apt. in South of France

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cross4

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I am a first time investor thinking of buying a second hand apartment in the south of France through a company called frenchbuy2let.com. I was wondering has anyone dealt with this company. The apartment seems good value. It is a 45 sq m one bed. However the transaction costs seem high. I have been told they will be about 10% of the purchase price. I have also been told that I really don’t need a solicitor as all the legal work is checked by the Notaire. I would be grateful for any comments.
 
I believe there are inheritence issues to think about in France, which is maybe why you would need a solicitor. In any case I would get independent advice from someone who's not representing the seller (or at least who does not have a vested interest in the sale).

I'm assuming also you've done some independent research into prices as to whether it's good value or not. The south of France is a big place, alot of variation in prices.

Had a quick look at http://frenchbuy2let.com/, their homepage features property in "Saint Gilles near Nimes Côte d'Azur". Nimes is NOT Cote d'Azur (Languedoc-Roussillon). While it is in a nice tourist area (near the Camargue), it's along way from Cannes & Juan les Pins... Try searching http://www.century21.fr/ for something similar to what you plan to buy.

I've heard transaction costs are about 7%, probably higher for something cheaper.

HTH

 
I think the south of france France (coastal) is a very stabile investment location. The cote d'azur is extremly over developed, expensive and crowded. There are other less developed areas which offer great potential cheaper prices and have boomed on the back of the Ryanair effect.
I would check what commsion your agent is taking on the deal I have knowen agents to take a quite a hefty slice on second hand properties.
As far as the purchase I have found the French Notaire system to be fair efficent and balanced. I have never used a solictor on any of my french purchases it is simply not necessary as the Notaire is a state appointed official who acts impartially between buyer and seller and whos duty it is to ensure that the sale/purchase proceeds according to french law as well as collecting the necessary taxes. France is a fine country great holiday location and good investment location but as ever buyer beware do your research....
 
Legal fees are typically higher for secondhand properties. It should be possible to find a home based qualified notarie who can assist you.

From a personal point of view only, i like the SW of France, both Med and Atlantic coast. Some very interesting new developments

adj38
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I purchased an apartment in the south of france last year. The seller's Notaire acts for the purchaser as well (you don't have to but Notaires are effectively government agents and totally trustworthy).

In relation to purchasing would you not visit the area and look at properties - I went over to a village I knew and picked out a nice apartment - and purchased off a local estate agent - why pay more to in-between agents?

The following website is a good guide to the whole Notaire process
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On a personal note, my preferred area is between Nice and Monaco - just short of the Italian border.
 
Thanks for all the replies.
ADJ38-When you say a home based qualified notaire do you mean one that operates from ireland. How would I get in touch with one.

The area I am thinking of buying in St Gilles near Nimes in the Languedoc region. Has anyone any experience of the area. I am going over next week to have a look around.

Podgerodge--Did you go over on spec or had you arranged to met local agents before you went?
 
went on a holiday to an area we frequently went to, didnt even plan on buying - just passed an estate agent window in the village, liked a property, and bought it! But we knew the village well so it wasnt a tough decision.
 
I am based in the UK so I dont think I can recommend anyone directly as they will not necessarily appreciate the detail in respect of Irish taxation. Maybe some other contributors can help. Good luck

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cross4 said:
I am a first time investor thinking of buying a second hand apartment in the south of France through a company called frenchbuy2let.com. I was wondering has anyone dealt with this company. The apartment seems good value. It is a 45 sq m one bed. However the transaction costs seem high. I have been told they will be about 10% of the purchase price. I have also been told that I really don’t need a solicitor as all the legal work is checked by the Notaire. I would be grateful for any comments.
Click to expand...

- 10% of property value is a typical overall fee for transaction in France - EA's cut in France is much more than in IE + Notaire + various tax.
- You do not need a solicitor in France. Indeed, Notaire does all the checks and paper work for you.
- It is very common in France to get a property at 90% of asking price, not 110% or more like in Ireland. There is no bidding stuff going on. The first to come with a "reasonnable" offer (say €100k if asking price is €110k for instance) gets the property.
- Over the past few years, properties in the south of France have mainly been bought by English, Deutch and German. These people do not haggle for prices, so EAs love them...
- Locals struggle to buy as wages are low and property prices are at the highest.... but the sun shines 10 months per year and it is "easy" access to ski resorts.. Knowing that means that you can get a good price.

Do you mind stating how much is this property?
It is old or new?
It is part of the "de Robien" law?
 
I also think there are issues in relation to Capital Gains tax not being part of the double taxation agreement yet (currently being renegotiated could be completed by now.) so you will be liable for any gain in both france and Ireland - no offsetting allowed
 
Also I believe it may be important to look into buying through a company rather than in the joint names of a husband and wife to avoid the complex inheritance issues in France- but you will have to speak to your notaire about this prior to signing contracts.
 
Vanilla said:
....the complex inheritance issues in France- but you will have to speak to your notaire about this prior to signing contracts.
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explained there in simple terms :)
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The apartment is in a block of 24 and was built in 1995. It is 45sqm and has a garage space. Total cost is €73,000.00. I am not sure if it rented under the "de Robien" law?
 
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