Good news for those looking to put their holiday homes in the French Riviera on the market – potential buyer interest is going strong, despite the current global pandemic. Though at a much slower rate, the property market in France continues to thrive. If you’ve been asking yourself questions like, “How much value will my property in Monaco sell for?” or “How can I sell my house in Monte Carlo fast for market value?”
Here’s a primer on what to expect when selling a home in Monaco.
Research, research, research
Before making the move to sell your property, doing research on the local market is a must. Keep abreast of property prices for your area to maximize your selling opportunity. Getting an expert opinion from real estate professionals is vital and ensures that you are selling at the best price and at the right time. The right time to sell may be dependent on the euro exchange rate, so it behooves you to keep tabs on fluctuations, which can present you with big opportunities.
The right real estate agent
In France, only agents with a carte professionnelle are allowed to sell properties. A carte professionnelle is a license issued by the Chambre de Commerce et d’industrie (CCI). Agent fees in France are among the highest in Europe, and commissions can fall between 4%-12%. Rates will depend on whether you employ a single agent to sell your property or take on the services of several more. Be prepared to haggle. Either seller or buyer can shoulder fees but the buyer absorbs the agent’s fees if the seller shaves it off the price of their property.
The real estate agent gives your property a visit to make a few assessments and evaluations, which may include noting the size and the total number of rooms in your home. During this visit, the agent may discuss with the seller the price and pricing strategy that best suits the property, as well as walk the seller through the compulsory diagnostic tests the seller will need to organize. The agent will be able to offer their help in coordinating all of these.
Other legal issues such as droits de passage or rights of way across your property will be raised. Then, the agent issues a mandate de vente, a document that allows the agent to put your property on the market. The document will be in French, so make sure you are clear about being provided a copy in English.
Survey says…
As the seller, you have the responsibility to prepare your property for a series of diagnostic tests and surveys prior to selling. These include:
- The Diagnostique de Performance Energetique (DPE). This test provides information about the property’s energy consumption, levels of insulation, greenhouse gas emissions, and other issues that impact heating bills.
- The Dossier Diagnostique Technique (DDT), which includes tests for lead and asbestos content, gas and electrical wiring, natural risk and parasites, surface area, swimming pool security, smoke alarms, and sewage.
In France, sellers are not required to provide a structural survey but if the buyer requires it, then the responsibility of organizing and paying for it falls on the buyer.
What about taxes?
There is no capital gains tax in Monaco, but it’s best to check and double check with your real estate agent about other fees required by the French government, such as prelevements sociaux, or social charges.
These fees are applied to everyone selling their property in France. The levels of taxation in France can be tricky, so coordinating with your real estate agent and the notaire is essential. A notaire is a government-appointed officer involved in every house sale in France. They will calculate the tax due, and will assist in preparing all paperwork.
Completing the sale
Negotiations include the signing of several contracts like the compromis de vente, or the purchase contract, which details the main terms of agreement between the seller and the buyer, including the date of the final signing and turnover of the property. Usually after 3 to 4 months, the signing of the acte de vente, or the deed of sale, takes place at the notaire’s office. When this final document is signed, you can officially turn over the ownership and the keys to your property to its new owner. Congratulations! You have now successfully sold your property in Monaco!
If you’re thinking of selling your property in Monaco and the French Riviera, Spark & Partners will help you find the highest quality buyers so you can get the best price possible on your home. By joining our Monaco real estate listings, you are guaranteed maximum international exposure needed for a fast sale. Contact Spark & Partners today at +377.97.777.000 or hello@spark-estate.com. You can also send a message here.