A recent phenomenon in the European real estate market is the marked increase in the numbers of foreigners buying property in France. British buyers account for a significant percentage of these foreigners, most probably because of the favourable exchange rate between the Euro and the British Pound; and the lower prices of property in France compared to Britain.
Purchasing property in a foreign country is always fraught with difficulties, mainly because of the different language and the plethora of property laws pertaining to the foreign locale.
It is therefore imperative that the following top 5 tips to consider when buying property in France are taken into account. Being armed with this information will make the entire buying process so much easier and enjoyable.
Tip number 1 is that once you have decided on a budget for the property, the next thing to do is to decide exactly which area you like best. When this aspect has been decided, you need to travel to the area in person to check out what properties are available in your price range; and to see if there is a property that you would really like to purchase.
Tip number 2 is that if there are properties of interest, you need to check all the estate agents in the area to see which one is offering the cheapest price, as all agencies have different prices advertised. The advertised price of a property in France includes the estate agent's fee, which generally ranges from 6%-10%, and is paid by the buyer. The only cost not included is that of the notary, whose fee is also around 6%-10% (and includes land registry costs and government taxes). The notary is a government official who is impartial - and it is accepted practice for him to represent both sides in a property deal.
Tip number 3 is that even once you have selected an agency, you need to ensure that there is an English speaking agent - or at least one who has a very good knowledge of English - unless, of course, you are fluent in French. Misunderstandings through lack of understanding between the parties account for huge numbers of deals falling through and, in worst case scenarios, getting involved in legal proceedings and/or losing all ones investment.
Tip number 4 is to know that you will have to sign three documents - the first is for the estate agent, stating that you will not approach the seller behind the agent's back, or buy the same property from another agent. The second is an offer to purchase, which is also signed by the vendor in acceptance of your offer. The third is a legal statement of intent to purchase, at which time a 10% has to be paid. There is then a 7-day cooling off period when either party can rescind its offer. Should the deal fall through, your 10% deposit will be returned to you.
The above information should make buying property in France an easy and pleasurable experience.
Purchasing property in a foreign country is always fraught with difficulties, mainly because of the different language and the plethora of property laws pertaining to the foreign locale.
It is therefore imperative that the following top 5 tips to consider when buying property in France are taken into account. Being armed with this information will make the entire buying process so much easier and enjoyable.
Tip number 1 is that once you have decided on a budget for the property, the next thing to do is to decide exactly which area you like best. When this aspect has been decided, you need to travel to the area in person to check out what properties are available in your price range; and to see if there is a property that you would really like to purchase.
Tip number 2 is that if there are properties of interest, you need to check all the estate agents in the area to see which one is offering the cheapest price, as all agencies have different prices advertised. The advertised price of a property in France includes the estate agent's fee, which generally ranges from 6%-10%, and is paid by the buyer. The only cost not included is that of the notary, whose fee is also around 6%-10% (and includes land registry costs and government taxes). The notary is a government official who is impartial - and it is accepted practice for him to represent both sides in a property deal.
Tip number 3 is that even once you have selected an agency, you need to ensure that there is an English speaking agent - or at least one who has a very good knowledge of English - unless, of course, you are fluent in French. Misunderstandings through lack of understanding between the parties account for huge numbers of deals falling through and, in worst case scenarios, getting involved in legal proceedings and/or losing all ones investment.
Tip number 4 is to know that you will have to sign three documents - the first is for the estate agent, stating that you will not approach the seller behind the agent's back, or buy the same property from another agent. The second is an offer to purchase, which is also signed by the vendor in acceptance of your offer. The third is a legal statement of intent to purchase, at which time a 10% has to be paid. There is then a 7-day cooling off period when either party can rescind its offer. Should the deal fall through, your 10% deposit will be returned to you.
The above information should make buying property in France an easy and pleasurable experience.
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