Posts Tagged ‘buying’
Buying To Rent Out Property In France
January 24, 2012 | 
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Purchasing property for sale in France so that you can lease it out when it is not being lived in is becoming an increasingly favoured thing to do. For this to be done successfully the situation of the property is really fundamental. The property needs to be somewhere where people would want to come to. France is a very large country and consequently there are only certain sectors where tourists visit. If your house is not in a well-known area such as Brittany or Provence, it is potentially difficult to attract visitors. But, homes in less well-known areas will be less expensive and there won’t be as much market competition. It is essential to come to a medium, somewhere that is not too expensive and somewhere that is relatively familiar to people. Seeking out property for sale in France needs a lot of research and resources.
Properties in urban areas are cheaper but more difficult to lease out than those in countryside areas as people are usually favour tranquillity and a bit of peace and quiet over hustle and bustle. However properties can be too rural and cut off from services which some potential clients can frown upon. Most visitors will, with any luck, return if you can impress them enough.
To generate the greatest revenue a property that accommodates between 4-5 people is ideal as it appeals to families. The larger properties are popular during the busy seasons but less so in the not so busy ones, therefore it is ideal to have a property that is big, but not too big. Obviously facilities add more to the value of the property (e.g. a swimming pool), however these facilities do incur upkeep throughout the year so be wary of this.
It is essential to have as low maintenance property as possible. Homes that are not rented out for 24 weeks of the year need to be kept dry and secure. It is ideal if you can seek out a friendly neighbour to keep an look out on the property while you are away or you could even hire someone to maintain the garden and check the property out every once in a while.
Upon purchasing a property for sale in France it is necessary to attract clients to the property. Rental prices in peak periods are a lot higher than in off peak weeks. Thus, take this onboard when you personally want to visit the property as if you are staying there in peak periods you could potentially lose a lot of revenue.
The revenue obtained from the off peak periods is likely to not be very much and the potential property for sale in France could be unhabited for weeks on end despite the price of the rent. The Internet is very helpful in researching what your competitors are charging in terms of hire, you need to find out how swell they are doing at renting out their homes at certain prices and look into the availability of the properties. It is most likely that to begin with your home will be leased out to family and friends; this is fine as it can evade the cost of promoting the property and construct awareness via word of mouth. The Internet is also a good starting place for advertising the property; anticipate to pay £110-160 per year to host an advert on a website.
Purchasing property for sale in France with the purpose of renting it out can be very rewarding. A home in the right situation can allow easy access for you and potential visitors making it very sought after. Even if you don’t generate that much income, you should hopefully be able to make enough to cover the upkeep costs of the home and with a bit of luck you should be able to generate some extra revenue, this can be recycled back into improving your home, again attracting more people and making the property more desirable on the property market.
Daniel Brudgins represents [http://www.frenchways.co.uk/], specialist at property for sale in France [http://www.frenchways.co.uk/]. If you wish to buy a property or have a French house for sale we are here to help you.
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Tags: buying, property for sale in france, real estate, renting | 
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Tips for Buying Property in France
Buying a property or second home in France is gaining popularity, but it can be a challenge and there are many potential pitfalls to consider. The principal pitfall being one of LANGUAGE and UNDERSTANDING. It makes sense to have the assistance of a bi-lingual selling agent who is a reputable specialist from the outset, someone who is familiar with the quirks of Napoleonic law in order to reduce your risk during all stages of the buying process.
So where do you start?
After choosing a property in France you wish to make an offer on, the real estate agent will normally ask you to sign a “Promesse de Vente” or “Compromis de Vente”. In French law, the “Promesse de Vente” is an undertaking by the vendor to sell to the purchaser and the “Compromis de Vente” is a contract between buyer and seller (I.E. an agreement to sell on behalf of the seller and an agreement to buy on behalf of the buyer). In both cases there is a 10% deposit required and a date for completion of the sale is set (which is normally 60 days). Following the signing of the “Promesse de Vente” and the “Compromis de Vente”, there is a 7 day cooling off period for the purchaser, during which time the purchaser may withdraw from the agreement and recover any deposit paid, without the need to justify cause. After this time, the vendor is bound by contract to sell to the buyer and the purchaser cannot withdraw except under specified conditions.
When buying property in France its worth noting that “Promesse de Vente” and “Compromis de Vente” do not include property surveys, so these should be undertaken before making an offer.
For this reason, when buying property in France, the buyer is fully protected from Gazzumping, a problem which can be infuriating for home buyers in England.
The conditional clauses contained in both agreements usually act in favour of the purchaser, whereby they can withdraw from the purchase if planning permissions or other factors are considered obstacles. In addition if the buyer has a loan refused they can also withdraw from the purchase with a full refund of deposit.
In France conveyancing is done by Notaires who oversee the signing of the agreements and also hold the deposit funds. For this reason, it makes sense to appoint your own personal Notaire as there is no additional cost involved as notarial fees are laid down by the Government.
During the 60 days prior to completion your Notaire will carry out all the necessary searches and obtain a certificate from the Bureau des Hypotheques (the French equivalent of the land registry) which identify whether there are any outstanding liabilities or debt against the property. For example if the sale proceeds are not sufficient to clear the mortgage, the sale will be stopped and the purchaser’s deposit refunded.
In France, Estate agent fees are normally included in the asking price of a property and are therefore paid by the vendor. These are typically 5% for houses or apartments.
The purchaser pays legal costs and Notaire fees plus stamp duty and registration fees. The fees are laid down by Government legislation. Typically legal costs can be around 6% of the purchase price and taking a mortgage with a French bank will require registering with the Bureau des Hypotheques and will cost around 1% of the mortgage value.
Bruce International are an established and reputable property company offering properties for sale in southern France and a personalised, professional service. Whatever your French riviera property requirements, we will help you find the perfect home. Our multilingual staff have in-depth experience of buying and selling properties in France, together with all the legal processes involved, for total peace of mind.
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Buying a French Property in France from La Giraudiere Charente S W France
Buying a French Property in France from Charente Property S W France
You may be looking for either a town house, farmhouse, land, barn or Lake in France then once you have decided on the property you will start on the process of purchasing that property. In this article, we explain the order of events as you go down the road to completing your purchase for that dream home in France.
In 99 % of cases it is the buyer who pays all the fees. The estate agents fees and the notaire’s or solicitors fees. The notaire’s fee including the property deed register is about 10% of the purchase price. If you found your property through a French estate agent then you would have certainly have had to sign up with that agent and as a consequence you will have to pay there fees which should have been outlined in the agreement that you originally signed with them.
Beware when you view a property via an French estate agent because they will insist that you sign with them an agreement that if you buy a property that is listed with them they are entitled to the fees. Remember there is nothing to stop you finding the property and dealing direct with the seller which can save you quite a tidy sum of euros.
Many websites are now offering classified ads for property in France one worth a visit is http://www.lagiraudiere.com/property/ Here you will find both private classifieds and adverts from estate agents in France. Ok lets continue on the basis that the agent found you your French home. In france you will be asked to sign apromise de vente which is a bidding contract between you and the seller. Within this contract you can state reasons for pulling out i.e subject to seeing the plans of the property, you can also insert conditions like subject to you receiving a French mortage. You may also have further developement plans for the property and again this contract can be used to say subject to you receiving planning permisssion for your proposed project. Another good request is to say subject to the property being cleared of all it’s rubbish ( I know of people who have had to pay thousands of euros to have barns cleared out or even lofts cleared. This is where you will start to learn that the French love paper work and demand copies for all sorts of documents. You will need a copy of your passpost, a copy of your birth certificate (The full one not the small one) You will also need copies of your mariage certificate and divorce papers if applicable. If you are financing your purchase with a mortgage then you will need copies of the paper work. The compris de vente normally takes up to four weeks to arrive and it will be in French allthougth some notaire’s and agents will supply an additional copy in English. If you are not sure about any of the contract then seek profesional advice before signing.
You may be asked to deposit a 10% holding deposit upon signing the compromis and if after signing you decide to with draw then you will lose your deposit unless the reason is for one of the conditions that you laid down i,e you cannot get a mortgage or the plan of the property is not what you saw and so on. Likewise if the seller decides to sell to some one else for a reason other than was stated in the contract he will have to pay you 10% – not bad. The solicitor (Notaire) is responsible for insuring that certain inspections are carried on the property you are buying prior to completion. These inspections will be for termites and other wood eating bugs, Lead and asbestos checks. If you are buying a relatively new house then it may be well worth asking for a copy of the builders invoice as this carries a ten year guarantee in France.
Similar the vendor would have a COUNSEL CERTIFICATE which would have been provided once the property was hooked up to mains electric, this certificate would show that the wiring conformed to French standards and was safe. The notaire will also ask for the plans cadastre for the property you are buying and will check that the boundaries are marked. If you are buying a piece of land or property that was once part of a larger section then a new plan cadastre will be drawn up and new parcelle numbers given to your plot. A property survey does not exists as such in France and you would be better off asking a local builder to survey the property for you. Remeber if you are buying some 200 year old stone French farmhouse then there will be work to be done and do not think otherwise. Do not ask the estate agent to recommend a surveyor or builder as he will probably send some one he knows will not loose his commission. Instead ask at the town hall or Maire to recommend a local builder or other expats to recommend some one. Remember the estate agent will loose a lot of money if you pull out. There also exist some very good magazines which have classified ads from English surveyors residing in France who can help.
The sale completion signing is held in the solicitors or notaire’s office and it’s usual for the buyer to be there, but if you can’t be, you can arrange a power of attorney for it to be signed in your absence. Make sure that you have your deposit in place in France and also that your mortgage has been agreed. If you miss the completion date you will lose your deposit. On the day of the signing be sure to go and view the property one final time prior to signing to ensure that everything is has you expect. The estate agent can arrange this and it is not unusual. When you sign your acte de vente you will be asked to write in French sold as seen so make sure you have seen it.
It’s not unknown for problems to arise even at this late stage with regard to fixtures and fittings for example all the light switches and power points may have been removed. If you would like to see more article and information on the region of south west France then visit http://www.lagiraudiere.com
Charente has become the new goal for those searching a property overseas in France. To read more on Charente visit http://www.lagiraudiere.com/charente_south_west_france.html .
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