The process of buying a house in France is different to the process in the UK but in some ways it is much easier.
Make an Offer and Agree a Price
When you have found a house that suits your needs the next thing to do is to agree a price with the vendor. Once the price is agreed a binding contract is signed called the Compromis de Vente. With a compromis de vente, the buyer is committed from the start and can legally be forced to go through with a purchase.
Compromis de vente
This contract is binding and is signed by all parties at the estate agency. It includes full details of the property, the price to be paid, how the purchase is to be financed, details of the vendor and buyer, the agent’s commission and the date of completion. The buyer places a deposit of 10% of the vendor’s price at this time. The safest and fastest method of paying the deposit is usually to make a bank-to-bank transfer from the buyer’s bank to the agent’s or notaire’s bank account. You have a 7-day ‘cooling off period’ when you can pull out without penalty but if you change your mind after that the deposit is forfeit. The deposit is refundable under strict conditions only, notably relating to any conditional clauses such as failure to obtain a mortgage. The compromis de vente contain a number of conditional clauses that must be met to ensure the validity of the contract.
Acte de vente
The final act of the sale is the signing of the deed of sale (acte de vente) which takes place in the notaire’s office. Before the deed is signed, the notaire checks that all the conditions contained in the compromis de vente have been fulfilled. It’s normal for both parties to be present when the deed of sale is read, signed and witnessed by the notaire, although both parties can give a representative power of attorney.
On the day of signing you pay the balance of the purchase price plus the notaire’s fees which normally work out about 7 to 9% of the purchase price. This fee includes all duties and taxes and so the only other additional cost is house insurance, which is a legal obligation in France. You may need to reimburse the seller for part of the year’s property taxes if that has already been paid. These costs are both quite low in the Creuse.
After paying the money and receiving a receipt, the notaire gives you an attestation de propriété, which certifies that you are the owner of the property. You will also receive the keys! Proof of ownership is provided and guaranteed by registration of the property at the land registry (cadastre). Two/three months after completion of the sale, a certified copy of the deed of sale with the land registry’s stamp is given to the buyer.
If you have a mortgage, the deed is also registered at the bureau des hypothèques.
