvency into play.

The purchase price goes into the escrow account of the notary. After the transfer of ownership has taken place, the money then goes to the seller.
Nothing happens in case of insolvency of the seller.

This topic was in a legal advice forum a few days ago.

But from the other perspective. The new owner was already in the house but the payment was not complete.

The new owner then wrongfully withheld money due to defects. Whether those were defects was also disputed.

I myself also sold an apartment back then. I deliberately postponed the handover to avoid problems and to avoid having to live somewhere in between. Of course, we needed partial bridge financing for that.

You also have to consider that the transfer of ownership also entails obligations for you if the current owner still lives there.

That can mean anything from simple repairs to loss of rent or even eviction lawsuits, etc.

Do yourself a favor and do not deviate from the usual contracts. Set deadlines for when what must be paid and what happens if construction by the old owner stalls, because you have costs, such as interest, the ongoing rent that must be paid, and so a double burden quickly arises. If he does not move out, charge rent and set it quite high.

The purchase price goes into the notary's escrow account. After the transfer of ownership, the money then goes to the seller.

What nonsense. First, that doesn't work because of the seller's wish, as he needs the money NOW. And second, because a notary escrow account is so expensive and unnecessary that today it practically has the same significance in Germany as nuclear power. Today, in 99.999999% of all transactions, there is no reason for it. And especially not in the OP's case.

… and everything else will also be anchored in the notarized contract.

now you’re bringing a possible insolvency into play. The purchase price goes into the notary’s escrow account. After the transfer of ownership, the money then goes to the seller. Nothing happens in the event of the seller’s insolvency.

I know it this way, that the contract states that ownership only passes to the buyer upon full payment of the purchase price. Why should it be paid into an account of the notary? I would rather include in the contract that the seller submits to immediate enforcement in the event of default in rent payment. So that you don’t then even have to file a lawsuit.

It depends on the amount in my opinion. As far as I know, there is a risk that if the seller goes bankrupt, you might partially lose your down payment. Generally, don't listen to brokers; they talk a lot when the day is long.

This is not a risk, since the purchase has been made and the outstanding amount simply transfers as a claim from the seller to the insolvency administrator.