In short
The title deed fee is the tax paid to the land registry on property transfers. As of August 2026 the rate is four per cent of the sale value declared on the deed; by law two per cent falls to the buyer and two per cent to the seller.
In practice this split often works differently: depending on the negotiation, the whole fee may be left to the buyer. When who pays what is not agreed in advance, the surprise arrives at the registry appointment. Alongside the fee there is a separate revolving fund service charge, which is a distinct item and not included in the fee.
The fee is calculated on the value declared at the registry, and that value should be the real sale price. Under-declaring carries a tax penalty risk and also inflates your capital gain artificially when you later sell. In transactions involving a foreign buyer the declared value is in any case tied to the amount on the foreign currency exchange certificate.
Why it matters to an investor
The real cost of an investment is not the price of the property. On top of it come the title deed fee, the revolving fund charge, the valuation report, compulsory earthquake insurance and any advisory fee. A yield calculation that ignores these items is wrong from the start.