The most common way to sell a property in France is with an estate agency – referred to as an ‘Agence Immobilière’. Estate agency offices are ubiquitous in France, and they can even be found in small, rural villages. As in the UK, estate agents in France can be employed to represent both buyers and sellers, but they offer their services according to three main types of agreement.
Most mandates agreed with real estate agents in the UK are based on an exclusive agreement. However, such arrangements are more rare in France. Sellers can select two or more estate agents to market their property – or opt to sell the property privately – which is why ‘for sale’ signs are not widespread in France. If you want to reach as many potential buyers as possible, it can make sense to list your French property with several agencies. However, choosing which of the three main types of mandate is best for you can depend on your specific circumstances.
Referred to as a ‘mandat exclusif’ in France, an exclusive agreement gives your chosen agency exclusivity in the marketing and final sale of your property. While this form of agreement stops you from selling your property with other agencies, you are still free to find a buyer privately. However, having signed a ‘mandat exclusif’, you must direct the buyer to your agency, and exactly the same rate of commission will be payable.
If you are not around to conduct viewings, this type of agreement will usually mean you can hand the entire responsibility of selling your home over to the agent. This type of mandate usually lasts for three to six months, but cancelling the agreement will probably require giving your agent formal notice in writing.
A ‘mandat semi-exclusif’ is a semi-exclusive agreement that leaves you the option of finding a buyer yourself. And unlike the exclusive mandate, finding a buyer yourself will mean you are only liable for a percentage of the commission charged by your chosen agency – usually 50 percent. However, this agreement does not permit you to sign concurrent agreements with other estate agencies.
Referred to in France as a ‘mandate simple’, a non-exclusive agreement with an estate agency means you are free to list your property with as many agencies as you wish. You also have the option of looking for buyers yourself. You pay commission to the agency that secures the sale of your property; however, you are free to use any agency to process the necessary paperwork if you find a buyer yourself. You will also have the option of working directly with a ‘notaire’ – a property specialist who deals with the legal aspect of property transactions in France.
Regardless of whether or not you decide to enlist the services of an estate agent, the use of a notaire to complete the legal work is compulsory. From the drawing up of a ‘compromis de vente’ to the final ‘acte de vente’, your notaire will ensure that your sale is legally compliant. As the seller, you will normally appoint a notaire yourself, but it may be the case that a different notaire is appointed by the buyer. The fees payable for legal charges will then simply be split equally between both legal representatives. If you decide to use an estate agency to complete the sale, they will suggest reliable and competent notaires who are locally based.
The expert advice, knowledge and experience an estate agent can bring could be invaluable if you are selling property for the first time in France. By choosing the right agent with the best type of mandate for your personal circumstances, you can ensure the sale of your property is both speedy and profitable.
This article was written by French Mortgages Made Easy