How purchase costs (“notaire fees”) work in France

When you buy a property in France, it is important to understand how purchase costs, often called “notaire fees”, work. They include several elements to build into the overall budget of your purchase. In this article, we explain how these costs are split between the notaire, the State and the other parties involved.

The components of purchase costs:

1. Transfer duties: Transfer duties, also called registration duties, are taxes collected by the State when a property is sold. They depend on the type of property (new or resale) and its location. They are calculated as a percentage of the sale price and make up the largest part of purchase costs.
2. The notaire’s fees: The notaire’s fees (émoluments) pay the notaire for their work on the transaction. They are regulated by law and calculated as a percentage of the sale price, on a sliding scale. They cover drafting the deed of sale, handling the formalities and legal advice.
3. Disbursements: Disbursements are costs paid in advance by the notaire on the buyer’s behalf for the formalities of the sale: mortgage searches, registration with the land registry, surveyor’s costs for boundary marking, and so on. The buyer repays them on completion.
4. Registration and land registry costs: These cover the publication of the deed of sale and its registration with the land registry. They are set by law and depend on the value of the property.

How purchase costs are split:

Transfer duties are usually the largest share of purchase costs. They are paid to the State and its local authorities, and vary slightly from one department to another. For a resale property, they amount to roughly 5.8% to 6.3% of the price; for a new-build property, much less.

The notaire’s fees are set by a regulated scale based on the sale price. They amount to about 1% of the price.

Disbursements and registration costs are advanced by the notaire and repaid by the buyer on completion. Their amount depends on the services used and the formalities of each sale.

In short, purchase costs include transfer duties, the notaire’s fees, disbursements and registration costs. Transfer duties go to the State, while the notaire’s fees pay for their services; disbursements and registration costs are advanced by the notaire and repaid by the buyer. Altogether, budget around 7 to 8% of the price for a resale property. Do include these costs in your budget, and ask an estate agent or a notaire for precise figures for your own purchase.