BUYING A HOME IN FRANCE

OUR OFFER

• A bilingual team is avalaible for non-residents who want to buy a property in France. They can be contacted by phone and e-mail.
• Our specialists will assist you in getting started, during your buying process and at every key stage of your purchase.
• All our documents are either in English or provided with an English translation (account opening + mortgage, application form, life cover subscription, mortgage contract).
• Our team has details of English-speaking professionals (e.g. notaires, solicitors): they can put you in touch with them should you wish.
• No need to come to France to fill in or to sign our forms: all the documents regarding your mortgage and your HSBC France account can be completed abroad.
• Your HSBC France account can be used to pay the direct debits for French taxes, electricity, telephone or gas bills.

BACK TO TOP

YOUR MORTGAGE

Mortgage main features

• Capital + interest repayment EURO mortgage.
• Loan to valuation ratio: up to 80% of the purchase price or our valuation whichever is lower (excluding legal fees).
• Minimum Amount: EURO 50,000.
• Maximum term: 20 years.
• Interest rate: fixed, variable or capped rate, your relationship Manager will be happy to assist you in making the best choice depending on your personal situation and to give you a tailor-made quotation.
• Early repayment can be made at any time, however a penalty equivalent to 3% will be charged for fixed rate mortgages⁽¹⁾.
• Security: a first legal charge (mortgage).
• Mortgage insurance:
       - Life cover is mandatory and is provided by HSBC Assurances*. This insurance will pay all or part of your remaining mortgage amount in the event of death or permanent incapacity. Insurance cost is calculated monthly based on the outstanding capital.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR OTHER DEBT SECURED ON IT. Currency Risk: It is worth considering how to protect yourself against currency risks. The foreign exchange market can be unstable and anyone looking to undertake a large transaction should be aware of the risks. CHANGES IN THE EXCHANGE RATE MAY INCREASE THE STERLING EQUIVALENT OF YOUR DEBT.

Subject to application approval. Under French law, a borrower is unabble to accept any offer made until at least 10 days have passed starting from the day the offer is made. If the purchase is subject to a loan offer and the loan aplication is refused then the sailer is normally obliged to refund any deposit paid.

Eligibility main criteria

• Applicants must be at least 18 years of age and the loan must be repaid in full before the age of 75.
• Minimum yearly income of EURO 60,000 Net (after taxes)
• Regular and stable income:
       - Employed applicants: we normally require you to have worked for the same company for at least 12 months.
       - Self-employed: you must have run your business for at least 3 years.

Download our Buying a Home in France Brochure

And get more details on: HSBC services, non-resident mortgages, interest rates, the French purchasing process, the role of the "notaire", rates and taxation.

Download the brochure

*HSBC Assurances is a HSBC subsidiary, regulated by the French Insurance Code. Full terms and conditions will provide you when you apply for this product.

(1) Example: for a 40-year-old borrower and a 10 year loan of 100,000 €; Aggregate Effective Rate ("TEG") = 4.44 % (including interest and insurance), Monthly repayments = 1,033.49 € (including insurance). Total cost = 24,019.80 €.

BACK TO TOP