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There are several interesting
similarities between French
and Mexico real estate. The
basis of law for both countries
is Roman. Notaries perform
a similar function of transferring
property from seller to buyer.
Meters, of course, are the
common measurement, including
the size of property for sale.
Prices are quoted in Euro dollars,
and sometimes, also French
francs.
Real estate is expensive,
in Paris proper; and in Fontainebleau,
a royal and imperial town where
I also stayed while in France.
 The
area where I traveled outside
of Paris is known as "Seine-et-Marne," and
is south and southeast of Paris.
This fertile countryside, along
the banks of the Seine and
its tributaries, is the location
of the charming towns of Meaux,
Brie-Comte-Robert, Melun, Moret
sur Loing, Nemours, Provins,
among others. These villages
offer the opportunity to visit
chateaux, and castles from
the 12 th century, and to attend
medieval fairs held in the
villages. Seine-et-Marne is
the heart of the Brie (cheese)
countryside as well as the
area where the top quality
wheat and barley, sought after
by many breweries, is grown.
The natural beauty of this
area was also the creative
inspiration to some of the
greatest landscape painters
of the previous century, such
as Alfred Sisley. Artists still
come to this area to be inspired
by their surroundings.
The village of Fontainebleau
is named for the famous chateau,
which was home to the greatest
sovereigns of France for eight
centuries. The first trace
of the chateau dates back to
1137AD. The original structure
evolved in the 16 th century,
when Francois I decided to
build a residence around the
remains of a medieval chateau.
The great forest of Fontainebleau
is one of the largest tourist
attractions in all of France.
Every year French nationals
and foreigners come to hike
the trails, rock climb, picnic,
and enjoy birding. There are
over 5,000 species of plants
and many varieties of protected
wildlife such as badgers, boar,
stags and roe deer. There are
more than 250 different species
of birds within this 20,000-hectare
forest.
The popular Disneyland Resort
Paris is built within the Seine-et-Marne.
This amusement park attracts
visitors from all over the
world.
IMMOBILI`ERE
is French for real estate,
similar to our Spanish INMOBILIARIO.
So, "Tous
les services de l'immobilier" offers
complete services for real
estate.
Advertising of properties
for sale is done in the classic
manner of posting photos with
written descriptions in the
windows of the real estate
offices. Free real estate magazines
are placed in holders on the
street in front of the office.
A
typical advertisement will
list the number of rooms (chambres).
Maison is a house; maison de
rapport is an apartment house.
Séjour is a dwelling
or abode. Salle de bain is
bathroom, mezzanine is an open
loft, cave is den or extra
room, jardin is the garden,
and garage is garage. The kitchen
is the cuisine, and if it has
appliances or is equipped,
it is a cuisine équipée.
Douche means the shower, bath.
Salle de chambre is bedroom.
If a residence has a "chambre
et petit déjeuner," it
has a breakfast room. Véranda
is the terrace, and piscine
is the swimming pool.
The
size of the dwelling in meters
is often given. My favorite
description written in the
text is "parfait", meaning
complete, perfect, utter, splendid! "Avec écoles" means
the property is near schools.
So,
a typical ad may read: "Maison,
dans un secteur calme, beaux
volumes, séjour double;
3 chambres, comble à aménager,
sous sol total, terrain 1000m2.
Prix: 226, 800 euros
 In
English this would roughly
mean: "Home in a quiet neighborhood,
beautiful, large space, double
or duplicate dwelling, three
rooms total; upper level and
basement flat; land is one
thousand square meters. Price
is $272,160USD* or 3,116,000*
pesos.
* HSBC Bank, August 21, 2004
There are many similarities
between what to do and not
do when buying in France or
Mexico:
(Courtesy of Susan Busby MA,
FRANCE LEGAL, e-mail ssb@francelegal.co.uk )
What happens when I find a
property and decide to purchase?
You
will be presented with a "Compromis de Vente" or
other similar contract. Even
though there may be a translation,
do not rely on this. You should
also be aware that it is often
what is left out of the contract
which causes problems rather
than what is in it. This contract
is a legally binding agreement
and your only opportunity to
protect your interests is by
having additional clauses inserted.
You should have the contract
carefully looked at by someone
who is experienced and competent
in French legal matters and
whose interest is to protect
you, rather than the person
selling the property.
How will I knowexcatly what
I am buying?
Ask the agent to provide a
copy of a plan cadastral (official
plan) showing the parcel of
land you want to buy. If possible,
obtain a copy of the title
deed. Go to the local mairie
and look at the zoning plan
for the area. It will give
you planning information and
you may be able to find out
about projects, which may affect
your property.
Check where the boundaries of the property lie. If there is any doubt about
this, you may wish to use a boundary surveyor to have them properly defined
.
On top of my purchase price,
what other costs are associated
with the purchase?
The costs associated with
a French purchase can be alarmingly
high. The notaire's fee (which
includes stamp duty) will be
in the region of 7% of the
purchase price although if
you are buying new property,
under 5 years old, you should
expect to pay approximately
3% of the purchase price. A
French Estate Agent's fee will
be 5-10% of the purchase price
and in some cases even more.
If you are using a loan, which
will be registered on the French
property, there will be registration
fees equal of up to 3% of the
value of the loan. To this
you should add the cost of
legal advice in this country
.
How will I know what is included
in the sale price?
Agree with the Vendor, which
contents are to be included
in the sale. The vendor may
remove some things, which we
would consider to be fixtures
and fittings .
When will completion be?
There will usually be a planned
completion date in the contract
and this is likely to be about
3 months after the Compromis
is signed, in some cases even
longer. Although you must be
ready to complete on the planned
date, you should not rely on
it in any way. You should certainly
not make any reservations based
on it until you have been notified
in writing by the notaire of
the final completion arrangements
.
Do
I have to pay a deposit on
signing the "Compromis de
Vente" and if so who to?
You will usually be asked
to pay a 10% deposit. Never
pay this direct to a vendor.
It should go into a bank account
set up for the purpose by the
notaire. In Mexico, the purchase
funds should be held by an
escrow government approved
bank or registered Title Company
from the US .
And when do I have to pay
the balance?
The balance of the purchase
price must be in the notaire's
account in good time for completion.
You should allow at least 10
days for the transfer of funds
and allow for bank charges.
If the funds are not in the
notaire's account, the transfer
of property cannot be done
.
Can I withdraw from the purchase if I decide not to go ahead?
When buying a property in
England and Wales it is possible
to withdraw from the purchase
at the very last moment. The
situation is quite different
in France. It may be very tempting
to sign the contract immediately
for fear of losing your dream
holiday home. However you are
strongly advised not to sign
the contract or any other document
until it has been fully explained
to you and any necessary conditions
have been added. Although you
do have a seven-day cooling
off period after signature,
this time soon disappears when
you have to travel back to
the UK and send a copy to your
lawyer. Should you withdraw
voluntarily from this contract
you may lose your deposit.
However, if suspensive conditions
are included in the contract
and there are genuine reasons
why these cannot be fulfilled,
you should be able to recover
your deposit.
What happens at completion?
Approximately three months
after the signing of the contract
the Notaire will draw up the
final conveyance deed known
as the Acte de Vente. Normally
all parties are present for
the signing. However in most
cases it is possible to obtain
a Power of Attorney, which
can be signed in the UK and
sent to France. There is a
small cost involved in this,
as a Public Notary, solicitor
or occasionally the French
consul must usually deal with
a Power of Attorney.
What
if I am asked to make part
cash - not declared - "under
the table" so called payment?
Information
about this is contained in
article 1837 of the (French)
Code General des Impôts,
which also makes reference
to the Penal code. It provides
that those who fraudulently
undervalue the purchase price
will be jailed for 3 years
and fined 45,000 euros. Furthermore,
you may also be deprived
of your civil rights for
5 years or more. This leaves
no doubt about the seriousness
of the offence.
Unscrupulous
agents and vendors, and sometimes
even the notaire may put
innocent foreign purchasers
under a great deal of pressure,
to make side payments 'sous
la table'. We strongly advise against this practice.
This article is based upon
legal opinions, current practices
and my personal experiences.
I recommend that each potential
buyer or seller conduct his
own due diligence and review
.
Harriet
Cochran Murray
For
additional information on
properties, for sale or lease
within the bay please visit Harriet
Murray website, call
or e-mail me at: harriet@casasandvillas.com
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