Mortgages
We guide foreign clients through the legal process of securing a mortgage in France. Whether your loan is from a French or international bank, we draft the official deed to register the mortgage or pledge (hypothèque, HSPD, nantissement) and ensure full legal compliance.
Contact us for tailored mortgage and financing advice in France.
We liaise with your bank, structure the guarantee, and advise on the best way to finance your purchase—taking into account joint ownership, tax implications (rental income, wealth tax), and company ownership (SCI, SARL, etc.).
« With our support, your investment is protected by a legally valid and enforceable security under French law, giving you peace of mind. »
Securing mortages
It is one of the main legal responsibilities of a notaire to secure the mortgage (French mortgage or mortgage from a foreign bank) on French properties. Under French law this kind of guarantee is a lien on the property (this includes mostly the hypothèque légale spéciale de prêteurs de deniers HSPD and the hypothèque) or on French shares (French pledge or nantissement).
We will liaise with your French (or foreign) bank or creditor and draft the French deed required to register the charge or pledge.
Advice on the way to finance your project
We can advise on the best way to finance your purchase, the type of mortgage, amount to borrow considering your potential taxation on rental income and wealth tax liability in France.
When financing a French investment it is important to anticipate any technical issues with the bank i.e; who should borrow when purchasing in joint names (indivision), is a caution hypothécaire or a third party agreement required?… If the purchase is in the name of a French property holding company (SCI, SARL…), the bank should be aware of this from the beginning.
Securing a mortgage is a fundamental legal process which requires very clear advice and information.
Why do I have to write that I do not intend to use a mortgage ? Whereas I will do it (and my position is only to make the vendor knowing that it will not be a condition).
This is a very specific process requiring a “handwritten statement (“mention manuscrite”). Under French law, article L. 313-41 of the Code de la Consummation provides that when a property is purchased with the help of a loan, the sale is automatically conditional upon the buyer obtaining that loan.
This means that if the loan is refused, the buyer may withdraw without penalty, and the deposit must be refunded. However, a buyer who is paying entirely in cash (without any bank financing) may waive this legal protection.
This is also often agreed with vendors or developpers to make the buyers offer to purchase more attractive…The handwritten statement confirms that the buyer understands the consequences of waiving the loan condition — namely, that the sale will no longer be cancelled if financing is not obtained.
The buyer therefore remains bound to complete the purchase, or risks losing the deposit
Is there any attention to bring on the mortgage process when purchasing in several names in the form of a French Indivision?
Yes, as the debtor (the exact borrower) will need the agreement of the others (children, spouse, friends….) to secure the mortgage and extend the charge on the entire property.
This agreement is named “caution hypothécaire” and would generate additional tax and costs. The bank will have to send a contract to each of the owners. Of course if the bank does not require any charge to secure the loan there would be no additional costs.
Can I use a mortgage from a foreign bank to finance my French property?
Yes, it is legally possible to use a foreign bank loan. However, the foreign bank must agree to register the mortgage (“hypothèque”) in France, which requires working with a French notaire.
In practice, few foreign banks are willing to do so, and the notaire will need a certified mortgage deed compliant with French mortgage registration standards. Delays and additional translation costs should also be anticipated.
What happens if I change banks after signing the pre-sale contract?
If your financing offer is not yet finalized, you may change banks, provided the new loan meets the original conditions (amount, duration, interest rate).
However, if you have waived the loan condition or missed deadlines, the change may not be allowed. It’s important to inform your notaire as early as possible to ensure compliance with the contract timelines.
When is the mortgage officially registered in France?
The mortgage is registered by the notaire at the Land Registry (“Service de la Publicité Foncière”) on the day of completion or shortly after.
It becomes enforceable against third parties from the moment of registration, and it gives the bank legal security over the property until the loan is fully repaid.
How long does a French mortgage last on the property title?
By default, a mortgage in France is valid for 50 years unless earlier discharged.
Even after full repayment, the mortgage will not be automatically removed from the land registry. A formal release deed (“mainlevée”) must be signed before a notaire and registered, often at the buyer’s or bank’s request during resale or refinancing.
Can the bank cancel the loan offer before completion?
No, once the loan offer has been officially accepted by the borrower (after a mandatory 10-day cooling-off period), the bank cannot unilaterally cancel it.
However, if false information was provided or essential conditions are not met (e.g., life insurance, mortgage guarantee), the loan may be suspended or annulled.
What are the typical notaire costs related to a mortgage?
In addition to property purchase costs, mortgage registration fees include notaire fees, registration tax (approx. 0.715% of the guaranteed amount), and administrative disbursements.
On average, these costs range between 1% and 2% of the mortgage amount. The notaire collects and pays them on your behalf during the transaction.
Is it possible to finance renovation works with the same mortgage?
Yes, many banks offer a single mortgage covering both the purchase and renovation costs.
In such cases, you must provide detailed estimates or invoices. The mortgage registration will reflect the total loan amount, and the funds may be released in instalments as work progresses.
What happens if I default on my mortgage payments in France?
If you default, the bank may initiate legal proceedings after a formal notice (“commandement de payer”) remains unanswered.
Eventually, this could lead to foreclosure (“saisie immobilière”) and judicial sale of the property. French law provides delays and protections, but it’s essential to seek legal advice immediately if facing difficulty.
Can private banks outside France finance French property and will a notaire act?
Yes, any non french loan or facility letter can be registered on a french property. The notaire drafts or reviews the security deed and registers it with the land registry in relation with the lendor.