Making an offer on a French property
When you have found a property in France that ticks all your boxes, you’ll want to make an offer.
It can be hard to judge what to offer when you’re new to the country. That’s why we’ve put together seven simple tips to help you stay in control during the negotiation process.
A word to the wise: Your estate agent will be able to advise you about tabling an acceptable offer, as well as making any necessary recommendations. Remember, though, that they are also working for the seller. As such, the higher the price, the higher their commission.
Negotiation tips
- Know what you’re talking about
Conduct market research and review recent local sales so you’ll be confident asking for a fair price. You can see the recent prices of property sold in the area via the Valeur Foncière website. Being well-informed and asking educated questions shows you mean business. You should also check out the latest French property news to make sure that you’re up to date with any developments in the market.
- Get your game face on
Don’t come across too keen or too blasé. Polite yet serious work, and make sure to let the selling team know you’ve viewed a lot of houses and know your stuff. Just like a poker player, read your seller’s emotions: with some sellers, you might want to show how much you love the property, with others you want to play it cool.
- Speak to your currency specialist before you put in an offer
It is wise to speak to a currency specialist before you put in an offer on a French property. Otherwise, you could make an offer and then find that the exchange rate has moved against you before the seller has had time to respond and you can’t afford the asking price. Get insight and help from the experts.
- Take control of the negotiations
You are the one making the offer on a French home. The seller wants to make a sale and understanding their vulnerability puts you at an advantage. You can walk away at any time and buy something else. Remember, the seller needs to sell that property.
- Counteroffer quickly
Any delay in responding leaves room for a seller to consider other offers. Make sure you have a clear upper limit of your budget in mind before entering negotiations and respond quickly and confidently to any counteroffers.
- Don’t stress if it falls through
Stay rational and if a deal falls through, don’t worry. In many cases, buyers look back on deals that didn’t happen with relief, finding the ideal property later down the road.
Making an offer
In France, you will make a verbal offer via your estate agent.
Depending on the market, it is possible to find yourself in a bidding war at above the asking price. However, it is more likely that the buyer offers below the asking price and then negotiates with the vendor. Be prepared to negotiate and, if need be, walk away from the sale.
After the offer is accepted
If the offer is accepted, the buyer and seller will sign a preliminary contract known as the compromis de vente. This is a legally binding document that outlines the details of the property for sale and the agreed price.
After the compromis is signed, there is a 10-day cooling off period, where you can withdraw from the process without penalties.
Suspensive clauses
There may be conditions to the sale. For example, although not obligatory in France, many international buyers choose to get a property survey. If you’re financing the purchase with a mortgage, being accepted for a mortgage could be a suspensive clause. To enact any suspensive clauses, speak to your French property lawyer.
Final contract
The final sale contract, the Acte de Vente, is signed in the presence of a notary. Once signed, the property is officially yours and you will receive the keys.
