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Why are the notary fees and land registry fees?

Every transfer of ownership of a property requires notarial certification. A notarial purchase contract is also required by law. The notary is responsible for the notarisation of the purchase of real estate and charges fees and reimbursement of his expenses. The land registry also charges a fee for the processing of the mortgage transactions - for example the entry of a new mortgage in the land register. The costs incurred are set out in the Court and Notary Fees Act, which stipulates uniform fee rates. The costs are therefore fixed and not negotiable. The fees are calculated as a percentage of the purchase price volume. The costs for the notary and the land registry entry are part of the incidental purchase costs of a property, just like land transfer tax and brokerage fees.

What are the notary's fees and land register costs for?

If you want to build a house, you need your own land. This land must first be purchased. However, in order to buy or sell a plot of land, a notarised purchase contract is required by law. This purchase contract must be concluded directly through a notary and cannot be concluded without a third party, as is perhaps usual in other areas of the free economy. Therefore, notarial costs for the purchase contract are incurred, which have to be borne by the buyer. These costs are clearly regulated and also capped. Nobody has to calculate with incalculable notary costs because a property was purchased. An official fee regulation quantifies the notary costs exactly and clearly. As with other ancillary construction costs, the notary costs are based on the purchase price of the property. At present, one can assume a fee rate of 3 percent for notary and land registry entries. A property with a value of EUR 100,000 is therefore calculated with notary costs and land registry fees of EUR 3,000.

What exactly are notary fees for?

  • Land charge order

  • Notarized purchase contract of the property

  • Support and advice from the notary

  • Administrative and enforcement activities

Land register entry: Making ownership public

A notarised purchase agreement is not sufficient to legally acquire a plot of land for building a house. The purchase or sale of the property must be made public - in the land register. The entry in the land register clearly identifies the owner of the property and can also be identified for external persons. Again, the fees for the land register entry are based on the purchase price of the land.

Why are there fees for the land register?

  • Entry of the land charge in the land register

  • Registration of the owner in the land register

  • In some cases: Conveyance notice

Are there possibilities to optimize notary and land register costs?

Neither with the land register entry nor with the notary costs can builders really save.

But it is good to know: Fees can be saved by purchasing an undeveloped plot of land. The purchase price, to which the notary's fees refer, is lower for undeveloped land than for a plot of land built with a house. If a house is later built on the property, the building of the house does not belong to the real estate business and the notary cannot charge any fees for it. On the other hand, if the future owner buys a property with a house, the full purchase price is used to determine the notary's fees.