What Are the Notary Fees When Buying a High-Value Property?

After choosing a home and discussing the price with the seller, preparing for the purchase becomes a matter of concrete details. Payment deadlines, required documents, and the funds that must be available at the time of the property transfer all need to be clarified. For a high-value property, transaction costs deserve a separate calculation even before signing the preliminary agreement, especially if part of the purchase will be financed through a mortgage.

The general term notary fees when buying a property is sometimes used to describe several different payments. The notary fee itself is only one of them. The local property acquisition tax and the state registration fee have separate legal grounds and are paid to different recipients. Understanding these distinctions allows you to estimate the amount you need to budget and determine which terms to negotiate with the seller.

What payments are included in property transfer costs?

In a typical residential property purchase, the main transfer costs include the notary fee for the deed, the local property acquisition tax, and the registration fee payable to the Property Register. Additional expenses may include drafting the notarial deed, certified copies, notarizations, and obtaining the necessary documents.

As an initial guideline, the local property acquisition tax in Sofia is 3%, while the registration fee is 0.1% of the applicable calculation base. The basic notary fee is determined according to a progressive tariff and is subject to a maximum amount. For a transaction value of €1 million, it is approximately €1,526.89 excluding VAT, or €1,832.27 including 20% VAT. Together with the local tax and registration fee, this brings the total to approximately €32,832 under the conditions described in the examples below.

This amount is an estimate covering the three specified payments. Brokerage and legal fees, banking expenses, and any mortgage-related costs should be budgeted separately. If you are comparing two offers for luxury apartments, it is advisable to prepare an acquisition budget for each, reflecting the specific transaction terms.

How are the calculation base and notary fee determined?

For a standard real estate sale, the starting point is the higher of the agreed purchase price and the property's tax assessment value. If you purchase an apartment for €800,000 and its tax assessment value is €240,000, the lower assessment does not allow the fee to be calculated on €240,000. The higher amount applies.

The tax assessment value is issued for taxation purposes. A bank valuation is used by the lender to assess the property and may differ from both the tax assessment and the agreed purchase price. When you receive a preliminary cost estimate, check which value has been used for each item, particularly if you are also acquiring a garage or other separate property units.

Are there separate notary fees for purchasing luxury real estate?

The tariff does not establish a separate category for luxury properties. For a transaction value exceeding approximately €255,645.94, the basic fee is calculated as €782.53 plus 0.1% of the amount exceeding this threshold. These figures have been converted using the official exchange rate of €1 = BGN 1.95583 and are provided for guidance. The final amount is determined by applying the tariff and the relevant rounding rules.

For a property valued at €1 million, this means that the 0.1% rate applies only to the amount exceeding the threshold, after which the fixed component is added. The percentage is not applied to the entire purchase price as the sole notary fee. Where the notary charges VAT, it is added to the fee for the relevant taxable service.

What is the maximum notary fee?

The basic fee under Item 8 of the tariff is capped at €3,067.75 excluding VAT, equivalent to BGN 6,000. Including 20% VAT, it reaches €3,681.30. This cap applies to the specific tariff-based fee for the deed and does not limit the total costs associated with the purchase.

For a property priced at €3 million, for example, the basic notary fee has already reached its maximum, while the 3% local property acquisition tax in Sofia amounts to €90,000. This difference explains why the municipality and the applicable tax base are particularly important considerations for higher-value transactions.

How are the local property acquisition tax and registration fee calculated?

The local property acquisition tax is determined by the municipal council within the statutory range of 0.1% to 3%. In Sofia, the rate is 3%. When purchasing property in another municipality, check its current regulations, including when the property is advertised as being located near the capital. Proximity to Sofia does not necessarily mean that the property falls within Sofia Municipality.

The tax is calculated on the higher of the agreed purchase price and the tax assessment value. With a calculation base of €1 million and a 3% rate, the tax amounts to €30,000. A difference of half a percentage point between two municipal tax rates would represent €5,000 on the same base, making it an important consideration when comparing overall acquisition budgets.

The registration fee is a state fee collected by the Registry Agency. It amounts to 0.1% of the value on which the deed fee is calculated, subject to a minimum of €5.11. With a calculation base of €1 million, registering the sale costs €1,000. In the examples, the local tax and this state fee are shown at their payable amounts, without adding 20% VAT.

Example fees when purchasing a property for €500,000, €1 million, and €2 million

The calculations are based on a property purchase in Sofia where the purchase price exceeds the tax assessment value and is therefore used as the calculation base. We assume a single notarial deed, a purchase without a mortgage, and a sale where VAT is not charged on the property price. The basic notary fee includes 20% VAT.

The amounts are indicative and do not include drafting the deed, additional notarial services, documents, brokerage or legal fees, and banking expenses. Final rounding is applied in the notary's fee statement. The table shows the combined amount of the three transaction-related payments. The portion you will personally bear also depends on the agreed allocation of expenses.

Who pays the fees when buying or selling a property?

The allocation of expenses should be agreed between the parties before entering into a binding commitment. The general rule under Article 186 of the Bulgarian Obligations and Contracts Act provides that the costs of transferring real estate are shared equally between the buyer and seller. The parties may agree on a different allocation. A special rule under the Local Taxes and Fees Act applies to the local property acquisition tax: as a general rule, it is paid by the buyer unless otherwise agreed.

When negotiating property purchase and sale fees, a general clause such as "all expenses shall be borne by the buyer" deserves careful consideration. Ideally, the agreement should separately specify the notary fees, local property acquisition tax, registration fee, and any expenses associated with removing encumbrances belonging to the seller. Each party's own legal or brokerage expenses should also be considered in accordance with their respective contracts.

If you have negotiated a discount on the purchase price, assess it alongside the allocation of transaction costs. An offer with a lower price but a greater share of expenses payable by you may produce a different financial outcome than expected. A written breakdown allows you to compare the terms on their actual merits.

What additional fees should you budget for when buying a property?

Drafting the notarial deed may constitute a separate expense under Item 20 of the tariff. Clarify in advance who will prepare the draft and whether this service is included in the estimate you have received. For a high-value property, overlooking such an item can noticeably affect your preliminary calculations.

Depending on the transaction, certified copies, powers of attorney, translations, certificates, and cadastral documents may be required. When the seller or buyer is represented by someone acting from abroad, document verification and preparation should begin sufficiently early. Request a specific list based on the parties involved and the property itself, so you know which expenses are still outstanding and which have already been paid.

Other property purchase fees may include bank transfer charges and the cost of using a notary's special account or another agreed payment arrangement. For substantial amounts, check the bank's transfer limits and payment instructions before the signing date. If the purchase includes furniture or works of art, their description and valuation should reflect the actual agreement and be discussed with your legal and tax advisers.

How do a mortgage and purchasing from a developer affect the budget?

When a purchase is financed through a bank, acquiring ownership and establishing a mortgage are separate legal procedures. Mortgage-related costs and registration fees are added to the expenses associated with the sale, along with applicable banking services, property valuation fees, and insurance premiums. Request a separate breakdown of the mortgage-related expenses, specifying the calculation base, as the amount secured by the mortgage may differ from the loan amount.

When buying from a developer, clarify at the offer stage whether the price includes VAT and how the individual property units are described. VAT on the property sale and VAT on the notary's services are separate matters. Tax treatment depends on the specific transaction and the parties involved, so a cost estimate for a purchase from a private individual should not automatically be applied to a new-build property transaction.

If an apartment is sold together with a garage, storage unit, or undivided ownership shares in another property, provide the notary with the complete agreed transaction structure. The number of deeds, the rights described, and their respective values all affect the final calculations. A preliminary cost estimate confirmed in advance is particularly useful when the purchase involves several successive payments.

How can you obtain a reliable preliminary cost estimate?

Provide the notary's office with the agreed purchase price, the tax assessment value, a description of all property units being acquired, and information on whether a mortgage will be involved. Also specify who will prepare the draft notarial deed. This allows the preliminary calculation to reflect the actual transaction you intend to sign.

Request an itemized breakdown showing the calculation base, the applicable tariff provisions, VAT charged, and the individual recipients of each payment. The Bulgarian Notaries and Notarial Practice Act provides for the issuance of a fee statement specifying the legal basis and amount of notary fees and additional expenses. For budgeting purposes, it is also useful to know in advance when each amount must be available.

At Unique Estates, we approach every property purchase with the client's goals and preferences in mind. When discussing your chosen property with one of our consultants, consider the total acquisition budget alongside the payment schedule. Final taxes and notary fees are confirmed based on the specific transaction documents, and a clear agreement on the allocation of expenses should be reached before signing the preliminary contract.

Frequently Asked Questions

Is the deposit deducted from the amount used to calculate the fees?

An advance payment reduces the outstanding balance you owe the seller. It does not reduce the value of the property being acquired for fee calculation purposes. If the agreed purchase price is €1 million and you have already paid €100,000, the remaining balance is €900,000, but the property transfer costs are not calculated solely on that outstanding amount.

Can you choose a notary in another municipality to benefit from a lower local tax?

The local property acquisition tax depends on the municipality where the property is located. Choosing a different notary's office does not change this. The transfer must be carried out before a notary with territorial jurisdiction over the area in which the property is situated.

Does a lower tax assessment value justify declaring a lower purchase price in the deed?

The notarial deed must state the actual agreed consideration. A lower tax assessment value does not change this obligation. If there is a discrepancy between the draft deed and the agreed purchase price, clarify it with your notary and lawyer before signing.

The information and example calculations are current as of October 2026 and relate to a standard real estate purchase and sale transaction. The actual costs depend on the documents, parties involved, services performed, and rules applicable on the transaction date.