Who will deal with your matter?
1. Nathalie Trousset will deal with your matter.
Our overall costs for a purchase or sale of a French property
2. Our fees are based on the time spent by Mrs Trousset at her hourly charging rate of £460 plus VAT at 20%.
3. For each purchase or sale we will provide at the outset a fee estimate with a breakdown of the
work involved. This will be based on the information available at the time, which may be revised
should circumstances or requirements change. Our normal fees range from £4, 600 to £9, 200
plus VAT at 20% from £920 to £1, 840 (Gross fees from £5, 520 to £11, 040).
4. We will also charge a fixed fee of £55 plus VAT at 20% of £11 (gross fee of £66)
for carrying out mandatory anti-money laundering and sanctions checks and assessments.
5. Cross border purchases or sales can be complex and our fees and the time spent may vary from matter to matter.
Relevant factors are likely to be:
• the type of property concerned(are there local planning issues, or is the property part of a condominium and subject to an additional set of rules set by the condominium?),
• survey results (for example, is there a risk of avalanche and what is the extent of that risk?),
• rights of way and drainage issues (is the property affected?),
• assessing more general French tax implications and estate planning (It is possible for individuals to own French property in a number of different ways, which may have implications regarding exposure to French taxes).
The role of the French notaire
6. Under French law, a French notaire has to be appointed. The Notaire is the state official with responsibility
for dealing with real estate in France (drawing up transfer deeds and registering transfers and collecting taxes).
The Notaire usually acts for both the buyer and the seller and also if relevant any lender.
Our role in relation to a sale
7. We would carry out the following work in relation to a sale:
• Review the sale mandate drawn up by the local estate agent (this is an important document because if the terms of the mandate are met, for example, an offer is made at the selling price, the seller may be bound by the mandate and have to go through with the sale).
• We can obtain a copy of the French title deeds and assess whether there are any relevant restrictions that might affect a sale;
• We can assist with the appointment of the Notaire. It is often important to appoint a Notaire who is used to dealing with cross-border matters so that they are able to progress the matter efficiently without any undue delay.
• Once a Notaire has been appointed, they usually require a significant amount of documentation in order to prepare the relevant contractual documentation regarding the sale. For example, both the preliminary contract and final contract must contain details regarding the status of the parties involved and the Notaire will usually require copies of birth, marriage and death certificates from the General Registry as well as any other documents affecting status such as a decree absolute on divorce. These documents must also be translated by an approved French translator. We liaise with the Notaire regarding the documentation requested and facilitate their translation.
• The Notaire may also want to obtain an apostille from the Foreign, Commonwealth and Development Office in relation to each document concerning status. The apostille helps to reassure the Notaire that the documentation is authentic. We can assist in obtaining the apostille for you.
• Where a non-French resident is selling property, a French Tax Warrantor must be appointed. Their role is to calculate whether any French capital gains tax is due. We can assist with their appointment and also work out your likely exposure to French capital gains tax and assist the French Tax Warrantor with their calculation. This is the case even where there is no tax liability.
• We can review the preliminary contract drawn up by the French Notaire to ensure that any obligations that you enter into under the contract are appropriate and that your interests are protected.
• We will also advise you regarding steps to take prior to and leading up to completion and will review the final deed of sale with the Notaire and with you to ensure that it is consistent with the obligations entered into at the preliminary stage and that your interests remain protected.
Our role in relation to a purchase
8. We would carry out the following work in relation to a purchase:
• We can assist with the appointment of a Notaire. It is often important to appoint a Notaire who is used to dealing with cross-border matters so that they are able to progress the matter efficiently without any undue delay.
• Once a Notaire has been appointed, they usually require a significant amount of documentation in order to prepare the relevant contractual documentation regarding the sale. For example, both the preliminary contract and final contract must contain details regarding the status of the parties involved and the Notaire will usually require copies of birth, marriage and death certificates from the General Registry as well as any other documents affecting status such as a decree absolute on divorce. These documents must also be translated by an approved French translator. We liaise with the Notaire regarding the documentation requested and facilitate their translation.
• The Notaire may also want to obtain an apostille from the Foreign, Commonwealth and Development Office in relation to each document concerning status. The apostille helps to reassure the Notaire that the documentation is authentic. We can assist in obtaining the apostille for you.
• As a purchaser, you are responsible for paying French stamp duty. We can work out your exposure to French stamp duty. The Notaire is responsible for collecting the tax due on the purchase and paying it to the French tax authorities.
• We can also discuss ways in which you might own the property, which might be more tax efficient for you.
• We can also consider your future exposure to French taxes, such as French wealth tax.
• We will discuss and review the preliminary contract with the French notaire to make sure that your interests are protected.
• We will advise you regarding steps to take prior to completion and will discuss the final deed of purchase with the Notaire and with you.
Disbursements and expenses
9. Disbursements are costs related to your matter that are payable to third parties, such as the fee for obtaining an apostille from the Foreign, Commonwealth and Development Office. This is currently set at £40 and no VAT is payable.
10. We may also incur expenses as part of the service that we provide to you. For example, the costs of an approved French translator. If so, we will provide you with a quote to approve before incurring the expense. Alternatively, we may advise you to deal directly with the third parties concerned after facilitating an introduction and obtaining a quote where possible. If so, you will be responsible for the third party’s costs. Where they are located in France, they will not charge you VAT.
Other costs and expenses that may be incurred on a sale
11. For a sale, the estate agent is responsible for putting together a package including various surveys for potential purchasers and the seller is usually responsible for the costs of doing this.
12. The French tax warrantor will also charge the seller a fee.
13. In terms of French taxes, you may be liable to French capital gains tax.
14. This is not a comprehensive list and there may be other expenses or costs incurred.
Other costs and expenses that may be incurred on a purchase
15. The purchaser is normally responsible for the Notaire’s fees and stamp duty. The Notaire’s fees are set under the general law in France but they may charge an uplift where a cross-border matter is concerned.
16. This is not a comprehensive list and there may be other expenses or costs incurred.
Fees not included
17. Our fees noted above do not include any work that we might carry out for you in our capacity as a public notary. The French notaire may draft a document called a procuration authorising the notaire or a member of their staff to sign the contractual documentation relating to the purchase or sale on your behalf. This means that you do not have to travel to France to sign the documentation in front of the Notaire.
18. If this is required, we can go through the procuration with you in our capacity as a notary public and sign it with you. In these circumstances we will provide you with a separate fee quote beforehand.
Stages and timescales involved in a typical purchase or sale of French property
19. We usually receive a preliminary contract regarding a sale or purchase two to three weeks after we are provided with initial instructions. We review the French preliminary contract including the various searches and surveys, making sure that our clients’ interests are recorded correctly and that they are fully aware of their rights and obligations.
20. Before the preliminary contract is concluded, we advise our clients regarding different forms of ownership under French law and where appropriate consider the French tax consequences upon a sale or purchase of a French property. At this stage, we may also advise regarding estate planning and the application of forced heirship provisions under French law.
21. Once the preliminary contract is concluded, we assist our clients to prepare for the final deed, which is usually signed two months after the preliminary contract.
January 2025