Signing the reservation contract
Once you have chosen your new ski property (apartment or chalet), you will need to sign the reservation contract prepared by Ski property Shop admin team.
Before you do so, our team will introduce you to a reputable English speaking notaire (property solicitor) and he will explain, free of charge, all the legal aspect to you as well as checking the contract itself.
Usually, French residents sign it without the help of a notaire but we prefer to offer this extra service as it is reassuring when you are buying abroad in a foreign country, especially as the contract needs to be in French.
As is usual with property reservation contracts, you have a 14-day cooling-off period should you decide to pull out (once you have a copy of reservation contract signed by the developer). It is 10 days for French residents (new law Aug 2015).
The reservation contract content
A few points need to be included in your French reservation contract:
A brief description of the ski property, typically number of rooms/bedrooms, living surface, terrace/balcony, name of development and location.
A technical description of materials used and amenities for property and common areas if part of an apartment development.
The price agreed and the conditions linked to that price.
The time scale for signing the contract and the deeds. Usually anything between 2-8 months. If you need a French mortgage to finance your ski property it usually takes a minimum of 10 weeks to obtain the loan.
The conditions related to deposit refund and different conditions for cancellation.
Date of delivery when you buy your ski property off-plan is usually stated but it is not a condition.
When you need a French mortgage to finance your ski property, the reservation contract will need to state it and if possible the amount and timescale, the bank chosen, etc. It is important to state that you are taking a French mortgage as this will guarantee the refund of the reservation deposit should you receive a mortgage refusal from the French bank.
The reservation deposit to reserve your ski property
When you sign a reservation contract you need to send a deposit to the escrow account at the notaire (usually 5%) to reserve the property. At Ski Property Shop we always make sure you speak to your English-speaking property lawyer (notaire) before you send any money.
If the exchange of deeds is planned to take longer than 6-8 months deposit is usually reduced to 2% of the property price. The deposit amount is then deducted from the amount that you have to pay when you exchange deeds/contracts and become the legal owner of the property.