expat mortgage in France

Tips for expats looking for mortgages to purchase a dream French property

How to get the best expat mortgage in France

If you’re an expat planning to buy your dream property in France, you may need to be aware of regulations relating to expat mortgage in France before going ahead with any purchase.

Some relevant information is highlighted below:

French mortgages for expat buyers

The good thing about buying property in France is that there are no reasons why foreign buyers cannot purchase property or qualify for expat mortgages. However, different tax implications and mortgage rules will apply. This depends on whether or not you currently live in France.

Most of the major lenders are happy to supply expat mortgages and specialist property lenders may offer English language assistance, if required.

Financial resources

Your salary or income level is the most important factor influencing likely success in gaining a mortgage. It is particularly the case for UK buyers following the decision to leave the EU.

On the whole, EU citizens can expect mortgage offers of up to 80% of the property value. However, British buyers are now finding offers can be limited to the 50% LTV, which is commonly available to all non-EU residents.

Mortgage terms in France

Mortgage terms can be from five to 26 years in length, but 15 to 20 years is most common. Your age will also be taken into consideration during the mortgage application process. It’s also standard requirement to take out life insurance at the time of mortgage application.

You will find that the typical bank mortgage interest rates are pegged around the 2.15% mark.

Fully understand legal details

You should expect the mortgage and property purchase documentation to be in the French language. Therefore, you may need to hire a translator in order to achieve a full understanding of all legal details of your purchase. 

French versions of bridging loans are also available for buyers needing to complete the sale of their overseas homes. These loans tend to be available for up to two years. They are reliant on the sale of the existing property. Loans of up to 70% of the value of the existing overseas property can be achieved, but will depend on circumstances.

HB Property can offer further specialist information regarding French mortgages for expats and the different types available to you.

Get in touch to find out more.