2014 French Notary Fees Going Up Now Going Down?

An article in the Le Parisien, states the French government is preparing a reform of the notary fees charged on the purchase of a French property.

Currently, French notary fees are proportional to the amount of the real estate sale. The new proposal is to replace the proportional pricing with a fixed grid for pricing that would be re evaluated each year to reflect changes in the cost of living.

Current Costs
The Le Parisien article states that currently a notary’s office receives 2663 Euros on the sale of a 176000 Euro property. This 2663 Euro amount is part of the total fee of 12320 Euros collected from the Buyer of the French property.

The total sum of 12320 is mostly transfer taxes paid to the state (these transfer taxes were just increased this year). The official discussion of this change is to start in April 2014 according to the article.

Note: From the example above the notary’s office only received 21 percent of the total amount paid by the buyer.

Comment: One reader emailed us with the question “why should the notary’s payment for their work be reduced since it is only 21 percent of the purchase price? Why does the government of France not simply reduce the transfer taxes charged? Or at least make a maximum on the amount charged instead of the transfer fees being a percentage of the purchase price?” Thanks Laure for your question.

What do you think? Do you think the notary’s should be paid less or the transfer taxes made less?

We welcome your comments.

Read the original article in French here