1. The client signs with the promoter or vendor a reservation contract or promise of sale. The deposit in an off-plan purchase is 5% and 2 % when the signature of the title deed is forecasted more than two years after the reservation contract. The deposit for a resale is 10 % but can easily be decrease at 5 %.
  2. Once the contract is signed, it is sent to the buyer by registered mail. Following the day of reception of the contract, the buyer benefit from a 7 days cooling-off period allowing him to withdraw from the purchase without giving any reason and recovering the entire deposit paid.
  3. The buyer also benefit buy law of a withdrawal right in case of mortgage refusal. His only commitment is to submit a complete application to a French bank within a reasonable delay (usually within 15 to 30 days maximum.
  4. The buyer also benefit buy law of a withdrawal right in case of mortgage refusal. His only commitment is to submit a complete application to a French bank within a reasonable delay (usually within 15 to 30 days maximum.
  5. The transfer of ownership takes place by the signature of a public title deed, drafted and signed in front of a public notary ( public office). The signature of the property title deed takes place approximately 3 months after the signature of the reservation contract, unless in certain specific case in an off plan property. In case of a resale without mortgage the entire process can be completed in no more than two weeks.
  6. In case of off plan property, the transfer of ownership will not take place upon delivery of the property but upon granting of the mortgage from the buyer. The payment schedule will be stated in the reservation contract and property title deed. In the event the buyer obtained a French mortgage after payment of his down payment (usually 20 / 30 %) the bank will release the funds on his behalf upon reception of a statement from the developer that a specific stage of the works has been completed and approved by an architect. Consequently, the buyer will only start to repay is mortgage when the last portion of the loan has been released to the developer and the he is able to use the property.

Costs related to the purchase

The buyer will have to pay the following expenses on top of the purchase price:

  • Off-plan property: Notary and registration fees between 2 % and 3,5% notary’s fees depending on the price of the property and also depending if the client will require a French loan.
  • Resale: Notary and registration fees between 7 % and 8 %.

Resale properties or resale of new properties hold for more than five years are not subject to VAT.