2024/08/23

Notarial issues when buying an apartment – find out what you need to take care of.

kwestie notarialne przy zakupie mieszkania w Szczecinie

Notary costs when purchasing an apartment from a developer is an issue that concerns anyone deciding to acquire real estate on the primary market. Unsure about what fees to prepare for? Don't worry! We have gathered all the essential information in one article. Enjoy reading.

First Visit to the Notary – Developer Agreement

When we decide to purchase an apartment or house from a developer who has not yet obtained a occupancy permit, meaning the property is still under construction, the parties—the developer and the buyer—sign a developer agreement. This agreement is precisely regulated by the Developer Act of 2011. This legal act specifies not only how the developer agreement is to be concluded, its form and content, but also imposes pre-contractual obligations on developers and the necessity to ensure the protection of buyers' financial capital.

According to the law, the developer agreement must be drawn up in the form of a notarial deed, which allows for the entry of the buyer's claims into the land and mortgage register of the property where the construction project is being carried out. This includes claims regarding the construction, the delineation of the residential unit, and the transfer of ownership to the buyer, along with the rights necessary for the use of the unit.

Notarial costs associated with purchasing apartments from developers

Notarial costs when buying an apartment from a developer consist of several elements that are worth noting. The notary may charge a fee for preparing the developer's agreement, which can be half of the maximum rate specified in the regulation of the Minister of Justice from June 28, 2004. The maximum notarial fee when purchasing an apartment depends on the value of the property stated in the agreement and amounts to:

up to 3000 PLN – 100 PLN;
from 3000 PLN to 10,000 PLN – 100 PLN + 3% of the excess over 3000 PLN;
from 10,000 PLN to 30,000 PLN – 310 PLN + 2% of the excess over 10,000 PLN;
from 30,000 PLN to 60,000 PLN – 710 PLN + 1% of the excess over 30,000 PLN;
from 60,000 PLN to 1,000,000 PLN – 1010 PLN + 0.4% of the excess over 60,000 PLN;
from 1,000,000 PLN to 2,000,000 PLN – 4770 PLN + 0.2% of the excess over 1,000,000 PLN;
over 2,000,000 PLN – 6770 PLN + 0.25% of the excess over 2,000,000 PLN, not exceeding 10,000 PLN.

That a notary can charge half of the maximum fees does not mean that it will always be the case. In many instances, a notary working with a developer may offer a lower fee than what is stipulated by the regulations. Before signing the notarial deed, it is advisable to find out what exact costs we will have to incur.

Costs resulting from other notarial activities

Notarial costs when purchasing an apartment do not end solely with the preparation of the notarial deed. It should be noted that the notary, when performing the service, will need to prepare excerpts from this deed. When buying an apartment from a developer, it is necessary to prepare at least three copies—one for each party and one for the court. In the case of concluding a final agreement related to the establishment of separate ownership, the number of copies increases to six.

For the buyer of the property;
For the seller;
For the relevant District Court;
For the County Office;
For the Municipality Office;
For the Tax Office;

Due to the extensive nature of such contracts, it is necessary to prepare for significant costs. Each newly started page incurs an expense of 6 PLN, to which the applicable VAT must be added.

Potential Additional Notarial Costs When Buying an Apartment from the Primary Market

Notarial fees associated with purchasing an apartment are not limited to the notarial fee itself, although it is the largest expense. Buyers should also account for other smaller fees arising from legal regulations or bank requirements. Most of these costs have a fixed or maximum rate, making it easier for buyers to accurately plan their budget for additional expenses. It is worth noting that the costs associated with purchasing an apartment from the primary market differ from those in the secondary market, as buying property from the secondary market incurs a 2% civil law transaction tax—an expense that does not apply when purchasing property from a developer.

Among the additional notarial costs related to buying an apartment are:

Establishment of a land and mortgage register: a fixed fee of 150 PLN.
Entry of ownership rights into the land and mortgage register: a fixed fee of 200 PLN.
Entry of a mortgage into the land and mortgage register (for a mortgage loan): a fixed fee of 200 PLN.
Copy of the notarial deed: a cost of 6 PLN net (plus VAT) per page, usually totaling around 100-300 PLN.

Notary Fees When Buying an Apartment - Can They Be Reduced?

The maximum notary fees set by regulations represent the upper limit of charges that a notary can impose. While these limits cannot be exceeded, it’s worth noting that there is an opportunity to negotiate fees with the notary. Sometimes, notaries, despite obligations arising from the professional code of ethics, are willing to lower their charges. Although ethical regulations prohibit unjustified reductions in fees, court rulings often do not consider such reductions as unfair competition.

Buying an apartment involves costs beyond just the purchase of the property from the developer. To avoid unexpected expenses, it’s advisable to thoroughly analyze all potential costs in advance. A detailed review should also take place when selecting the apartment itself. In this regard, you can rely on Ronson Development. In our offer, you will find properties located in convenient locations and made with the best materials, including new apartments in Szczecin. By choosing your dream apartment from our portfolio, you prioritize quality and ensure the best living conditions. We warmly invite you to explore our apartment offerings.