Guides and Tips
Notary fees and the purchase budget: calculating your budget carefully
4 min read
As well as the advertised price, there are costs associated with a purchase that you need to factor in. Here’s how to draw up a realistic budget so you can buy with peace of mind.
What ‘notary fees’ cover
We refer to these as ‘notary fees’, but in reality they consist mainly of taxes paid to the State and local authorities (transfer duties), to which are added out-of-pocket expenses and the notary’s regulated remuneration.
Typical range: around 7 to 8 per cent of the price for second-hand properties, and significantly less for new-builds, in the region of 2 to 3 per cent. These amounts are added to the purchase price and must be factored in from the outset.
Drawing up a realistic budget
Your total budget = the price of the property + purchase costs + any renovation work + loan application and guarantee fees. Setting aside a small safety margin can save you a lot of stress.
A personal contribution strengthens your application and reduces the cost of the loan, but it is not always essential. What matters is that there is overall consistency between the project, your income and the target monthly repayment.
Planning for funding
Arranging a meeting with your bank or a broker in advance will enable you to find out your actual borrowing capacity and secure an in-principle agreement. This will make you more responsive and credible when the time comes.
Marius Duclos guides you through the ins and outs of the local market and, if necessary, puts you in touch with financing partners to secure your project.
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Common Questions
The largest portion consists of taxes, which are non-negotiable. A small discount on the notary’s fees may be available above a certain amount, but the effect is limited.
