They pay taxes on it. This is why the state “doesn’t care”. As far as I recall, when you buy a house, the notary is supposed to check where the money is coming

They pay taxes on it. This is why the state “doesn’t care”. As far as I recall, when you buy a house, the notary is supposed to check where the money is coming from, but this can be more of a handwavey thing. This is a slightly older article, I am on the go and didn’t find anything more in depth in English: https://m.dw.com/en/german-real-estate-market-a-hotbed-of-money-laundering-transparency-reports/a-46637937 https://m.dw.com/en/german-real-estate-market-a-hotbed-of-mo...