Vast majority of French departments opt to increase property notaire fees
What difference will it make to buyers and sellers?
Most departments in France are increasing the rate from 4.5% to 5%, with proponents saying the effect on sellers and buyers will be minimal
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Nearly 80 departments in France have already opted to increase notaire property fees for the next three years, from 4.5% to 5%, in what some say will help authorities amid “a delicate budgetary context”.
Specifically, the tax is the ‘DMTO (droits de mutation à titre onéreux)’, which is the name for transfer tax that notaires collect on property transactions. The tax makes up a significant part of what is known as ‘frais de notaire (notaire fees)’.
The increased fee is permitted by the 2025 loi de finance, and will come into force (ie. will be applied by notaires) from June 1 this year. It is set to apply until March 31, 2028. However, it will not apply to first-time buyers.
Increased rates
Department authorities that wish to implement the measure in 2025 have until April 15 to decide. Some have already made the move, defending their decision to do so.
Around 20 departments - including Paris, Loiret, Charente-Maritime, Hauts-de-Seine, and Ille-et-Vilaine - have had the increase agreed since April 1, reports Les Echos.
Other planning the increase include Gers, Doubs, Calvados, Isère and Lot.
Read also: List: French departments where property notaire fees have risen (or will soon)
Read more: Notaire fees expected to rise for home purchases in France
Jean-Claude Leroy, head of the Pas-de-Calais department, which has also voted for the increase, said in parliament that it would “preserve the financial equilibrium of our community [which is struggling with] a delicate budgetary context”.
Similarly, François Durovray, president of the department of Essonne, said: “In the absence of such a measure, it would have been necessary to make additional savings of around €10 million.”
Some have said the amount will not be enough.
Jean-Luc Gleyze, president of Gironde, said: “This increase is a small percentage which should generate revenue of €14 million, but this is still well below what is needed.”
How will the rate increase affect buyers and sellers?
Coralie Dénoues, president of the departmental council of Deux-Sèvres, which voted for the increase on Monday, April 7, said the measure was necessary, but would have little impact on sellers or buyers.
She told Les Echos: “This 0.5% increase will make up €1.5 million of what is required of us…but it will not impact the property market. It represents an extra €1,000 on a purchase of €200,000.”
Read more: When will ‘notaire fees’ for property purchases increase in France?
Which departments are not increasing the rate?
Only around 12 or so departments will not opt for the increase. These include:
Ain, Alpes-Maritimes, Ardèche, Lozère, Saône-et-Loire, Oise, Hautes-Pyrénées, Hautes-Alpes, and Indre.
Alexandre Rassaërt, president of Eure, said (during the March budget vote): “As long as internal savings are possible and there is room for financial manoeuvre, we will reject this solution. Increasing the tax burden must be a last resort.”
Nadège Lefebvre, president of Oise, explained that her department had “reserved surpluses of the DMTO accumulated in 2021 and 2022 [in anticipation] of this ‘boomerang effect’”.
“Not increasing the DMTO makes it easier to move house and boosts purchasing power,” she said.
Ain is not planning on increasing the rate in 2025, while Tarn-et-Garonne does not plan to debate the subject in time to meet the April 15 deadline, meaning that the rate will not change there this year, either.
