Fees and transfer taxes
When purchasing property in France, the buyer must pay certain fees and taxes which are called "frais de notaire" although
they do not constitute only the remuneration of the notaire, but include taxes paid to the French state and municipalities.
"Frais de notaire" are calculated by the notaire, paid by the buyer on top of the purchase price and disbursed directly by the notaire
to the different parties concerned. Fees average 7 to 10% of the acquisition price and are of three types:
professional fees of the notaire and direct costs
transfer taxes
mortgage fees (where applicable)
Professional fees
The notaire will charge fees based on the amount of the transaction ( a small € 200/300 fixed fee is usually added) as follows:
|
1st tranch |
2nd tranch |
3rd tranch |
4th tranch |
Amount of transaction (per tranch) |
<€ 3050 from |
€ 3050 to € 6100 |
from € 6100 to € 16770 |
>€ 16770 |
Fee (before VAT) |
5% |
3.3% |
1.65% |
0.825% |
ie for a € 630 000 transaction:
3050 | x | 0.05 | = | € 152.50 |
3050 | x | 0.033 | = | € 100.65 |
10670 | x | 0.0165 | = | € 176.05 |
13230 | x | 0.00825 | = | € 109.15 |
TOTAL | € 538.35 |
VAT | € 105.55 |
========== |
TOTAL VAT inc | € 643.90 |
A VAT of 19.6% is included in the price.
The notaire will ask for the rembursment of his direct costs relative to the specific searches (asbestos, termites, PPR, emcumbrances, etc...) undertaken for the preparation of the deed.
Transfer taxes
For a second hand property built more than five years ago (unless it was already changed hands),
the transfert taxes amount to 5.09% of the purchase price.
For a new house or apartment less than five years old and which has not yet changed hands,
the following taxes are payable : VAT 19.60% (generally included in the purchase price) + 0.715%
Stamp duties are also payable based on the number of pages of the deed, and may amount to € 200 - 500.
Mortgage costs
Mortage fees usually average 2% of the loan amount, including land registry fees.
It is advisable to check with your notaire since the exact costs will vary according to the specifics of your mortgage.
NB : Note that this information is valid as of January 1 2007 and may be subject to change.