This guide has been produced to give you a few tips and help you understand the buying process and avoid the disappointment of losing your dream home.

 

The Viewing Trip
Preparation, preparation, preparation ! 
Prepare as much as possible before you come to view properties. Deciding to invest in a property during a holiday or short break can result in the wrong decision being made. I know a family who bought ( through another agent I hasten to add ) completely the wrong house in the wrong place. They had two young teenage daughters and bought in a sleepy isolated village with no facilities that would have suited a retired couple in their 70s down to the ground. I half jokingly suggested to the buyer that she probably spent longer choosing a pair of shoes and a handbag. Guess what - she totally agreed ! They had two terrible holidays and sold 3 months later.
 
Do your homework !
Pre-planning before you come is essential - do your homework. It is always best to try and develop a level of trust and communication with your chosen agent well in advance of your viewing trip. Get answers to all your questions, find out where you are going to view and why. Check the type of property you are viewing and the price in relation to other properties of a similar type (although bear in mind that properties nearer the coast and in villages with shops and restaurants will be more expensive than those further inland with none). Understand the real potential of the investment you will be making. Treat your visit as a business trip - not a holiday.
 
Secure funding
When setting up viewing trips and itineraries we will almost certainly try and establish if you are a serious buyer by asking if you have got your finance in place or at least begun to look into how you will finance the purchase. Please don't be offended - we want to make sure every minute of your time househunting in France is productive and well spent looking for your dream home ! 
 
Act quickly
Property in the Languedoc region is highly sought after and many agents will have the same property on their books. If you find your dream property then you must act fast and be prepared to buy quickly. If you have done your homework you will know when you have found the right property at the right price. Too many people travel to the region, fall in love with a property only to be heartbroken as the house is sold from under them because they failed to act or don't have funding in place.

 

To avoid disappointment we will try and arrange the signing of the "compromis de vente" before you fly home. You know that once you've signed this legal document, the property is taken off the market and subject to approval of any finance, the property is as good as yours.
 
If you would like information about currency exchange, best rates etc or perhaps a quote for a mortgage I am pleased to say we have teamed up with the The Foremost Currency Group, the UK leader in all aspects of overseas mortgages, finance and insurance. Our contact is James Spurway, email jas@fcgworld.co.uk
 

What happens next?

As in England, there are two main stages in the purchase of a property in France. A preliminary contract followed after a period of several weeks by a deed of sale, when the property passes from seller to buyer. The following is a brief summary of the legal process, the timescales involved and is' the norm' for our European clients purchasing a typical holiday home in our area.

 

An agreement is negotiated between buyer and seller and the initial agreement or Compromis de Vente is prepared by the Notaire ( French Solicitor ) and signed in his office by both parties. This is a legal document, binding by both parties and should not be taken lightly. At this stage the buyer pays a deposit of a minimum of 10% of the purchase price which is held in a special account at the Notaire's office until the date of completion or the purchase is called off. At this stage the property is taken off the market. There follows a seven day cooling off period where the buyer can pull out without losing the deposit. After this period the contract is binding unless the buyer fails to secure a mortgage or loan on the property.

 

(There are other kinds of less familiar contract such as the Promesse de Vente where the contract is not binding on both parties to the same extent as the Compromis).

 

Surveys of the condition of the property you intend to purchase by professional surveyors are unusual in France. It is more usual to ask local builders ( artisans ) to give an opinion on the condition of for example, the roof or the walls and to give an estimate for any remedial work. Once the Compromis has been signed there follows a period of 6-8 weeks during which the searches are carried out to ensure the property is not subject to any imminent environmental changes and during which time the buyer will be expected to resolve the financing of the purchase. These searches are carried out by the Notaire.

 

Unlike most European Solicitors or Lawyers, the Notaire is not appointed to act for either party in the sale but as a public official whose duty is to the state. Their role is to make sure the transaction is carried out legally and accurately and in accordance with the correct processes which cannot be contested. It is unnecessary, therefore, to appoint a second Notaire but you are perfectly within your rights if you feel more comfortable doing so.

 

If the sale is subject to the buyer obtaining a mortgage this must be made clear at the time of the initial agreement. A condition suspensive will be included in the agreement, which protects the purchaser's interests in the event that the loan is not forthcoming. Should this happen, the sale does not proceed and the deposit is returned. If the buyer breaks the contract the deposit is paid to the vendor as an indemnity. Conversely, should the vendor break the contract, the deposit is returned to the purchaser.

 

At the end of this period ( which can be extended at the agreement of both parties ), the final contract or Acte de Vente is signed, again in the Notaire's office and ownership passes to the buyer, who must pay the balance to the Notaire who pays the vendor. The Notaire keeps the original so should you need evidence of ownership of the property you must ask the notary for it. He will provide you with either a certified copy of the deed of sale, or a certificate stating that the transaction has been completed and that you are the new owner. You will need to take your passport, marriage and birth certificates. From the signing of the Contract the purchaser is responsible for the insurance of all the buildings on the property.

 

The buyer pays the legal fees and registration taxes which amount to approximately 7.5% of the purchase price. These fees are paid to the Notaire on the day of signing the Acte de Vente and are paid as an all embracing sum together with the balance of the purchase price.