
What key legal terms should I know when buying property in France
When buying property in France, several key legal terms are important to understand:
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Compromis de Vente: This is the preliminary sale agreement signed by both buyer and seller. It is a legally binding contract outlining the terms of the sale, including price and conditions. It usually requires a deposit payment of around 5-10% and includes a mandatory 10-day cooling-off period during which the buyer can withdraw without penalty. 1, 2, 3, 4
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Promesse de Vente: A unilateral promise to sell granted by the seller to the buyer, giving the buyer an option to purchase for a specified time. It is also legally binding but less common than the Compromis de Vente. 4, 1
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Acte de Vente (or Acte Authentique): The final deed of sale signed in the presence of the notaire (a legal official) that transfers ownership from the seller to the buyer. 2, 3, 5
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Notaire: A public legal officer responsible for ensuring the legality of the sale, conducting due diligence, handling contracts, registration, and funds transfer. 3, 5, 2
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Clauses Suspensives: These are suspensive conditions included in the Compromis de Vente, such as obtaining mortgage approval, which must be fulfilled for the sale to proceed. 3
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Dépôt de garantie: The deposit buyers pay when signing the Compromis de Vente, typically 10% of the purchase price, held in escrow by the notaire. 3
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Frais de notaire: The total notary and associated fees paid on top of the purchase price, including taxes and registration fees, usually about 7-10% of the property price. 5, 4
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Dossier de Diagnostic Technique (DDT): A compulsory set of technical diagnostic reports the seller must provide, such as asbestos, lead, energy efficiency, and pest inspections. 3
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En indivision, En Tontine, SCI: Different forms of property ownership in France, equivalent to tenancy in common, joint ownership, and property owned by a partnership or company structure, respectively. 3
Understanding these terms helps ensure clarity and smooth transactions when purchasing property in France. Working with a notaire and possibly a property agent is advisable for compliance and guidance. 1, 2, 4, 5, 3