Reserving a new build property

Paying the deposit on a new build property

Once you have made your decision, a refundable deposit of between 2% and 5% is required to secure a property off- plan as opposed to 10% for a property that has already been built. This payment is made in Euros. In France, payment of the deposit in the off plan buying process is again strictly regulated by law and can only be paid either to the French Notaire or into an escrow account (Compte sequestre) lodged with a bank. In either case the developer cannot access the funds until the Deed of Sale is signed.

You will not be required to pay the deposit during your viewing appointment. The deposit payment is made by bank transfer. To arrange this contact us as soon as possible on your return to the UK and we will guide you through the payment process and provide all necessary bank details.

After the deposit payment, no further money is paid until the Deed of sale is ready for signature, even if construction is underway.

Deposit refund

In France, by law, the reservation contract for an off plan property clearly specifies the conditions under which the deposit is refunded. These are:

if the purchaser exercises his/her right to withdraw within the 7 day cooling off period

if the purchaser does not obtain the French mortgage detailed in the reservation contract within the statutory mortgage application period (4 to 6 weeks from signing the reservation contract)

if the sale is not completed within the period laid down in the reservation contract due to circumstances within the developer’s control.

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