Applying for a French mortgage is relatively straightforward, and a very similar process to other countries. It can be worth consulting several mortgage lenders to see which one will give you the best mortgage interest rate.
How long does it take to get a French mortgage?
A typical French mortgage application takes around 14 weeks to complete quickly and complex applications can take much longer. The worst case we’ve had took 19 months to finalise, from completed application to drawdown of funds.
What is the minimum mortgage amount in France?
2) You must need to borrow over €100k
The main lenders to non-residents in France have a minimum loan amount of €100,000. You may find a bank manager, local to the property you are looking to purchase, with the authorisation to loan slightly less but these will be the exception, rather than the rule.
Can a British person get a mortgage in France?
Can British Buyers Still Get a French Mortgage After Brexit? Yes! Although Brexit will affect your rights to live, work, and travel in France, it won’t affect your right to purchase or own property. Plenty of Australians, Americans, and other non-EU citizens already own property in France.
Can foreigners get mortgage in France?
French banks are equally as keen to write mortgages for foreign buyers as French nationals. The typical French mortgage allows a buyer to borrow between 70–80% of a property’s value. Some French mortgage brokers limit themselves to only 50% for non-EU nationals.
Can I live in France if I buy property?
Although foreign buyers have no restrictions on buying a property in France, if you are not an EU citizen, then you will have to apply for a visa/residency if you intend to stay in your property for more than 90 days.
Can you get a 100% mortgage in France?
100% mortgages are only an option for French residents and the maximum LTV for non-residents depends on your country of residence. For EU buyers and British buyers post-Brexit, the maximum is 85% (a 15% deposit), although a more likely scenario would be 75-80% (a 20-25% deposit).
How much can borrow France?
Generally, French banks will lend up to 85% of the purchase price for non-residents, although different lenders have different criteria. Up to 100% mortgages can be obtained in some circumstances (with a side investment).
What is the mortgage rate in France?
French Mortgage Rates: the Basics
As of September 2020, average French mortgage interest rates are around 1.5% to 2.5%, and these rates are often also extended to non-resident buyers. Rates can fall below this too, especially for low-risk buyers and high-net-worth individuals.
How much deposit do I need for a house in France?
For a French mortgage, you will generally need a minimum deposit of at least 15% to 25% of the property’s purchase price, with rates that are fixed or variable. “The max for a repayment loan is 85%, but there is only one lender who will go this high,” John comments.
Do I need a French bank account to buy a house in France?
Do you need a bank account in France? It is possible to live in France without having a French bank account as there is no legal requirement to have one.
How do I finance a property in France?
Read about qualifying for a French mortgage to completing the act of sale in 6 easy steps :
- Get pre-approved to borrow in France. …
- Send your French mortgage application file. …
- Open a French bank account. …
- Accept your French mortgage and life insurance offer. …
- Obtain French property insurance. …
- Complete the act of sale.
What taxes do you pay when buying a house in France?
In total, the sum of fees involved in buying the house can’t exceed 10% of the property’s value. You’ll also need to pay stamp duty when buying a house in France. Properties over five years old are charged at 5.8% (though a few are charged at 5.08%). Newer homes are charged at 0.7% plus 20% VAT.
Can I buy a house in France post Brexit?
If you are planning to relocate to France, the good news is that you are still within your rights to purchase property in France after Brexit, with no restrictions. You are able to purchase a home in France to use as your second home, or as your permanent residence if you obtain the right to live in the country.
What is the property tax in France?
The level of the tax is calculated at the rate of 12.5% of the rateable value of the property, which increases to 25% from the second year.