Notaries and Fees in Luxembourg: The Complete Guide

Published on September 30, 2025 and written by Cyril Jarnias

Navigating Real Estate Transactions in Luxembourg

Navigating the world of real estate transactions can quickly become complex, especially in Luxembourg where legal and financial specificities abound. This guide will lead you through the intricacies of Luxembourg notaries, these essential professionals who secure your transactions by ensuring the legal compliance of deeds.

Understanding Notary Fees

Understanding notary fees is essential to avoid unpleasant surprises and plan your budget accurately, particularly in Luxembourg’s constantly evolving market.

Whether you’re a potential buyer, seller, or simply interested in how these transactions work, this guide will provide clear and essential information to confidently approach your procedures.

Understanding the Notary’s Role in Real Estate Purchases in Luxembourg

Real Estate Purchase Process in Luxembourg and Notary Intervention

Key Steps in Luxembourg’s Real Estate Purchase Process	Notary Intervention
Defining Criteria and Property Search	—
Property Visits, Purchase Offer, Negotiation	—
Financing Pre-approval	—
Drafting and Signing the Sales Agreement	The notary may intervene to verify or draft the agreement, but their role becomes crucial after this stage.
Providing Required Documents to the Notary	Beginning of the notary’s official intervention: document collection, legal verification.
Legal and Administrative Checks	Major Role of the Notary
Signing the Authentic Deed of Sale	Exclusive Role of the Notary
Final Payment and Acquisition Fees	The notary collects funds and distributes them according to legal obligations.
Sale Registration and Property Transfer	Official Registration by the Notary with Competent Authorities
Key Handover, Official Acquisition	—

Legal and Administrative Steps Where the Notary Plays a Crucial Role

• Verification of Legal Documents:
  The notary analyzes the property situation (ownership, mortgages, easements, urban planning compliance), verifies parties’ identity and legal capacity, and ensures no disputes or oppositions could affect the transaction.
• Preparation of the Deed of Sale:
  Drafting the authentic deed containing precise property description, price, payment terms, parties’ obligations, and all stipulated clauses.
  Detailed explanations to buyer and seller about the deed’s content and consequences.
• Transaction Registration:
  The notary registers the deed with the Registration, Domains and VAT Administration and proceeds with land registry publication, thus formalizing the property transfer.

Importance of the Notary for Legal Transaction Security

• The notary acts as guarantor of legality and transparency, protecting both buyer and seller against procedural defects or future disputes.
• They ensure all tax obligations (registration duties, VAT, municipal taxes) and administrative requirements are met.
• They hold funds in escrow, ensuring their security until actual property transfer.

Notary Advice on Tax and Legal Implications

• The notary informs about:
  • Registration duties and notary fees to be paid.
  • Potential exemptions or special tax regimes (e.g., “Bëllegen Akt” for first-time acquisition).
  • Tax consequences of co-ownership purchase, company purchase, or rental investment.
  • Owner responsibilities and obligations after acquisition (insurance, charges, co-ownership).

Legal and Ethical Obligations of Luxembourg Notaries

• Impartiality: The notary must act in both parties’ interest, without favoring either side.
• Duty to Advise: They’re obligated to inform, explain, and alert about all legal and tax implications of the deed.
• Confidentiality: Absolute respect for professional secrecy.
• Legality Verification: Obligation to refuse any illicit act or action contrary to public order.
• Compliance with Ethical Standards: Notaries are subject to rigorous state and professional order control to guarantee service quality and legality.

Summary of Crucial Points

• The notary intervenes decisively from preparation of the deed of sale through transaction registration.
• Their role is indispensable for legal security, transparency, and compliance with legal and tax obligations for all concerned parties.
• Their professional responsibility and duty to advise are governed by strict standards, guaranteeing the integrity of Luxembourg’s real estate process.

Demystifying Notary Fees in Luxembourg

Notary fees in Luxembourg during a real estate transaction mainly consist of the following elements:

• Registration Duties: generally 6% of purchase price.
• Transcription Fees: 1% of purchase price.
• Notary Fees: calculated according to regulated scale, proportional to transaction amount (generally between 1% and 2%).
• Administrative Fees and Disbursements: fixed fees for various procedures and documents.

Elements	Percentage / Amount	Description
Registration Duties	6%	Tax on property transfer
Transcription Fees	1%	Fees related to land registry registration
Notary Fees	~1 to 2%	Regulated remuneration, varies by price
Administrative Fees	Variable (few hundred €)	Files, copies, procedures

Fee calculation is as follows:
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Practical Example

For an apartment purchased at €400,000, fees would typically be:

• Registration Duties: (400,000 × 0.06 = €24,000)
• Transcription Fees: (400,000 × 0.01 = €4,000)
• Notary Fees (estimated at 1.5%): (400,000 × 0.015 = €6,000)
• Administrative Fees: approximately €500

> Total approximate cost: €34,500

Differences by Acquisition Type

For primary residence purchase, advantageous schemes exist:

• “Bëllegen Akt” tax credit up to €40,000 for single persons or €80,000 for couples, deducted directly by the notary from due duties.
  • This credit only concerns acquisition intended to become your primary residence.
  • It’s applicable to only one acquisition per taxpayer except specific exceptions.

In case of resale or if the aid wasn’t fully used previously, a complementary request can be submitted under certain conditions.

For purchases other than first residence (rental investment, secondary property), this credit doesn’t apply and duties are fully due.

Additional Differences

In certain special cases:
Temporary or partial reduction possible on taxable base of duties for certain property categories or specific legal periods.

Practical Tips for Budgeting These Fees

• Estimate overall between 10-15% of total amount during your real estate project.
• Verify eligibility for tax aids (“Bëllegen Akt”), particularly for first-time buyers or primary residence purchase.
• Also anticipate ancillary fees (bank, insurance) which may sometimes be tax deductible within annual limits depending on family composition and effective acquisition date.

Key Points List for Future Buyers:

• Verify with the notary which taxes will actually be charged to you;
• Calculate your overall budget precisely including all these items;
• Systematically take advantage of available tax schemes before final signature;

Always include an additional financial margin to cover any adjustments related to Luxembourg’s specific notarial or legislative particularities.

Identifying Hidden Costs Related to Real Estate Purchase

During real estate purchase in Luxembourg, many “hidden” costs can increase the initial budget planned by the buyer.

Notary Fees and Ancillary Purchase Deed Costs:

• Notary remuneration (fees)
• Preliminary research fees (verification of property titles, mortgages, easements, urban planning)
• Administrative fees (deed drafting, correspondence fees, certified copies)
• Taxes related to notarized deed:
  • Registration Duties: 6% of purchase price
  • Transcription Fees: 1% of purchase price
• Notary fees temporarily reduced to 3.5% (from October 1, 2024 to June 30, 2025)

Additional Taxes and Costs:

• VAT on certain services (real estate agency, work, technical diagnostics)
• Real estate agency fees (generally 3% of sale price)
• Specific registration fees for certain property types

Mortgage Financing Related Costs:

• Bank processing fees
• Mortgage guarantee fees (mortgage registration at mortgage office)
• Death or disability insurance linked to loan
• Home insurance mandatory for loan disbursement
• Property appraisal fees (independent expertise)

Summary Table of Main Hidden Costs:

Cost Type	Indicative Amount / Rate	Observations
Registration Duties	6% of purchase price	Paid at notary
Transcription Fees	1% of purchase price	Added to registration duties
Notary Fees	Variable (incl. research, deeds)	Fees + administrative costs
Real Estate Agency Fees	3% of sale price	Generally seller’s responsibility
Bank Processing Fees	0.5% to 1% of borrowed amount	Depending on institution
Mortgage Registration Fees	0.3% to 0.5% of guaranteed amount
Borrower Insurance	Variable	Often required by bank
Home Insurance	Variable	Mandatory for loan disbursement
Appraisal/Evaluation Fees	€300 to €1,000	Depending on property complexity
VAT on Real Estate Services	16% (standard rate)	On fees, diagnostics, work
Co-ownership Charges	€20-50/month (or more)	Varies by building and services
Maintenance and Renovation	Variable	Plan fund for urgent work

Often Overlooked Expenses:

• Preliminary renovation work (bringing up to standards, decoration, repair)
• Moving expenses
• Co-ownership charges (heating, maintenance, collective insurance, management)
• Rental management fees (if purchase for investment)

Practical Tips to Anticipate and Integrate These Costs:

• Systematically request detailed quote from notary including all ancillary fees.
• Question bank about all loan-related fees (processing, insurance, guarantee, appraisal).
• Consult co-ownership regulations to accurately estimate charges and potential work provisions.
• Account for VAT on services, particularly when using professionals.
• Plan for 10-15% of purchase price envelope to cover all ancillary fees and avoid bad surprises.
• Establish multi-year projected budget, including current maintenance and upcoming renovations.

‼️ Anticipating all hidden costs is essential to avoid financial difficulties after purchase and secure the success of your real estate project in Luxembourg. ‼️