A real property will be not only purchased or sold, it can also be transferred via donation. In the case of donation of a flat or a house Treuhandschaft, i.e. escrow agency, may be bypassed, in contrast to a purchase agreement, since in this case no consideration will be paid for the transfer of ownership title. However, just like in the case of purchase agreements a donation contract requires a certain form for the ownership title being entered in the real property register. Such formality depends for the most part on the issue whether the donation will be made without handover or whether the object of donation (the real property) will be immediately handed over.
Donation in the case of real properties within a family is used for the most part as instrument of anticipated inheritance in order to transfer the title in and to real properties to close relatives. Donation within the scope of a family is also preferred in the respect of the land acquisition tax and is thereby a good opportunity to implement still in lifetime the distribution of immovable property.