Who doesn’t want to live in France? Cote d’Azur is perhaps the most desired overseas property destination in the world. Paris is the world’s most romantic city and is a great place to buy an apartment – if you can afford the high prices. The ski chalets in the French Alps are prized possessions as well.
What makes a villa or apartment in France such a prized possession is that the residential property market in France is perhaps the safest in the whole world. We don’t get to hear of any fraudulent sellers in France. France is by far the safest housing market in the world with laws that are very protective of buyers.
For example, as a buyer, you are even given a 7-day cooling off period after purchasing a French apartment or villa. If you want to rethink your decision and want to change your mind, you can do so in this period.
The property market in France is a very stable one, which is known to be resistant to the pulls and pressures of the global economy. Even during the worst days of the global housing crisis, the housing market in France was as stable as ever.
If you are a Brit who is looking to buy an apartment or villa in France, you can take advantage of the strong pound and weak euro, as well as the relatively lower property prices across France, even in the South of France.
Brits have always been fascinated by the French lifestyle, but it’s not just the Brits – wealthy individuals from China, Russia, Middle East, Brazil and the United States have also shown great interest in French properties. When you attempt to buy an apartment or villa in France, be prepared for a possible bidding war with other international buyers.
France is very much a buyer’s market. You have no reason to worry as a buyer, as long as you do not buy properties worth over €1.3 million, in which case you may be required to pay a wealth tax to the French government.
Buying Property in France – How It Works
Buying property in France is as easy as it gets if you are from a European Union member nation. There are tens of thousands of Brits who buy property in France each year and it’s as easy for them as buying a house in the UK. It’s not so simple for individuals from non-EU nations, who will need to address issues related to their immigration and residency in France.
In all likelihood, you will be required to pay 7 to 8% in excess of your property’s value in fees and taxes to the French government. The property transfer tax in France works out to 4 % to 5%. VAT is charged on newly built property and is set at 19.6%. The property certificates are set at 0.5% of the purchase price and solicitor fees can be anything from 1% to 3% of the property value.
While there is no question that buyers are given excellent protection in France, it is still better to hire a solicitor. The buying process in France is simple and safe, and as an overseas buyer, your rights are well protected. You will be required to be a 10% deposit on the property after having made the decision to purchase it, and the purchase is binding on you after the end of the 7 day cooling period that we talked about earlier in the article.
France Property Market Outlook – 2016
The outlook for the French housing market in 2016 is largely positive. The French economy is in a good shape and property prices are likely to grow at a healthy rate. 2016 is as good a time as any to buy the villa in France that you have always wanted.
Contact us today with your Budget and we will source any type of property in any region of the country for you.