This transaction shall be carried out provided that the real estate agent has received a written sales contract/brokerage contract. The original contract will be given to the buyer (act 70-9 Jan 2nd 1970 art 6).In the absence of it the real estate agent can’t receive payment whatsoever.  

(2) Safety and environment report

Some regulations require the seller to give report to the buyer about the safety and environment of a building. This duty corresponds to a technical inspection of a building. 

Natural and technological risk report

Ø       (Article L 125-5 of the environment code) Must be prepared less than 6 months before the execution of the legalised deed, since the property is located in an area specified in I of article L125-5 of the environment code or a prefect’s ordinance indicated on III of this same article. If after the undertaking to sell date, the plot where the property is located is listed in one of the areas mentioned in I of article L125-5 of the environment code or a prefect’s ordinance indicated in III of the same article is updated, the technical inspection file is completed upon the execution of the legalised sale deed by a natural and technological risk report or by the update of the existing statement.

Ø       Mines – Radon – Game reserves – Conservation area – Flood hazards

Pollution hazards

Ø       Plots located on listed heritage sites-soil pollution

Sanitation project

Ø       Sanitation public network – construction of individual sanitation facilities 

Sanitary diagnosis

Ø       Asbestos: Sellers shall provide a report mentioning the presence or absence of asbestos-containing products or materials since the building permit was issued before July, 1st 1997.

Ø       Lead exposure: To avoid lead poisoning, sellers must provide a lead exposure risk statement of least than 1 year old, covering the private sections used for housing purposes in the building built before January,1st 1949.

Ø       Termites: Sellers shall provide a report relating the presence of termites in the buildings issued less than 6 months before the execution of the legalised deed because the building -or fraction of building- is located in infected areas (South West of France, Atlantic and Mediterranean coasts, The Rhone, Garonne and Loire surroundings as well as Paris and its suburbs.). 

Technical reports

Ø       Sellers must provide an energy performance report prepared less than 10 years old before the legalised deed execution date. This report will record the key information that affects the energy efficiency of a property (eg: green-house effect…).

Ø       Inside Gas system report: Sellers must provide an inside gas system report of less than 3 years because the building is used for housing purposes and the inside gas system was completed more than 15 years ago.

(3) Cancellation Period

If the purpose of this private undertaking is for a non professional buyer to buy a dwelling building the SRU act provides for a cancellation period (article 271-1 of the construction and housing code) of 7 days as from the first service of the letter notifying the deed. The cancellation right is exercised by registered mail with acknowledgement of receipt, or any other mean offering similar guarantees.

(4) Payment:The fees 

The absence of agency prevents the agent from getting any commission on the sale. To be paid, he must have been appointed to assist in the sale. Once, the sale is granted and accepted on ordinary and legal terms, he can be paid. (See the chart below).The agency fees should be paid by the buyer.

Fees are stated as a percentage of the selling price:        
   

The fees in the estate transactions

Any estate purchase are submitted to taxes which differ according to either the type or occupancy of the property.

Registration rights For fully realised goods (dwelling, workspaces, and businesses), plots and lease-back. It corresponds to 5.09% of the selling price and its amount is paid by the buyer. added to that the mortgage agent’s fees.

VAT When an uncompleted building, a new building or a building completed less than five years ago is sold, the Tax status to be applied is the Real Estate V.A.T. It must be paid by the seller. The expressed price in the deed of sale always includes tax. The real price is actually the tax non-included price, to which the seller adds the V.A.T. to reach the final price. In that case, the buyer should also pay a tax called “publicité foncière”(O.715%rate) which corresponds to the legal obligation to post the announcement of a real estate transaction.

Pay all costs, duties and fees hereof ,as well as any one resulting from or in connection with this deed.

The estate agent fees (detailed fees in the chart above), or the conveyancing fees charged by the solicitor.

Conveyancing fees shall also be paid for the notarial deed.