[vc_row][vc_column][vc_column_text]There are numerous costs and charges associated with the purchase of your property in France. These costs can vary depending on the type of property you are buying (off-plan, or re-sale) and by the amount of the French Mortgage you obtain from a French bank.
Agent’s Fees: Generally real estate agents fees are 6% of the purchase price (TTC) and will be included in the advertised price of the property and paid by the seller. These will be laid out in the compromis de vente.
Notary Fees: This is the catch all term for all of the government taxes and fees associated with the purchase. The total cost varies between around 3-4% for a new build property and 7-8% for a resale. Only your notary can tell you the exact amount payable. These will be due on the day you sign the acte authentique and are not financed by the lending bank. If obtaining a loan then the ‘notary fees’ will include an additional land registry fee. See below.
Bank Arrangement Fee: French banks charge a French Mortgage arrangement fee of between 700 Euro and 1,200 Euro. This fee includes the cost of a compulsory valuation survey on the property you intend to finance. The bank arrangement fee is usually payable within one month of the French Mortgage coming into force and will normally be deducted automatically from your French bank account.
Land Registry Fee: If a French loan is being used for the purchase then additional fees and registration costs are payable to the notary for registering the charge against the property at the bureau des hypotheques. This is generally around 1% of the loan amount and requested at the same time as the other notary fees to make up the total of around 8%.
French Bank Account: French banks charge a mortgage arrangement fee of up to 1% of the mortgage amount. Generally this is capped at around 1.500€ depending on the bank. This fee includes the cost of a compulsory valuation survey on the property. Generally this fee will be taken with your first mortgage payment although it can also be split over 12 or 24 months.
Brokerage Fee: FMX charges a fee of up to 1% of the loan amount, depending on the bank used, payable once a successful loan has been issued. This fee includes the services of coordinating the file, organising compulsory mortgage protection insurance, house and contents insurance, liaising with the notary and real estate agency and setting up a French bank account.
Check with French Mortgage Xpress who can advise you early on if any adjustments are necessary to the compromis de vente in order for a French bank to finance the agency fees.[/vc_column_text][/vc_column][/vc_row]
