Buying an apartment in France can be an excellent investment opportunity for a foreigner, whether for a primary or secondary residence, or a rental project. However, this process requires good preparation and a thorough understanding of the laws and regulations of the French real estate market.
Do you want to buy your first property in France? Discover the steps to follow to make your real estate project a success.
The legal framework for foreign buyers
Unlike some countries, France does not impose any specific restrictions on foreigners who wish to buy real estate. However, certain specific regulations, such as notary fees and loan conditions, apply. For example, for any real estate purchase, a French notary is essential. They are involved in validating the promise of sale, managing administrative formalities, and signing the authentic deed, formalizing the acquisition of the real estate.
Obtaining a mortgage in France
As a foreigner, it is possible to take out a mortgage from a French bank. However, it can generally require a personal contribution of 20 to 30% of the sale price of the property. Banks sometimes require more insurance for foreign borrowers.
Mortgage loans from a foreign bank
You can obtain a mortgage in another country to finance a first property purchase in France. However, it is important to check that French and international banking laws allow you to use this financing on the territory. Choosing a real estate broker can be a good idea to facilitate this process.
French notary for a local real estate project
The use of a French notary is mandatory for any purchase of real estate in France. The presence of a notary is mandatory when signing the sales agreement and the deed of sale.
The key steps in buying a property in France
Step 1: Search for a property
Before you start viewing properties, define your project. Should you buy a new property? How many rooms do you want to have? The average price of an apartment varies considerably depending on the region. For example, in 2024, the price per square meter in Paris is around €10,900, while it is around €5,400 in Lyon or €4,400 in Marseille. A real estate agent can help you find a property that suits your needs and budget. They can negotiate the price of the property for you.
Step 2: Make an offer to purchase
Once you have found the ideal property, you can make an offer. If it is accepted by the seller, you then sign a sales agreement or promise of sale, which commits both parties to conclude the transaction under certain conditions, including obtaining a mortgage.
Step 3: Obtain a mortgage
Foreigners can borrow from French banks. The Scrivener law, still in force, regulates mortgage loans and protects consumers. It requires banks to provide a detailed loan offer and grants a 10-day withdrawal period after signing the preliminary agreement. Interest rates, insurance, and repayment terms must be clearly stipulated.
Step 4: Signing the authentic deed
After obtaining your loan, the authentic deed is signed. At this point, you officially become the owner of the property. Don't forget to include notary fees in your budget, which generally represent between 7% and 8% of the sale price for an old property. They are 2% to 3% for a new property.
Optimize your purchase with specialized services
To facilitate your real estate project in France, you can call on Iddyl Property, specialized in supporting foreign buyers. As a real estate hunter, Iddyl Property helps you search for a property according to your criteria and manage the administrative procedures, which are often complex when you are not on site. They also intervene to negotiate the best price and advise you on the legal and tax aspects of the acquisition.
Taxes to take into account
As a property owner, you will also have to pay property tax, which varies according to the municipalities. The differences between large cities are significant. Paris has one of the lowest property taxes. For example, a family must pay €1,533 in property tax per year in Montpellier, compared to €745 in the capital.
If you buy an apartment, you will also have to pay co-ownership charges, which cover the maintenance of the common areas.
🏠 Did you know? In 2023, in Île-de-France, 11.2% of real estate transactions involved foreign buyers, according to Capital. Indeed, factors such as the recent drop in sale prices and advantageous tax measures make the French real estate market attractive. |
FAQ on buying a property in France
Who pays the notary fees in France?
What are the steps to buying an apartment in France?
How long does the process of buying an apartment in France take?
Does acquiring real estate in France allow you to obtain a residence permit?
Do foreigners have to pay additional taxes to acquire a property in France?
Is buying in France a good investment?
For more information, feel free to contact our multilingual real estate agency and follow our news on LinkedIn, Facebook and Instagram. You can also read our other blog articles. As you browse our site, you will also find property buying guides and other blog articles to help you buy with confidence in France.
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