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Wednesday, 06 June 2007 19:00 |
 The Good Life
Firstly, France has about the same population as the UK, but it is a far larger country. Consequently, there is less pressure on land, hence lower prices, excluding Paris and it's suburbs, the popular ski-resorts and certain areas along the Mediterranean and Southwest coastline.
French tastes in terms of what to buy and where varies considerably. The charm and excitement of owning an isolated farm is less likely to be of the same interest to a Frenchman. This will obviously affect the resale value in years to come should you wish to sell.
Thirdly and probably one of the most important points to consider is value for money. When buying you should bear in mind not only the initial purchase price but renovation costs and local taxes, transportation costs to and from property and of course ease of access. Whilst a run down cottage requiring major renovations, with no electrically or water may be your ideal dream, the reality often makes the purchase unwise if not unmanageable and will be partly based upon a number of these points.
Selling property in France is usually a slower process than in the UK. Please consider buying in France to be a long term commitment especially if you are to recover initial expenses.
To avoid any problems with agents immobiliers or notaries, it is strongly advised that you take the appropriate independent legal advice before signing the "Promise de Vente". The bank will require a copy of this document to be forwarded with the relevant application form. However you are able to sign this contract with the clause " subject to mortgage finance" as the contract, once signed is legally binding.
A French bank account will be required and the relevant RIB (Relve D'Identite Bancaire) will be required before the release of funds.
All loans are offered in Euros.
It is advisable to arrange your mortgage finance before agreeing to purchase a property.
All mortgages have to have a suitable life assurance policy assigned to them, some lenders offer a free life assurance on the first applicant.
Not all French lenders carry out valuations/surveys. You may wish to have one carried out independently.
Properties can be purchased either individually, in joint names or in the name of a civil real estate company - known as an SCI (Societe Civile Immobiliere - under French civil law). For an SCI at least two people are required.
For advice regarding whether to purchase under an SCI, independent legal advice should always be sought.
Your home is at risk if you do not keep up repayments on a mortgage or other loan secured on it. Be sure you can afford the repayments before entering into any credit agreement.
The local currency equivalent of your liability under a foreign currency mortgage may be increased by exchange rate movements.
Includes French residential property
Loans available for the majority of Nationalities for either House Purchase or refinancing for other purposes including Home Improvements.
| Type of loan |
Repayment only |
| minimum |
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