Notary appointment – top tips when selling a property

There’s no house sale without a notarised agreement

For the sale of a property to be legally processed, a notarised sales contract is mandatory. It is only with a notarised agreement, which registers the purchase of a property, that changes to the ownership status can be made in the land register. But the fact that the sales contract for a property is registered by a notary happens for other reasons: the notary acts as a neutral intermediary between the buyer and the seller, and should impartially clarify any queries that come up during the notary appointment and ensure the legal legitimacy of the contract contents.

This consultancy of course requires payment to the notary, and notary fees are part of the mandatory additional costs of selling a house. The person who bears the cost of the notary varies depending on the canton, but it can often be split equally between the two parties. The same applies for things like the property transfer tax.

In addition to legal advice, drafting of the contract and the notarisation itself are included in the notary fees. Because the notary generally also deals with the registration of the land charge, additional fees are incurred for the entry in the land register. The exact amount of the notary fees varies depending on these factors, as well as from property to property, plus they differ between cantons – but they’re usually less than 1% of the sale price. In the canton of Zurich, for example, notary fees are 0.1% of the purchase price.

What should be included in the notarised agreement?

The majority of notarised agreements often consist of standardised wording and paragraphs. However, this doesn’t mean that it can’t be adapted to individual requirements. During the notary appointment, the notary will read through the sales contract again, which will already have been presented to the buyer and the seller of the property in advance for review. 

It is also in this section of the property sale that changes regarding the sales contract can be made, as long as both parties agree to them. As an intermediary, the notary will explain how such changes can be legally applied. However, it is not within their remit to determine whether such last-minute changes to the notarised agreement will have a negative impact for either party.

When does a notarised agreement become valid?

Once the notarised agreement has been signed, the contractual content becomes binding for all signatories. Despite this, circumstances may arise that mean it is possible to terminate the notarised agreement. For example, this could be the case if the property seller knowingly withheld blatant defects with the property from the buyer. It is also possible to withdraw from the contract if both the buyer and the seller of the property agreed on a suitable withdrawal clause or specific reasons for withdrawal in advance.

Checklist: what is included in a notarised agreement?

No two properties are the same – which is why the content of all notarised agreements differs. Nevertheless, there are certain sections that are included in all notarised agreements. Here are the most important pieces of information usually included in a notarised agreement:

• Personal data of the contractual parties: This part of the notarised agreement lists general information about the two contractual parties.

• Information about the property: This is where the most significant general information about the property is recorded. This includes the type of property, the address and the size of the living space.

• Energy performance certificate: No agreement can be notarised without an energy performance certificate. This document gives property buyers an impression of what their heating bills might be.

• Land register data: This section lists all of the important details from the land register. This includes information on the previous owner listed in the land register, and the owners before that.

• Information about land charges: Closely related to the land register data is information about any existing land charges. It lists all loans in the notarised agreement that have been taken out for the property or against the property.

• Purchase price and methods of payment: What does the property cost and when does the agreed purchase price for the property need to be paid? This is the information given in this section of the notarised agreement.

• Financing information: The notarised agreement usually includes information on how the buyer is financing the property. 

In accordance with the property and the requirements of both contractual parties, the notarised agreement can of course include extra information on the property sale. This is why the list given above is merely a general example of a notarised sales contract. 

To make getting to this critical phase of the property sale as efficient as possible, it’s worth enlisting the help of an experienced real estate agent. They will be able to handle the laborious yet necessary tasks as required by the house seller. Please feel free to get in touch with us – we look forward to helping you with this important step.