Sellers guide

The estimation of  the value of your property:

When you are considering the possibility of selling your property, the first step is of course to discover at what price it might sell for. A serious estimate takes into account many different criteria, such as location, view, exposure, size of the property, number of beds, general condition of the dwelling, etc.

It is therefore essential to call on a local estate agency, familiar with the market and recent local property sales, to carry out a thorough inspection of the premises before determining a value.


Choosing an estate agency:

Choosing the right estate agency means ensuring that your transaction is completed under the best conditions and without undue concerns for you as the seller. To make your choice, it is important to pay attention to the following points:

> customer reviews of an agency  (to view our verified customer reviews : click here );

> the feeling of trust you have had in your dealings with an agency in comparison with others;

> the stability of the agency's sales team, which ensures a consistent knowledge of the market and potential buyers;

> the physical presence of the agency (window display etc) near the property you wish to sell;

> the tools and support used by the agency to promote your property (website, real estate portals, prospectus distribution etc ...);

> the quality of the marketing photos produced;

> specialisation of the agency: an agency whose income is exclusively derived from the sales arena generally deploys more energy to sell the properties within its portfolio than an agency carrying out other activities (Property maintenance, Rental management etc...) where sales are only a small part of their activities.


Terms of Use

The real estate sales mandate is the contract whereby the seller (principal) gives power to one or more estate agents to act for them when selling a property.


There are several types of sales contracts:

> the "simple" non-exclusive mandate: the principal has the option to entrust the sale of his/her property to several agencies at the same time, but he/she can also take care of finding himself a buyer without the assistance of an agency. In this case, the selling price requested by the different agencies and by the seller must be exactly the same;

> the exclusive mandate: in this case the principal entrusts the sale of his/her property to a single agency only, and the sale must be completed through the agency (owners cannot negotiate a private sale without the agency). This type of mandate requires a strong bond of trust between the vendor and the agent, and generally allows the real estate agency to propose to the seller a lower rate of fees than with a simple mandate, and to offer a dedicated and focused service.


Mandatory diagnostic survey:

The first such diagnostic intervention that became mandatory was in 1997 with the implementation of the "Loi Carrez" law relating to property measurements, and this has since been augmented by a number of diagnostic factors that are obligatory when a property is offered for sale. All these diagnoses constitute the Technical Diagnosis Record (DDT), and their cost is borne by the seller.

In Haute-Savoie, the DDT includes:

> the certificate of measurement "Carrez law" (only for properties within a co-owned building);

> asbestos diagnoses (for properties with a building permit prior to 01/07/1997);

> lead diagnostics (for properties with a building permit prior to 01/01/1949);

> the energy performance diagnosis (ECD);

> the state of the electrical installation (for installations older than 15 years);

> the state of natural and technological risks;

> the gas diagnosis;


Signing of the pre-contract - the ‘Compromis de Vente’

Where a sale price is agreed with an purchaser, the signature of the Compromis shall comply with all the conditions of sale, and in particular include:

> The civil status of the parties;

> The designation of the property;

> All mandatory diagnoses;

> The sale price;

> The time limit for completing the sale;

> Any clauses and/or conditions;

> The notaries in charge of formalising the sale

The signature of the preliminary contract is generally accompanied by the payment of a security deposit by the buyer, representing a maximum of 10% of the agreed sale price of the property. After the signing of the agreement, the purchaser will have a period of ten days to withdraw from the acquisition without penalty.

When a mortgage is required, a condition or clause pertaining to obtaining appropriate finance will be incorporated in the Compromis, stipulating that, if the specified loan is not obtained within the agreed period, the buyer will be released from all obligations and the security deposit will be returned.

It takes approximately three months from the signature of the Compromis and the transfer of ownership with the completion of the sale. This can sometimes be longer, in order to obtain from various administrations the information and documents necessary for sale (civil status documents, mortgage statement, cadastral extract, urban planning, technical diagnosis, managing agent questionnaire, etc.) and indeed for the notaries to prepare the sales deed.


Signing of deed of sale

When the funds are available and the notary has all the necessary documents in his possession, it is time to sign the deed of sale and sell your property permanently.

The deed of sale includes all the conditions stipulated in the pre-contract and formalises the transfer of ownership. All funds (sale price + legal fees) must be deposited in advance with the notary so that the sale can take place.

In general, the keys of your old property are given to the purchaser at the signature meeting. The notary will provide you with a certificate of sale which will enable you to justify that the property no longer belongs to you and which will also enable you to terminate the various contracts related to the property being sold (water and electricity subscription, home insurance, etc.).


The tax on capital gains real estate

When you sell property that is not your principal residence and you sell it for more than its original purchase price, you will have to pay capital gains tax. This tax is made up of two parts (the percentages indicated are valid for French residents, residents of EU and Swiss countries):

> the capital gains tax of 19%;

> Social security contributions of 17.2%;

The total represents 36.2%, calculated on the net capital gain you realise. This net capital gain takes into account many factors, including deductions for holding periods. 22 years of ownership need to elapse in order to pay no tax on capital gains, and 30 years to pay no further social taxes. When the sale price of the property exceeds € 150,000, non-residents must also be accompanied by a French tax representative.

The total amount of the tax and the expenses of the tax representative are levied by the notary directly on the sale price and paid to the administrative bodies.