If you’re from another country, of course you know that France is a foreign land, but that applies to more than just the language and the wonderful food. Many things you take for granted about how everyday things are done will seem completely alien to you in France, especially if you’re looking to buy a home here. The experts share what you need to know before buying a French property.
Where do you start?
If you’re hoping to buy a new apartment, condo or house, where’s the first place you look? In America, you’d probably use a multiple-listing system (MLS) that shows you all the homes for sale within a certain geographical area. It’s a great system for the buyer, a convenient and efficient way to browse listings from a broad sweep of agencies.
You might have guessed what’s coming next: France doesn’t work this way.
“Tackling the French real-estate market can feel overwhelming at first,” explains Emma Skoble, French resident for thirty years and a licensed real-estate broker. “In France, each agency lists the properties that are being sold through them, but they won’t show anything from other realtors, because there’s no system in place to share fees and commissions. Having a different approach is fine, but when you’re the buyer it becomes truly laborious, as you have to search all the agency websites individually to know what’s really available.”
The system is so complex for outsiders that in 2013, Emma founded Metropolitan Properties Paris, an agency dedicated to English-speakers wanting to buy a home in Paris. This agency guides clients through the process of buying their French home and explains not only the legalities but also the realities of hunting for a property in France, including the lack of a multiple-listing system.
“If you look hard enough, you can find a few French websites that contain listings from multiple realtors,” says Emma, “but unfortunately they are not complete: they don’t include all the agencies from your chosen area, and even agencies that do choose to list on these websites don’t necessarily add all of their available properties.”
Invisible listings
The next surprise for foreign house-hunters is that many French homes seem to sell without ever being listed by an agent. You might hear about a sale in your ideal location weeks after the event, and wonder why you didn’t see it on the market.
A survey by the French network Meilleurs Agents found that up to 35% of homeowners selling their property in France choose not to use an agent immobilier (real-estate agent). This means that if you’re house-hunting through conventional channels, particularly from overseas, a third of properties could completely pass you by. The solution is to have a contact on the ground who understands the French system and can keep tabs on all the available platforms where properties come up – and that includes word of mouth.
“In many areas, including Paris, properties can be sold without ever being publicly advertised,” agrees Emma. “This can apply to everything from a city-centre studio apartment to a cottage in a rural village. There might be a conversation in the local bakery or in the small talk before a business meeting, ‘did you know that Céline is thinking about selling her apartment?’ and if you’re in the right place at the right time, you get to hear about it first. That’s another reason that it’s good to have contacts on the spot.”
Where is it, exactly?
It’s perfectly normal in France to find that the location of a listed property is absent, inaccurate or sometimes deliberately vague. This can make for a confusing experience when you’re browsing online, and nearly impossible to track down a listing should you want to take a look for yourself without booking a viewing.
Generally, agencies don’t give addresses in their listings, and this is out of fear that their competitors may wish to contact the sellers and ‘poach’ them. Once you understand that there’s no multiple-listings system and that each agency operates in isolation, this approach makes more sense.
Sold ‘as is’
Another aspect that can seem strange if you’re new to the French property market is that homes are generally sold ‘as is’, so what you see is what you get.
“In France, when you purchase a property, you buy it exactly as it is,” says Emma. “The seller has to provide a technical survey known as a diagnostique but you can’t request repairs after the initial offer like you might be able to in some other countries. This means that chipped paint, creaky floors and other imperfections are all part of the deal.
“The seller has no obligation to bring the property up to code and the ‘as-is’ condition is part of the contract, so after signing, you’re not in a position to make demands about repairs to the property. This is another reason why buyers need to understand how the market works in France, and ideally work with a bilingual contact who can explain everything step by step.”
Mortgages: good news and bad news
The good news is that a mortgage or prêt immobilier tends to be less expensive in France than the equivalent in America, but the bad news is that a mortgage is more difficult to obtain here. Depending on the geographical area, between 18% and 34% of mortgage applications in France are turned down so before applying for a loan, you need to get clear advice and ensure that all your documentation is prepared (see more info here: april.fr)
“In France, you’ll probably have to allow for a larger down payment than you might expect,” explains Emma. “It tends to be around 20% to 30% of the sale price, but depending on the circumstances, it may be as high as 50%. In addition, you need to prove regular monthly income through tax returns and bank statements. Commission-based income, assets and variable incomes might not even be taken into account, which can be a shock if you’re not forewarned. There is always a solution to be found, but it can take time and you need to know what’s required.”
Related to the question of mortgages, France doesn’t have a ‘credit-score’ system like the US or the UK. However, anyone applying for a loan will certainly be expected to prove that they have a solid credit history and you might also be asked to get a particular French insurance policy that would pay off the mortgage in case something happened to you.
Paris has its own quirks
While most of these issues apply across the country, France’s capital has its own particular quirks and challenges, to put it mildly. An article by Metropolitan Properties Paris entitled ‘Is Buying an Apartment in Paris a Good investment?’ looks at some of these challenges and explains how to tackle them.
Even so, property in Paris has a consistent track record when it comes to investment.
“Prices per square metre in Paris have remained resilient, even in times of economic downturns,” explains Emma in this article, “thanks to high demand and limited supply. Compared to cities like London and Berlin, Paris offers stability rather than extreme price fluctuations, making it a safer long-term investment.”
Another challenge for foreign Paris property buyers is knowing which neighborhood suits best – for families, for retirees, for work etc. The team at Metropolitan Properties Paris know the city intimately and their advice is unbeatable (download their guide to buying in Paris for tons of tips and advice).
What you need to know before buying a French property
Whether you’re simply interested in French property or you’re ready to commit to tracking down the perfect pied-à-terre in Paris, take a look at the Metropolitan Properties Paris website for lots of helpful articles about the real-estate market in France, and the Parisian market in particular.
