Buying Property in France?
Great info about buying French property!

Having been well and truly sold on the idea of purchasing in France, a key question is ‘how should an investor go about buying a property in France?’ As with any foreign country, there are likely to be individual rules and quirks in the system that of which any potential purchaser should be fully aware, before venturing into the property market in a foreign jurisdiction.

As France is a member of the European Union, there is no restriction on the purchasing of French property by British individuals. Having said this, there are certain restrictions in place, in terms of purchase and re-sale of particular types of properties in specific regions which should always be taken into account.

A key example is that the rules for purchasing a vineyard are substantially different from those for purchasing a standard freehold property. As such, there are specialist lawyers who deal with these peculiarities and an independent local lawyer should always be contacted to ensure that all of the necessary rules are complied with.

In general, the purchasing process begins with an agreement between the seller and the purchaser regarding the purchase price. Once this agreement has been reached, a notary or solicitor will draw up a legally binding contract for signature by both parties. It is at this stage, in a similar way to the UK, that a deposit of 10 percent is paid by the buyer, although this amount will be held in a secure account until completion.

After exchange, the property is then officially taken off the market, and the legal checks and surveys are then conducted. This is one of the substantial differences between the UK and French systems in that the surveys and searches are completed AFTER the exchange and not before, meaning that any nasty surprises from the survey will have to be dealt with once the 10 percent deposit has been paid over, putting the purchaser somewhat on the back foot.

Once all necessary checks have taken place, the final contract is then signed, deeds are passed and the land is registered in the name of the purchaser. Of course, the balance is also payable at this point.

Bear in mind that a French Notary is essential for the process and they will require a copy of your birth certificate and marriage certificate (if appropriate), both of which should be translated into French. Fees are slightly higher in France than in the UK, with notary fees at around 3 percent of the property price, transfer tax at 7.5 percent of the property price, less 1 percent in the case of new properties and also registration fees will amount to a further 6 percent of the purchase price.

Estate agent fees can be as high as 15 percent, although the usual is around the 7.5 percent mark. Unlike the UK, sometimes the purchaser is expected to contribute towards these costs and this is something that should be discussed with the agent, at the outset.

Buying a property in France is a relatively straightforward matter and is, in many ways, similar to the UK process which should offer reassurance for new investors. As with any property purchase, always seek professional advice and make sure that you read all documents carefully (even if this requires the additional expense for translation services).