Useful Information

Amount you can borrow

Referred to in France as the “Votre capacite d'endettement” French law states your monthly repayments should not be more than 33% of your monthly income. In certain cases this can be exceeded but only marginally. Please complete our online application and we will happy to provide you with an exact quotation of how much you can borrow.

Inheritance tax

French property law and particularly the laws of succession (inheritance) are well worth looking into prior to the purchase of your French home. There is nothing too onerous here with a little forethought and planning given to this subject. Ideally prior to the signing of the final act on the day when you actually take possession of your new home, it is advisable for those who are not familiar with the French inheritance tax system to explore this subject. French inheritance law is based upon the Napoleonic Code. It is fair to say that whilst the French inheritance tax system can appear to be one of the most widely reaching the reality is that it probably collects the least due to most people planning to avoid the tax. The main points to bear in mind are that the value of your property does not automatically go to the surviving partner on the death of one of the parties. The French system puts blood relations in a particular order of priority. Giving preference to close blood relatives i.e. Sons and Daughters. Also that couples who have not completed either a marriage or “PACS” agreement (an agreement between an unmarried couple ) could pay exceptionally high levels of inheritance tax if proper advice has not been sought. Our sister company IFS France will be happy to advise clients with regard to this subject based on their individual circumstances.

Societie Civil Immobiliere SCI's

This is a popular vehicle used in France , which is basically a French company formed by the individuals who will own the property. This method can be used when a property is jointly owned by several different people. This method can also be used in case where there is perhaps considerable expense in the renovation of a property and the owners wish to recover the VAT. Again our sister company IFS France will be happy to advise with regard to this subject.

Transferring your purchase monies to France

Our sister company IFS France will be happy to arrange a Money Market interest bearing account with leading triple AAA rated banks for clients enabling them to take advantage of the best exchange rates and free telegraphic transfer of their funds.

The French Notaires system

The French Notaries system does not see conflict of interest in the same way that perhaps the UK system does and quite often French sellers and purchasers will use the same Notaire to carry out the legal process. This process does not cost any less and indeed the purchaser and seller have the right to choose their own individual Notaires should they wish. In this case one of the Notaires will be appointed the “Plume” the one who wields the pen so to speak and will be responsible for the contract. and the other will be the second Notaire. In this case the fee which is same whether one or two Notaires are acting will be shared between the two Notaires. The fees charged by French Notaires are designated by a table of law and must be strictly adhered to. The role of the French Notaire is first and foremost to ensure that the legal process respects French law.

French Mortgage Advice Ltd, Ashdown House, High St Cross-in-Hand, Heathfield East Sussex, TN21 0SR
Tel 01435 866699 Fax 01435 866689 email us at info@french-mortgage-advice.com
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