This section of the French Mortgages website is only a brief guide to the process and should not be viewed as a substitute for legal advice. There is also some brief guidance about the costs associated with buying in France, together with some related topics.


The Purchase Process

The process of buying in France is divided into two key stages: first, the 'Compromis de Vente' and, second, the 'Acte de Vente'.


Initial Stage

'Compromis de Vente' - The Preliminary Contract

When you have located a property to purchase you will enter into the 'Compromis de Vente' or preliminary sales contract. This is a binding initial written agreement between you and the vendor/seller, in which you agree to buy the property and the vendor/seller agrees to sell to you.

'Acte de Vente' - The Deed of Sale

Normally, within three months of the preliminary sales contract being signed (and after various formalities having been completed), you will be asked to sign the Acte de Vente (Final Act/Deed of Sale). This is always prepared by a notaire.

Understanding How the Mortgage Process Works...

How French Mortgages Work

The process is quite similar to the British approach. The lender will lend you a percentage of the cost of the property, provided that you have sufficient income to repay the loan, taking into account the other loans you have at present.

However, the actual process takes a little longer because there are two "cooling off" periods built in and also because French lenders are a little more formal than British ones about proving income.

You're looking for a suitable property

If you are just starting your search for a property and wish to find out whether you could qualify for a loan, please contact us.

Once we have some brief details, we will send you a decision in principle within 3 days.

If you have found a property you wish to buy, and your offer has been accepted, the next step is to sign a sale agreement, or "compromis de vente".

This is a binding contract on you to buy and the seller to sell. You will have to pay a deposit to secure performance of your obligations, usually 10% of the purchase price. If you intend to buy with a mortgage, you must have this mentioned in the agreement. After signing, you will have a six day cooling off period during which you can withdraw. If, following the elapse of this period you still wish to proceed, you should then apply for your mortgage .

The application form and accompanying documents are sent to the lender, who will process them and arrive at a decision. If it is negative, you may then withdraw from the agreement and, provided that you have complied with its terms, receive your deposit back .

The offer

If it is positive, the lender will issue a formal offer, which must be sent to you by post, generally via DHL where you will have to sign for it.

You must then wait a further ten days 'cooling off period' before accepting it. In the meantime, you can send your portion of the purchase price to the notary.

It's yours!

After the ten day cooling off period you send the accepted offer to the lender, who will then transfer the balance of the funds to the notary. The notary will fix a day for all parties to sign the "Acte", or deed of transfer. On this day, following signature, the notary will give your money and the lender's money to the seller, pay the agent, collect the taxes due plus his own fee and voilà! The property is yours!

For further details please consult the "Frequently Asked Questions" page.

Please note: Changes in the exchange rate may increase the sterling equivalent of your debt.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE
Any advice given by French Mortgages is not covered by the Financial Services Authority and therefore you may not benefit from the protection offered by the Financial Services Compensation Scheme.