Reserving a new build property
Paying the deposit on a new build property
Once you have made your decision, a refundable
deposit of between 2% and 5% is required to secure a
property off- plan as opposed to 10% for a property
that has already been built. This payment is made in
Euros. In France, payment of the deposit in the off
plan buying process is again strictly regulated by
law and can only be paid either to the French Notaire or into an escrow
account (Compte
sequestre) lodged with a bank.
In either case the developer cannot access the funds
until the Deed of Sale is signed.
You will not be required to pay the deposit during
your viewing appointment. The deposit payment is made
by bank transfer. To arrange this contact us as soon
as possible on your return to the UK and we will
guide you through the payment process and provide all
necessary bank details.
After the deposit payment, no further money is paid
until the Deed of sale is ready for signature, even
if construction is underway.
Deposit refund
In France, by law, the reservation contract for an
off plan property clearly specifies the conditions
under which the deposit is refunded. These are:
if the purchaser exercises his/her right to withdraw
within the 7 day cooling off period
if the purchaser does not obtain the French mortgage
detailed in the reservation contract within the
statutory mortgage application period (4 to 6 weeks
from signing the reservation contract)
if the sale is not
completed within the period laid down in the
reservation contract due to circumstances within the
developer’s control.
Back to Buying
off plan guide
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