Immobilien, im Ausland zu erwerben ist so kompliziert wie interessant. Selbst im Falle des EU Nachbarn Frankreich bewegt sich der deutsche Investor erst einmal auf Neuland. Hier finden sie eine professionelle Anleitung zum Haus und Grund Erwerb in Frankreich. Kosten, rechtliche Fragen und das gesamte Drumherum ihres neuen Grundbesitzes werden pointiert zusammengefasst.

France a Guide to Buying Property

Buying property in France is not for the impatient – it is a process that takes time and which should maybe be savoured like a fine French wine!

There are many hurdles and potential issues to be aware of before venturing out and making an offer to buy and this guide to buying property in France aims to arm the would be investor with the key information necessary for making a secure purchase.

Those who choose to make use of the services of an estate agent to assist with their hunt for the perfect French investment property need to check the estate agent’s credentials, ask to see their carte professionelle that will prove they are registered and qualified.  Ask up front about their charges, some will charge you a fee whether they find you a home or not, others will be remunerated by the vendor for example.  Any agent you engage may ask you to sign a document called a mandate de recherché which gives them permission from you to look for property on your behalf and some will also insist you sign a bon de visite which gives them the right to claim any commissions due should you purchase from them.

Alternatives investors use for finding property for sale is researching via the internet, looking in weekly and monthly publications dedicated to property in France and contacting developers directly about up and coming developments for sale.

Once a property has been found that matches the investor’s requirements the potential buyer should consider having a survey done especially if the property is old, in need of repair and if it may need planning permission for significant alternations, remodelling or renovation.  A surveyor can highlight issues, comment on likely costs associated with the outstanding work and also give their informed opinion about the likelihood of achieving planning permission.

At this stage it’s wise also to speak to a mortgage lender.  We recommend Barclays Bank as a great starting point as they have a strong local presence in France, they are an international lender and they will help with all aspects of the purchase process, not just in terms of supplying finance, click here to be redirected to their contact form and they’ll call you back for a chat.

With an idea of how much money a property will cost, including any renovation work, and with an idea of how much an investor can borrow it’s time to make an offer on the property and if it’s accepted a conditional preliminary contract can be drawn up and signed by the buyer and vendor at the notary’s office.  This contract is conditional to all sorts of things such as planning permission being granted if applicable, the buyer securing a mortgage etc., and it is unwise to sign the contract if you are unsure of what it says which is when a translator or bilingual notary become essential!

Once this contract is signed the buyer has to pay a 10% deposit to the notary – if the buyer withdraws in the next 7 days or the sale falls through because one of the conditions for it are not met then the buyer gets his money back – if they withdraw after 7 days or for any other reason they lose their deposit which is why it is unwise to sign anything in France unless you are 100% certain that you want to proceed.

The notary will then draw up the Acte de Vente which is the deed of sale and which will state the completion date etc., and he will then begin all of the searches and checks to ensure the vendor has the right to sell, that boundaries are as stated, that the property has no debts or claims against it and that the sale can ultimately proceed.  This entire process can take months and no amount of impatient phone calls and sighing will help!

Once all is in order the completion date will finally be reached and the buyer and vendor or their representatives with power of attorney sign the deed of sale at the notary’s office and the buyer pays the final monies to the notary who transfers it to the buyer.  Once the notary’s fees have been paid the deed of sale will be registered in the buyer’s name at the land registry.

Additional costs can include VAT of 19.6%, estate agent’s fees of up to 10% (sometimes they are split between the buyer and seller and a buyer should attempt to negotiate them lower anyway), notary fees of a maximum of 1% and land registry fees which vary per property (budget between 1 and 5% for these).  Finally, anyone who uses a mortgage to purchase will have a registration fee to find but the likes of Barclays Bank who arrange mortgages to buy property in France can advise the buyer further, click here to complete their contact form and they will call you back to discuss your needs.