Good news: there are no legal restrictions for US buyers. A US resident can purchase real estate in France, whether it's a second home, a rental investment, or a luxury property.

💶 2. Financing: A real issue for non-residents
• Cash purchase: The simplest solution. The buyer transfers the funds from the United States. Be careful: the notary and the French bank must verify the origin of the funds (anti-money laundering procedures).
• Purchase with credit:
• French banks agree to finance non-residents, but generally require a substantial down payment (30 to 40% minimum).
• The rates applied are sometimes higher than for residents.
• The application must be very comprehensive (income, bank statements, US tax returns, assets).
• The buyer must open a bank account in France to manage their loan and expenses.

👉 Many Americans prefer to buy in cash to simplify the transaction.
🖊️ 3. The Buying Process in France
1. Signing the preliminary sales agreement or promise of sale: 5 to 10% security deposit.
2. Notary checks: title deeds, urban planning, diagnostics, source of funds.
3. Signing of the authentic deed: 2 to 3 months later, at the notary's office.

The notary's role is central: they secure the transaction and represent the French government.

📊 4. Expected Fees
• Notary fees: 7 to 8% for existing properties, 2 to 3% for new properties.
• Local taxes: property tax, housing tax (if a second home).
• Insurance: mandatory home insurance, borrower's insurance if you have a loan.

💼 5. Taxation for an American property owner in France
• Rental income: Taxed in France (mandatory declaration), even if the owner lives in the United States.
• Capital gains on real estate: Taxed in France upon resale.
• France-United States tax treaty: Avoids double taxation. Taxes paid in France are deductible from US income tax.
• ⚠️ FATCA (Foreign Account Tax Compliance Act): French banks must report accounts held by US citizens to the US authorities. This can complicate opening a bank account.

🛠️ 6. Remote property management

An American who does not live in France must anticipate:
• Rental management (rent collection, maintenance, technical management), entrusted to a local agency.
• Tax returns in France, often managed by a certified public accountant or tax representative.

✨ In summary

Buying in France for an American is entirely possible and secure:
• ✅ Complete freedom of purchase,
• ✅ Protective legal framework,
• ✅ Attractive luxury market,
• ⚠️ But there are some constraints: high down payment if you have a loan, stricter banking procedures, and tax obligations related to the United States (FATCA).

At Carole BOURGADE Luxury Real Estate, we support our international clients every step of the way: property search, bank account opening, connection with specialized notaries and lawyers, rental management, and tax monitoring.