How to buy property in France

Written by G D Gibbs

The information is based on our understanding of French property law and practice atrepparttar date of publication. We cannot guarantee its accuracy. Specific advice applicable to your own circumstances should be obtained from a French Notary and/or relevant professional bodies.

Findingrepparttar 136972 right property

You may have already decided on a specific area or you may have a French region in mind, having been there on holiday for example. Finding a property in France is a similar process to that in other countries. There are many estate agents in France (agents immobiliers) who will put you in touch with people selling property. Alternatively, there are estate agents inrepparttar 136973 UK, for example, who have details on French properties. There are also many specialist magazines available for people interested inrepparttar 136974 French way of life. These publications offer useful contacts and property advertisements.

Many home buyers are attracted byrepparttar 136975 fact that property prices in France appear to be lower than abroad. There are reasons for this and before you start you should be aware ofrepparttar 136976 following points:

• French domestic property is not usually bought as an investment. Apart from some very fashionable or highly sought after areas, prices usually rise in line with inflation. Therefore, you would need to own a home for at least three years to recoverrepparttar 136977 high fees associated with buying, even before considering maintenance or improvement costs. • France has a similar population torepparttar 136978 UK but is three timesrepparttar 136979 size. There is therefore less pressure on land and hence lower prices. • That isolated farm cottage set between vineyards and a stream may require major renovation. It might not haverepparttar 136980 same appeal to a French family, hencerepparttar 136981 lower price and you should consider possible difficulties of resale inrepparttar 136982 years to come.

Initial agreement to purchase a property

Having found a suitable property, you will negotiate and enter into an initial agreement withrepparttar 136983 vendor. This agreement is called a ‘Compromis de Vente’ or ‘Contrat de réservation’ and is a binding contract betweenrepparttar 136984 buyer and seller which sets outrepparttar 136985 terms and price ofrepparttar 136986 sale.

For new properties being builtrepparttar 136987 most common contract is a ‘contract de reservation’ (a reservation contract). There are various other contracts such as a promise to purchase (promesse d’achat), an exchange of letters (l’échange de lettres) and an offer of sale (l’offre de vente), all of which offer little protection torepparttar 136988 buyer, and generally should be avoided. The preliminary contract will include a full description ofrepparttar 136989 property,repparttar 136990 latest date by which completion must take place,repparttar 136991 price, any escape clauses andrepparttar 136992 identity of bothrepparttar 136993 vendor and purchaser. The preliminary contract can be signed either atrepparttar 136994 notaire’s office or atrepparttar 136995 estate agency.

If you are making a purchase with a mortgage, you should at least instructrepparttar 136996 notaire/estate agent to make your purchase conditional upon obtaining a mortgage: ‘conditions suspensives’. This will offer you further protection under French Consumer Law. Upon signing this preliminary agreementrepparttar 136997 purchaser has to place a deposit withrepparttar 136998 notaire, which is normally 10% ofrepparttar 136999 purchase price and will be deducted fromrepparttar 137000 sale price. The property is then taken offrepparttar 137001 market. It is better to think of this deposit as a payment on account or a penalty for breakingrepparttar 137002 contract. Having said this, a law passed on 1 June 2000 does grant you a seven-day cooling off period during which time you can withdraw fromrepparttar 137003 agreement. * Stamp Duty and registration fees will need to be paid at completion whenrepparttar 137004 agreement will be filed atrepparttar 137005 notaire’s office. As a guideline,repparttar 137006 notaire’s fees, Stamp Duty and Registration fees will add up to around 6% to 8% ofrepparttar 137007 purchase price for existing properties. For new properties they will amount to around 2% to 4% ofrepparttar 137008 purchase price. Asrepparttar 137009 French tax and succession regimes are different from many other countries, to ensure tax efficiency and problem free transfers on death you may wish to consider instructing a solicitor based in your home country to advise you.

By law,repparttar 137010 purchaser can insert clauses intorepparttar 137011 agreement. The seller, of course, has to agree to these.

* Althoughrepparttar 137012 preliminary contract is binding on bothrepparttar 137013 seller andrepparttar 137014 purchaser after this cooling off period, you should note thatrepparttar 137015 sale will still be subject torepparttar 137016 notaire formally checkingrepparttar 137017 title torepparttar 137018 property.

Setting Yourself Up For Success

Written by Cecile Peterkin

Most people want to be successful in life. But success can mean different things to different people: making more money; spending quality time with your family; or learning to play a musical instrument.

Since success is personal, defining what it means for you isrepparttar first step to achieving it. Once you are clear about what success looks like for you, here are some important points to help you achieve it.

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