Buying, selling and renting residential and commercial property is, and always will be, an important act which requires caution and often causes apprehension, particularly when this transaction takes place abroad.

This “mini guide” briefly outlines the details of buying real estate property in France and allows the future owner to take the first real step: acquiring information.

French law governing the sale-purchase of real estate is completely in favour of the Buyer who, over and above various guarantees on the purchase, also has the option of cancelling the purchase within 7 days.

The notary public, who is the guarantor for the transfer of ownership is responsible for the cancellation of any mortgages, outstanding communal expenses, taxes or other debts, by Law, thereby protecting the Property purchased and the interests of the buyer.

The Notary fees as well as all the various taxes and duties must be added to the price: this amounts to approximately 7% of the value for properties that are older than 5 years and approximately 3% for properties that have not yet been built, are under construction or are not older than 5 years.

Works voted by the co-owners of the apartment block before the agreement was drafted remain at the seller’s expense only for the portion that is payable up to the deed of sale.
Communal expenses are payable to the administrator every three months and there are two taxes in France:
An ownership tax, known as land tax, which is calculated by applying a percentage of the land yield of the property on a regional level, and this includes collection of waste. This must be paid in advance for each year and, once expired, must be reimbursed to the seller by the buyer on a pro-rata basis for the current year.
New properties are exempt from this tax for two years after delivery.
The municipality tax, called housing tax, is calculated in accordance with the rental value and includes the various Municipality services.
It is payable at the end of the year, once expired and, for the current year, must be paid by the occupant by 1 January. There is no exemption for new properties.
In the years that follow, the taxes are sent directly to the new owner with the amounts already calculated by the French tax services and can be paid in banks.

Purchasing a property with only 20 or 30% of the purchase value is easily done. Loans for property purchases in France are given by generic or specialized banks with a few simple formalities, income verification and bank references.
Mortgage contracts are obtained rapidly and, in the event of a negative reply, this allows buyers to recover their deposits without any expenses.
The duration of the loan varies between 10 and 20 years, with the possibility of complete or partial early settlement without penalties and the purchase may be financed up to a maximum of 80%.
Interest rates, which are on average lower than in Italy, may be fixed or variable and are generally calculated according to the average interest rate (Euribor).


A French bank account is only necessary for the monthly loan repayments, but opening one offers several advantages as it will allow you to pay utility bills, communal expenses, taxes as well as receive rent payments if rented out on a seasonal or annual basis.