New property in France & the buying procedure
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Financing your purchase
a. French Mortgages: French banks will lend up
to 85% of the property purchase price on a second
home. Rates offered are variable or fixed, the term
is usually between 7 years and 25 years and it will
generally be on a repayment basis. Mortgage offers
should be in place within one month of signing
the reservation contract, as stated in the contract
terms and conditions. We highly recommend that you
investigate the possibility of obtaining a mortgage
even before you make your site visits.
b. UK Mortgages: UK mortgages are classed as a
cash purchase for the purposes of the reservation
contract. We strongly recommend, however, that they
are in place or agreed before the contract is signed.
Reservation contracts cannot be signed subject to
the sale of another property.
French notaire
French Notaires are
independent and do not act solely for the buyer nor
the vendor. They are appointed to handle the conveyancing administration.
The Notaire is the only
person authorised to register the title of ownership
for your property in France. As a government
representative, his or her role is to collect the
taxes involved in buying a property and ensure that
all legal documents are properly registered. Although
it is not compulsory for purchasers to appoint an
independent Notary, some buyers choose to instruct a
UK based Notary Public at their own cost for
independent advice and signing of the Power of
Attorney.
Delivery dates
French Construction companies endeavour to give the
most accurate delivery schedule possible. Over the
years our experience has shown that in general,
schedules are met. However, circumstances outside
their control may lead to alteration of the schedule.
Dates of delivery are not confirmed until written
notification is given by the developers approximately
4-6 weeks before construction is completed.
Property insurance
The property owner is responsible for insuring the
French property from the date of the handing over of
the keys, to include building, contents and public
liability (responsabilité
civile). For apartments some
buildings insurance may be provided by the management
company.
Running costs
a. Rates and Taxes: Residential Tax (Taxe
d’Habitation): Invoiced
annually. The owner of the property is liable for
this payment. Our particulars give an estimation of
amount as a guideline.
Property Tax (Impot
Foncier): Invoiced annually.
The owner of the property is liable for this payment.
Our particulars give an estimation of amount as a
guideline.
b. Service Charges: Called “charges de
co–propriété”,
they cover the maintenance of the on-site amenities
and communal gardens. They are invoiced quarterly by
the management company (syndic de co-propriété) and
calculated on the habitable area of the property. Our
particulars give an estimation of these charges as a
guideline only and are not contractual.
c. Utility Bills: Water and electricity are
metered. The property owner is responsible for the
bills which are payable according to consumption. For
apartments the water bill may be included in the
service charges.
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For FAQs about French
new property go to our
Buying off plan guidelines page
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