Notary Costs When Buying Property in Saxony: What You Really Pay

When buying a property, incidental costs are often underestimated — until the first invoice arrives. Notary costs and land-register fees are regulated by law, transparently calculable and yet a surprise for many buyers. This article explains what to expect specifically and how to prepare.

Which notary costs arise?

Notary fees in Germany are not freely negotiable. They are governed by the Court and Notary Fees Act (GNotKG) and are calculated on the basis of the purchase price. That ensures transparency — but also considerable sums for higher purchase prices.

Notarisation fee: the main fee for notarising the purchase contract. It is typically twice the fee rate according to the GNotKG table.

Execution fees: for entering the priority notice of conveyance in the land register, dealing with the land registry and obtaining approvals. These items are smaller but add up.

Disbursements: document flat rates, certification costs, postage, land-register extracts. Typically €100–300 in total.

Notary escrow account: if the purchase price is handled via a notary escrow account, an additional fee arises — usually 0.2–0.5 % of the purchase price. When is it worth it? For more complex transactions, when release from encumbrances is needed, or when the buyer insists on extra security.

Notary fee table: purchase price and costs

The following values are guide figures for the total notary costs (excluding land register, excluding escrow account), pure notarisation costs:

Note: these values are guide figures. The actual invoice depends on the number of notarised acts (e.g. land-charge creation separately), the use of an escrow account and individual execution steps.

Land-register entry costs

The land-register fees are charged separately by the land registry — not by the notary. They too are governed by the GNotKG and amount to approx. 50 % of the notary fee.

Conveyance (transfer of ownership): the buyer is registered as the new owner. Fee: approx. 0.3–0.5 % of the purchase price.

Land-charge entry: if the buyer has bank financing, the land charge is entered in favour of the bank. The fee depends on the amount of the land charge.

Priority notice of conveyance: before the final entry, a priority notice is registered that protects the buyer during the processing period. It is later replaced by the conveyance.

Cancellation of existing land charges: if the seller still has a loan, the existing land charge must be cancelled. The cost is typically borne by the seller — approx. €200–500 depending on the amount.

Total costs for notary and land register together:

Who pays the notary costs?

The common practice in Germany: the buyer bears the costs of notarising the purchase contract, the land-charge entry and the transfer of ownership in the land register.

The seller generally bears: the costs of releases of consent for existing land charges and any certifications of power of attorney on their side.

This is not a statutory rule but market custom — and is anchored as such in the purchase contract. Deviations are possible and should be expressly agreed.

For an overview of all costs when selling a property: Incidental costs when selling a property

Notary escrow account: what is it and when is it used?

A notary escrow account is a trust account that the notary holds for a specific transaction. The buyer does not pay the purchase price directly to the seller but initially into this account. The notary releases the money only once all conditions are met — in particular the release from encumbrances (cancellation of existing debts) and the priority notice of conveyance in the land register.

When it makes sense:

• For complex transactions with several conditions
• When the seller still has a current loan and the bank only acts to cancel the land charge once the purchase price is available
• When the buyer insists on maximum security
• In cases of inheritance or other complicated ownership situations

Disadvantage: additional costs of 0.2–0.5 % of the purchase price. On a purchase price of €300,000 that is €600–1,500 extra.

In Dresden practice, the majority of transactions run without an escrow account — payment is processed directly following the notary's release instruction. That works securely and more cheaply.

How long does the notarisation take?

A standard purchase-contract appointment at the notary takes 60–90 minutes. During this time the purchase contract is read out in full — that is required by law. Shortcuts are not possible.

The draft purchase contract is usually sent out 2 weeks before the appointment. Buyer and seller should allow enough time to review the draft and clarify questions in advance — not only at the appointment.

In my work I advise both parties: read the draft purchase contract in full and ask all your questions before the appointment. The notary is happy to answer them beforehand. At the notarisation appointment itself, changes are possible but considerably lengthen the appointment.

Difference: right of first refusal, land-charge creation, release of consent

Right of first refusal: some municipalities, tenants or other parties have a statutory or contractual right of first refusal — the right to step into an existing purchase contract on the same terms. The notary checks and clarifies this. Relevant, for example, on first registration of a declaration of division or in municipal redevelopment areas.

Land-charge creation: if the buyer finances, the bank creates a land charge as security. This too is notarised — often directly in the purchase contract or in a separate deed. The cost is borne by the buyer.

Release of consent: if a land charge of the seller is still registered on the property (from an old loan), it must be cancelled. The seller's bank issues a release of consent — often for a fee of €100–300. These costs are usually borne by the seller.

For details on the real estate transfer tax in Saxony, which is incurred in addition to the notary costs: Real estate transfer tax Saxony

If you would like to understand the land register extract of your property: Reading and understanding the land register extract

As an agent I coordinate the liaison with the notary for you — appointment organisation, alignment of the contract draft and clarification of open points before the notarisation appointment.