What Notary Fees for a Luxury Real Estate Purchase? Calculations and Estimates

What Notary Fees for a Luxury Real Estate Purchase? Calculations and Estimates

Find out about notary fees when purchasing luxury real estate in France. Learn how these fees are calculated and get accurate estimates.

Notary fees for a luxury property purchase in France can represent a significant part of the total budget. Here is an overview of notary fees, how they are calculated and an estimate of their amount.

1. Composition of notary fees

Notary fees generally consist of several elements:

• Transfer taxes : These are taxes that the State and local authorities levy on the sale of real estate. They often represent the majority of notary fees.
• Notary fees : Set by decree, these fees are calculated as a percentage of the sale price of the property.
• Additional costs : This includes application fees, registration costs, publications in the land register, etc.

2. Calculation of notary fees

has. Transfer rights

Transfer taxes vary by region and are often calculated on a sliding scale. On average, they are between 5% and 7.5% of the sale price for real estate.

b. Notary fees

Fees are calculated according to a fixed scale. Here is an example of the fee scale (for information only):

• For the first €6,500 : 4%
• From €6,501 to €17,000 : 1,65%
• From €17,001 to €60,000 : 1.1%
• Beyond €60,000 : 0,825%

c. Calculation example

Let's say you want to buy a luxury property at a price of €1,000,000.

1. Calculation of transfer rights (assuming 5% for simplicity):

   $$rights$$

2. Calculation of notary fees :
   • For the first €6,500: 6500×0.04=260 €6,500 \times 0.04 = 260 \ $$,$$ $$€$$ $$6500$$ $$\times$$ $$0.04$$ $$=$$ $$260$$ $$€$$
   • For the bracket from €6,501 to €17,000 (€10,499): $$=$$ $$17310,499$$ \times 0.0165 = 173\, € $$10499$$ $$\times$$ $$0.0165$$ $$=$$ $$€$$ $$173$$
   • For the bracket from €17,001 to €60,000 (€42,999): $$=$$ $$47342,999$$ \times 0.011 = 473\, € $$42999$$ $$\times$$ $$0.011$$ $$=$$ $$€$$ $$473$$
   • For the bracket from €60,001 to €1,000,000 (€939,999): 939999×0.00825=7748 €939,999 \times 0.00825 = 7,748 \ $$,$$ $$€$$ $$939999$$ $$\times$$ $$0.00825$$ $$=$$ $$€$$ $$7748$$

   Adding up all the fees:

   $$260+173+473+7748=8654€$$

3. Total notary fees :

   $$\text{Total}$$

3. Estimated total

For a luxury property worth €1,000,000, you can therefore expect notary fees of around €58,654, which represents around 5.87% of the sale price.

Conclusion

Notary fees for a luxury real estate purchase can vary considerably depending on the region, the sale price and the fees applied. It is important to include these costs in your total budget for the purchase. For a precise estimate, it is always advisable to consult a notary who can provide you with a personalized quote.

If you have any further questions or would like additional information, please don't hesitate to ask!

How to Reduce Notary Fees When Purchasing Luxury Real Estate?

1. Choose the Right Notary

The choice of notary may have an impact on fees. Fees can vary from one notary to another, so it is wise to compare several professionals. Do not hesitate to request detailed quotes to find out the exact fees associated with your transaction.

2. Negotiate Fees

Notary fees are set by law, but certain additional costs may be negotiable. Talk to your notary about reducing certain fees or getting discounts on their services. This can help reduce the total amount of fees.

3. Take Acquisition Costs into Account

It is possible to reduce transfer taxes by opting for a property in an area where the rates are lower. For example, some municipalities may apply reduced rates compared to large cities. Consider exploring different locations before finalizing your purchase.

4. Evaluate Easements and Right of Way

If you are considering purchasing a property with easements or rights of way, these may influence the amount of notary fees. By discussing the legal and financial implications of easements with your notary, you will be able to better anticipate and potentially reduce the associated costs.

5. Take advantage of Exemptions and Reductions

Find out about possible exemptions and reductions. Certain situations may allow a reduction in transfer taxes. For example, exemptions can be granted in the context of the first acquisition of real estate or for properties classified as historic monuments.

6. Review the Sale Price

Finally, the amount of notary fees being proportional to the purchase price, a negotiation of the sale price can also have a direct impact on the amount of fees. By negotiating the price with the seller, you reduce not only the purchase cost but also the resulting notary fees.

Conclusion

Reducing notary fees when purchasing luxury real estate is possible by taking proactive measures. By choosing your notary wisely, negotiating fees, considering the location of your purchase and finding out about exemptions, you will be able to optimize your purchasing budget.

Follow “ ProprietesDeCharme.com ” on YouTube but also on Facebook Twitter LinkedIn Instagram Pinterest