| This is the preliminary contract between the buyer | | | | such as building work to be completed or servicing of |
| and vendor which sets out the exact conditions | | | | boiler, planning permission etc. |
| under which the "Acte de vente" will be completed | | | | · Penalty clauses describing what action is |
| and how the transfer of the property will take place. | | | | taken if either side fails to fulfil his/her part of the |
| It is a binding contract that is signed before any | | | | deal |
| conveyancing takes place by the notary. | | | | · Declarations on both the buyer and seller's |
| There is, however, a seven day cooling off period | | | | capability to fulfil the contract |
| during which the purchaser may pull out without | | | | · Details of (Frais de Notaire) Notary fees |
| forfeiting any of his deposit (usually 10% of the | | | | · Target completion date |
| purchase price). This period begins from the time the | | | | · Inventory of items included in the sale |
| buyer receives a signed copy of the compromise and | | | | Fortunately in France the law states that the vendor |
| if you decide to pull out of the transaction then you | | | | is under a legal obligation to not withhold any |
| must inform the notaire by written confirmation | | | | information form the buyer and thus the purchaser is |
| BEFORE the seven days are over. The buyer does | | | | very well protected. This includes the following |
| not have to give any particular reason for this and | | | | information necessary for the signing of the |
| should expect your deposit returned to you within 21 | | | | compromis to take place: |
| days of the notaire receiving the letter. It must be | | | | 1) The asbestos survey - Any property built before |
| noted though that if the purchaser pulls out of the | | | | the 1st of July 1997 must be accompanied by a |
| deal after this period then you are liable to losing the | | | | certificate detailing whether or not asbestos is |
| deposit unless any of the "conditions suspensive" | | | | present in the building materials used in its |
| (conditional clauses) are not met. | | | | construction which is valid for one year |
| The Compromis de vente can be signed either at the | | | | 2) The termite certificate - The vendor must show a |
| estate agency itself or at the notaire's office. It can | | | | certificate dated within the last three months |
| be drawn up by the estate agency or by the notaire | | | | showing the absence of termite infection within the |
| - it is always safer to sign one prepared by a notary | | | | property. If the certificate shows that there are in |
| as it is more likely to protect you and include more | | | | fact termites in the building then he must eradicate |
| details on the transaction. | | | | them at his own expense and provide a new |
| The notary should spend some time with you on the | | | | certificate showing that the building is now free from |
| details of the transaction and outline any "conditions | | | | termites |
| suspensives" such as the contract being subject to | | | | 3) Lead certificate - If the property was built before |
| mortgage approval for example. | | | | January 1st 1948 and is located in an area which has |
| Information held within the compromis: | | | | been identified by the prefecture as an at risk area |
| · Details of the purchaser and vendor- You | | | | for containing lead then a certificate must be |
| will be asked to provide information on your civil | | | | produced showing its presence or not |
| status which includes the following: Full names, | | | | 4) Certificat de la loi Carrez - A certificate showing |
| contact details, passport copies, professions, birth | | | | the surface area of each house or flat in a co-owned |
| and marriage certificates and details of ex spouses | | | | property |
| · Title details of the property | | | | Those four certificates above are essential to have |
| · A description of the property and a map of | | | | before the compromis is signed and they are all |
| the plot showing its exact location within the | | | | provided by the vendor. Additional information set |
| commune shown by the "plan cadastral" showing the | | | | out below must also be supplied by the vendor as |
| borders of the property and what buildings are | | | | the notaire carries out the conveyancing: |
| included in the purchase | | | | 1) The rental status of the property |
| · The price of the property | | | | 2) A certificate to show that the property conforms |
| · The agreed deposit which is usually 10% of | | | | to the building regulations |
| the price of the property (excluding the estate | | | | 3) The building permission for the property |
| agent's commission). This deposit will normally be held | | | | 4) Whether or not the property has construction |
| by the appointed Notaire and should be in his account | | | | insurance if it is less than ten years old or if it has |
| upon signing so be prepared and make sure that you | | | | had some work done to it in the last ten years |
| have enough cleared funds to do this | | | | 5) The heating system |
| · Circumstances when the deposit may be | | | | 6) The gas supply |
| forfeited (e.g if the buyer pulls out AFTER seven | | | | 7) The safety standard of the swimming pool |
| days of receiving the copy of the signed Compromis) | | | | 8) The drainage system |
| · Declarations by the vendor and obligations | | | | It is also useful for the buyer to check to see if |
| of the purchaser | | | | there is any planning permission on adjacent or |
| · Certificates of lead, asbestos and termite | | | | nearby property and find out exactly what it is so |
| surveys (detailed below) or arrangements for them | | | | that you know you are not buying something that |
| · Conditional Clauses that must be fulfilled in | | | | will for example shortly have a high rise apartment |
| order for the sale to take place. These include the | | | | block built next to it. You can do this simply by |
| standard clauses pertaining to the searches | | | | visiting the local Mairie (town hall) and asking for it. |
| conducted by the Notaire (e.g limitation on the | | | | If you want to know more about the overall process |
| property being used for its intended purpose), claims | | | | of buying a property in France, see our articles at |
| on the Title, mortgage acceptance etc. Also additional | | | | Good luck! |
| clauses can be inserted if agreed by both parties | | | | |