the key steps in buying a property in France - part eight
...the notaire's searches
Mr and Mrs Smith cannot wait to own their French house. They
have signed the initial contract, the cooling off period has
expired and they are confident that it is only a matter of time
before they receive the formal mortgage offer from their bank. In
the meantime, they wonder how long it will take for the notaire to
have a complete file so completion can take place.
A minimum of two months from the signing of the initial contract
is to be expected. This is to allow enough time for the notaire to
carry out his searches and obtain the results from the various
institutions involved.
The notaire will not start the searches before the signing of an
initial contract between the vendors and the purchasers, and often
they will wait for the cooling off period to have expired as
well.
The notaire will first notify the relevant public bodies who
might be the beneficiaries of a pre-emption right, ie a first
option to buy the property, such as the town hall (Mairie) or the
local famers committee called SAFER when the property is in a rural
area. The document called DIA (déclaration d'intention d'aliéner)
will indicate the identity of the buyers and the proposed price.
The public beneficiary will have two months to reply to the
notaire, after which they are deemed to have waived their right to
buy. In most cases, the beneficiary does not want to pre-empt and
therefore do not bother replying. Hence the notaire will make sure
two months have elapsed before the final deed can be signed.
Furthermore, the notaire will request from the Mairie a Town
Planning Certificate (note de renseignement d'urbanisme), which
will reveal the rules applicable to the property and whether there
are any public covenants applicable, or any road widening scheme.
It also indicates in what 'zone' the property is situated (rural
part, or urban part of the town for instance). This would influence
the type of works or construction allowed. It might in addition
reveal that the property is situated in a listed building area for
instance, which means that more restrictive planning rules will
apply. The local authority will not deliver any other document. It
is up to the buyers, before they are bound, to make their own
enquiries as to the surrounding plots, or about any future public
projects in the town.
The land registry will deliver a document called état
hypothécaire, which will indicate who the owner of the property is,
and whether there are any charges or easements registered. The
notaire will have the duty to discharge the property for the new
buyers at the vendors' costs. The notaire would need to contact the
beneficiaries of any charges for their permissions to remove them
and to confirm how much is owed to them, especially when there is
an outstanding mortgage. Should the charges be greater than the
purchase price, the buyers can pull out of the transaction and
recover their deposit.
The notaire will contact the French Revenue to obtain the
cadastral statement (Relevé cadastral), which will confirm the
references of the property as shown on the boundary plan. A
property is not known by its address but only by its cadastral
reference. The cadastre is a special registry where properties are
recorded.
The notaire should also check the previous title deeds for the
last 30 years.
The identity and marital status of the buyers will thoroughly be
checked, and married women will need to provide a copy of a
document showing their maiden name. In France, any official or
legal document will always indicate the maiden name. The notaire
will check the central registrar for civil status documents where
issues dealing with mental capacity or marital status are recorded
for French nationals but also to some extent to foreigners.
Because Mr and Mrs Smith are not buying a property within a
block, the following search will not apply: the completion of the
notaire's questionnaire by the managing agent (syndic) about any
outstanding sums, works voted, the insurance policy, any pending
litigation, the amount that will be owed for service charges.
When all this information is obtained and the file is complete,
the notaire will suggest a completion date to the parties, and will
be able to draft the completion deed and a power of attorney if
required. Therefore, the proposed completion date indicated in the
initial contract is not binding for the notaire who can postpone it
until all the results are obtained. It would be wise for Mr and Mrs
Smith not to book any removal or travel arrangements before a
completion date is confirmed in writing by the notaire. Note that
the parties however, cannot refuse to complete by the proposed date
if the file is complete, unless they both agree for an
extension.
Finally, specific conditions can be inserted in the initial
contract such as obtaining a planning consent, or an authorisation
for building a swimming pool. These 'get out clauses' will have a
further impact on the timescale involved for completion.
