Real Estate Fees in Paris: Buyer Charge vs. Seller Charge?
Expertise and clarity at the service of your real estate project.
Selling or acquiring property in Paris requires a precise understanding of market mechanics. Beyond the transaction itself, cost transparency is the primary pillar of a trust-based relationship. In this article, we reveal Parisian market standards to help you navigate your future project with peace of mind.
In Paris, the question of agency fees is often a source of confusion for both sellers and buyers. Buyer charge, seller charge, displayed price, net seller price: behind these terms lie presentation choices that influence market readability without changing the actual value of the property.
At Fairway Luxury Real Estate, we make a deliberate choice for clarity. This article aims to explain, in an educational manner, the differences between fees charged to the buyer and fees charged to the seller, as well as their legal and financial implications within the specific context of the Parisian market.
1. What do real estate agency fees cover?
Agency fees compensate for all services provided by the real estate professional: market analysis and comparable sales, definition of the marketing price, valuation strategy, buyer selection, negotiation, and legal security until the signing of the final deed.
They are strictly regulated, must be displayed transparently, and must be explicitly mentioned in the mandate, listings, and legal documents.
2. In Paris, a practice largely oriented toward seller charge
On the Parisian market, many agencies opt for fees charged to the seller. This choice makes the exact amount of fees less immediately visible in the advertisement. This practice is perfectly legal as long as it is correctly formalized. It corresponds more to a presentation convention than to a real economic difference.
3. Fees charged to the buyer: Prioritizing readability
When fees are charged to the buyer, the displayed price corresponds to a Fees Included price (FAI), which is clearly identifiable and comparable with all properties offered on the market.
Concrete example:
• Net seller price: €800,000
• Agency fees: €40,000
• Displayed price: €840,000 FAI
In this scenario, the buyer pays the fees to the agency, the seller receives a clearly defined net seller amount, and the displayed price reflects the real acquisition cost of the property. This mode of presentation promotes a healthy reading of the market.
4. Fees charged to the seller: A different breakdown of the same price
When fees are charged to the seller, the displayed price remains a Fees Included price, but the fees are deducted from the sale proceeds. For an equivalent price structure, the total cost for the buyer remains strictly identical.
5. Impact on notary fees
When fees are charged to the buyer, they are not integrated into the calculation base for transfer duties (notary fees). This can generate marginal savings on notary fees for the buyer, without changing the intrinsic value of the property.
6. Our fee schedule
We prioritize a presentation with fees charged to the buyer to offer perfect price readability:
Exclusive mandate: 4% (incl. VAT) of the sale price.
Simple mandate: 5% (incl. VAT) of the sale price.
Flat fee for properties under €500,000: €20,000 (incl. VAT).
Understanding these mechanisms allows you to approach a sale or purchase with serenity and focus on the essential: selling or buying at the right price, under the best conditions.
Comprendre ces mécanismes permet d’aborder une vente ou un achat avec sérénité et de se concentrer sur l’essentiel : vendre ou acheter au bon prix, dans les meilleures conditions.
Victor Thierry
Expert Immobilier - Spécialiste Paris 9ème
Fairway Luxury Real Estate