Hidden Costs of Paris Property
Reckon you’ve worked out the perfect budget for your dream appartment in Paris? As you might expect, it’s not always that simple - read on for a list of the hidden costs that anyone looking to buy property in Paris should consider before taking the plunge…
Agency Fees
Agency fees are ususally included in the price quoted to you by the Estate Agent, though of course it’s always sensible to check exactly what’s been included. The agency cut will be taken out before any other charges based on the purchase price are calculated i.e. notaire’s fees. Click here for more on French Estate Agents…
Notaire’s Fees
The notaire is the government professional who will liaise between purchaser and vendor to ensure that any French property sale is completed in a swift, legal and financially sound manner - the equivalent of the solicitor’s role in the UK and elsewhere. Notaire’s fees are paid by the purchaser of a property, and set on a fixed scale by the French government - expect to pay between 6% and 10% of your chosen property’s purchase price, and if you’re buying with a mortgage the notaire may ask for a further 1.5% of your mortgage value. Click here for more on the Notaire…
Currency Exchange
If you’re fortunate enough to be buying in cash, or if you’re arranging a mortgage in your home country, you’ll need to buy euros to complete the purchase. Needless to say, it’s not buying holiday money - with such large sums in question you can save an enormous amount by finding the right deal, but there will always be some cost to incur.
Property Taxes
There are no extra taxes added to the purchase price of French property (these costs are all rolled into the notaire’s fees) but there are ongoing annual taxes imposed on both owners and residents. Taxe d’habitation is an annual charge levied on the residents of an apartment or house; taxe fonciere is an annual tax imposed on the owner. You’ll need to calculate these annual costs in advance and work them into your budget - click here for a more detailed explanation…
Syndicat Fees
Almost all appartments in Paris are housed in tall communal blocks; together the residents and owners form a syndicat (or syndic) responsible for communal areas of the building, and indeed any issue relating to the fabric of the block. Often independant managing agents are hired to perform this duty - either way, an annual contribution to costs is likely to be required from eachowner. Click here for more on syndics…
