How to Buy Property in France as an American: Compromis de Vente, the Notaire's Role, and What to Report to the IRS

Updated: May 14, 2026

Americans can buy property in France without restriction. There is no citizenship requirement, no visa requirement, and no minimum residency condition for the purchase itself. What the French property market does require is a fundamental shift in how you think about every stage of the process. There is no MLS, no buyer's agent acting exclusively on your behalf by default, no escrow company separate from the closing attorney, and no standard sequence of contingencies and counteroffers that maps onto the US real estate transaction. The notaire, who is the only legal professional involved in a French property closing, is a public official who simultaneously represents both buyer and seller. The transaction costs add approximately 7 to 8 percent to the purchase price on top of the negotiated price. And the IRS has specific expectations about what US citizens owning French property must disclose, expectations that most American buyers learn about only after the closing. This article explains the full purchase process, the costs, and the US reporting obligations, so you go in with accurate expectations. This article is for informational purposes only and does not constitute tax or legal advice. Tax rules are complex and change frequently: consult a qualified cross-border tax professional before making any filing or planning decisions.

How the French property market differs from the US

The absence of a centralized MLS is the first structural difference that shapes the entire search process. Properties in France are listed with individual agencies (agents immobiliers), and many properties are listed simultaneously with multiple agencies at the same price. This means the same apartment may appear on multiple agency websites. A property owner may also sell directly without any agency, which is common through the platform Le Bon Coin (leboncoin.fr) and the PAP (Particulier à Particulier) platform, saving the agency commission.

Agency commissions in France are typically paid by the seller, though the commission is technically negotiable and is sometimes shared or structured differently for new-build purchases. Commission rates generally run between 3 and 8 percent of the purchase price. When an agency listing states "frais d'agence inclus," the commission is already included in the posted price. When it states "frais d'agence en sus," the commission is charged on top. Always verify which applies before comparing prices.

There are no buyer's agents in the US sense, but there is a profession called chasseur immobilier, a property hunter who works exclusively for the buyer and is paid by the buyer rather than by the commission from the seller. In competitive markets like Paris or Lyon, a chasseur is a real advantage for Americans unfamiliar with local micro-market dynamics. They identify properties before they reach public listings, manage the appointment process, and advise on pricing. Their fee is typically 1 to 3 percent of the purchase price, paid at closing.

The offer process in France is also structurally different. An offre d'achat (written purchase offer) is a document the buyer submits to the seller stating a proposed price and conditions. Unlike the US, where an accepted offer creates a binding agreement, a French offre d'achat is generally not considered legally binding in the same way on the seller. Sellers can receive multiple offers and select among them. The truly binding contract is the compromis de vente, which both parties sign at a subsequent stage.

Finding a property and making an offer

Property search in France primarily happens through: agency websites and platforms such as SeLoger, Logic-Immo, and Bien'ici; private listing platforms including Le Bon Coin and PAP; and, for higher-end properties, networks such as Belles Demeures, Sotheby's International Realty France, and specialist agencies in specific regions.

Once you identify a property and decide to pursue it, the process moves to a verbal expression of interest, then a written offre d'achat, and, if accepted, to the compromis de vente. Between the offer and the signing of the compromis, the notaire begins their preliminary checks: title history, outstanding mortgages on the property (hypothèques), any pre-emptive rights (droits de préemption) held by the municipality or a co-owner, and the property's legal description.

One timing reality that Americans consistently underestimate: the gap between an accepted offer and the signing of the compromis de vente is typically one to three weeks for straightforward properties. Coordinating notaire availability, collecting documents from both parties, and preparing the preliminary contract takes time. Do not make non-refundable travel plans or give notice on a US lease based on an accepted offer alone.

The compromis de vente: your binding preliminary contract

The compromis de vente is the document that commits both buyer and seller to the transaction. It sets out the agreed price, the property description, the conditions suspensives (contingencies), the anticipated closing date, and the deposit amount.

Conditions suspensives are legally mandated protections for the buyer. The most important for American buyers are: the financing condition (if you intend to use a mortgage, the compromis must include a clause stating the sale is conditional on obtaining financing), the clear title condition, and often a condition related to the results of the mandatory diagnostic surveys. If a financing condition is included and the bank declines the loan, the buyer is entitled to withdraw and recover the full deposit. If no financing condition is included and you then fail to obtain financing, you forfeit the deposit.

The deposit at compromis signing is typically 5 to 10 percent of the agreed purchase price. This deposit is held by the notaire in their escrow account during the period between the compromis and the acte de vente (the final deed). It is not held by the agency and it is not released to the seller until closing.

After signing the compromis, the buyer has a 10-day cooling-off period during which they may withdraw from the purchase for any reason and receive a full refund of the deposit. This délai de rétractation begins the day after the buyer receives the signed compromis by registered mail or through the notaire. After the 10-day period, withdrawal without cause means forfeiture of the deposit, and in some cases the seller may pursue additional damages.

The period between the compromis and the acte de vente is typically three months, though it can range from six weeks to four months depending on the complexity of the transaction, financing needs, and notaire workload. This is the period during which mortgage approval is obtained (if applicable), the notaire completes their full title and administrative checks, and the diagnostics are reviewed.

The notaire's role: what this public official actually does

The notaire in France is not a private attorney in the US sense. They are an officier ministériel, a public official appointed by the French state, who holds a legal monopoly over real estate transactions. Every property sale in France must pass through a notaire. There are no exceptions.

What makes the notaire's role structurally unfamiliar to Americans is that the same notaire can legally represent both buyer and seller in the same transaction. This is not a conflict of interest under French law because the notaire is functioning as a public official rather than as an advocate for either party. The notaire's job is to ensure the transaction is legally valid, properly documented, and correctly taxed, not to negotiate on behalf of either side.

American buyers can, and often should, appoint their own notaire in addition to the seller's notaire. The two notaires divide the work, communicate directly with each other, and share the fees from the transaction. The buyer does not pay more by having two notaires: the total frais de notaire remains the same. Having your own notaire gives you a point of contact who explains the documents to you and answers your questions about the transaction, which is particularly valuable when you are navigating an unfamiliar legal system. The official website of the Conseil Supérieur du Notariat has a notaire search tool and explains the role in detail.

Beyond the legal formalities, the notaire performs several specific checks during the compromis-to-acte period: they verify the full chain of title, confirm there are no undisclosed mortgages or liens, check the status of the property within its copropriété (if applicable), verify that all mandatory diagnostics have been provided, confirm the municipality has not exercised its right of pre-emption, and calculate the exact taxes and fees due at closing.

Mandatory diagnostics: the dossier technique de vente

French law requires sellers to provide a dossier of technical diagnostics before or at the compromis de vente. The buyer reviews these and their results can affect the negotiation. The diagnostics include, depending on the property's age and characteristics: the DPE (diagnostic de performance énergétique, the energy efficiency rating), an asbestos report for properties built before 1997, a lead paint report for properties built before 1949, a termite and insect infestation report, an electrical installation assessment, a natural and technological risk assessment (ERP), and a gas installation assessment for properties with gas.

These diagnostics are provided by the seller and paid for by the seller. They do not give the buyer the right to withdraw from the transaction simply because results are unfavorable, unless the compromis specifically includes a condition tied to diagnostic outcomes. What they do is provide information that may affect your negotiation of the price or your decision to proceed. In our experience, American buyers sometimes assume that a poor DPE rating or the presence of asbestos automatically entitles them to a price reduction or gives them grounds to exit. It does not unless written into the conditions suspensives. Review the diagnostics before signing the compromis, not after.

For apartment purchases, the seller must also provide the last three years of copropriété meeting minutes, the most recent maintenance charges statement, the share allocation within the copropriété, and information about any major works voted or in progress. Review these carefully. Upcoming major works (ravalement de façade, roof replacement, elevator upgrade) can generate unexpected charges within months of your purchase.

Total cost to the buyer: frais de notaire and ongoing taxes

The purchase price is not the only cost. American buyers who budget only the negotiated price consistently underestimate the total cash needed at closing.

The frais de notaire, which apply to all real estate transactions and are paid by the buyer at the acte de vente, consist of two main components. The first and largest is the droits de mutation (transfer taxes), which for existing properties (ancien) run approximately 5.8 percent of the purchase price. For new-build properties (neuf) or properties under five years old sold by a developer, the applicable rate is lower, typically around 0.7 percent, though VAT at 20 percent is added to the developer's price. The second component is the notaire's own professional fee, which is regulated by the French government on a sliding scale and typically amounts to approximately 0.8 to 1.2 percent of the purchase price. Combined, the frais de notaire for an older property total approximately 7 to 8 percent of the purchase price. For new builds, the combined fees are lower, but the developer's margin offsets much of the transfer tax savings.

French tax administration guidance on transfer taxes is available at impots.gouv.fr.

Ongoing ownership costs that Americans must budget for:

Taxe foncière is the annual French property tax paid by the owner, due each October. The amount varies by location, property size, and local tax rate. For a two-bedroom apartment in Paris, annual taxe foncière typically ranges from a few hundred euros to over a thousand euros depending on the arrondissement.

Taxe d'habitation has been largely eliminated for principal residences but may still apply to secondary residences. If you are buying a vacation property or a French address you will not use as your primary residence, verify the current taxe d'habitation status with the notaire before purchase.

Charges de copropriété are the ongoing HOA-equivalent fees for apartment buildings. These cover shared building maintenance, elevator operation, cleaning of common areas, building insurance, and the syndic's management fees. Annual charges typically run from 1,000 to 5,000 euros for a Paris apartment, with wide variation depending on building age, amenities, and any capital works underway.

Financing your purchase: cash, wire transfer, and French mortgage

Americans who buy French property with cash face a practical challenge: transferring a large sum of USD to a French notaire account. International wire transfers of over $10,000 must be reported to FinCEN by US banks. Very large transfers may trigger additional compliance review from both US and French institutions. Wire directly to the notaire's Caisse des Dépôts account using a SWIFT transfer, and coordinate with your US bank well in advance. Transfers of several hundred thousand dollars sometimes take three to five business days to settle and may require a phone verification with your bank's international wire team. Do not schedule the acte de vente before confirming the transfer timeline with your bank. Our guide to preparing US finances before moving to France covers the practical mechanics of large international transfers.

Americans who want a French mortgage face FATCA-related complications. Most French banks are cautious about lending to US citizens because of FATCA compliance obligations, though a number of French banks do actively lend to Americans. Our French mortgage guide covers which banks currently lend to US citizens and what they require in terms of documentation, down payment, and income verification. If you plan to finance the purchase, obtain a mortgage pre-approval letter before signing the compromis de vente and ensure the financing condition suspensive is included.

For ongoing property management costs in France, a French bank account is practically necessary for paying taxe foncière, charges de copropriété, utility bills, and rental income if applicable. This is also one of the accounts that creates US reporting obligations, covered in the next section.

The acte de vente: signing day, keys, and title registration

The acte de vente is the final deed of sale, signed at the notaire's office by buyer and seller (or their authorized representatives if signing by proxy). Before the appointment, the buyer must transfer the full remaining purchase price, plus the frais de notaire, to the notaire's escrow account. The notaire will confirm receipt of funds before proceeding.

At the signing, the notaire reads the acte de vente aloud in full in French. If you are not fluent in French, you are legally entitled to bring a certified interpreter to the signing. The notaire cannot force you to sign a document you do not understand. Some notaires who handle international clients can explain key sections in English, but this is not guaranteed and should be confirmed in advance.

Once both parties sign, the property legally transfers to the buyer. Keys are handed over at the notaire's office immediately after signing. The notaire then registers the sale with the bureau des hypothèques (land registry), which takes several weeks. You will receive your formal titre de propriété (title certificate) approximately four to six months after the acte de vente once the land registry processing is complete. Ownership is legally effective from the signing date, not from when the title certificate arrives.

What to report to the IRS about French property

This is the section of the purchase process most American buyers discover late, often after they have already closed. The requirements are specific and the consequences of non-filing are significant.

Owning French real estate does not itself trigger an FBAR filing requirement. The FBAR reports foreign financial accounts: bank accounts, brokerage accounts, and similar financial instruments. A house or apartment is not a financial account. The property itself does not go on the FBAR.

However, two connected situations do create FBAR exposure. First, if you open a French bank account to manage property expenses, mortgage payments, or rental income, and that account exceeds $10,000 at any point during the calendar year, it must be reported on your annual FBAR (FinCEN Form 114). Second, during the period between your compromis signing and your acte de vente, your deposit sits in the notaire's escrow account. Whether this creates an FBAR obligation depends on whether you are considered to have a financial interest or signature authority over the escrow. Most tax advisors treat the notaire's escrow as outside the buyer's control, but this is an area where conservative disclosure is worth discussing with a cross-border tax professional before your closing.

Form 8938 (Statement of Specified Foreign Financial Assets): Real property held directly in your own name is not a specified foreign financial asset and does not need to be reported on Form 8938. However, if you purchase French property through a French legal entity such as an SCI (Société Civile Immobilière), the SCI interest is a specified foreign financial asset that may require reporting on Form 8938 and potentially on other international information returns. SCIs are sometimes used by Americans buying with French co-owners or as an inheritance planning vehicle. If this applies to your purchase, consult a professional familiar with US international tax rules before you choose the ownership structure. The IRS guidance on foreign financial assets explains the reporting thresholds and asset categories.

If you rent out the property, French rental income must be reported on your US federal tax return. The US-France tax treaty and the foreign tax credit (Form 1116) typically prevent double taxation, since you will also pay French income tax on rental income as a French tax resident or as a non-resident with French-source income. Our article on US taxes when living in France covers how the treaty and the foreign tax credit interact.

If you sell the property, both French capital gains tax and US capital gains tax may apply. France taxes non-resident sellers on gains from French real estate, with an abatement schedule that reduces the gain over time. The US taxes the gain as a capital gain on your federal return. The foreign tax credit is available but the mechanics are complex. Our article on selling your US home after moving to France provides useful context on the cross-border tax framing for property disposals, though it focuses on US property. A cross-border tax specialist should be consulted before you sell French property.

Common mistakes to avoid

Budgeting only for the purchase price is the most expensive mistake American buyers make in France. The 7 to 8 percent frais de notaire on existing properties is non-negotiable, paid entirely by the buyer, and must be available as cash at the acte de vente. On a 400,000 euro apartment, that is approximately 28,000 to 32,000 euros of additional costs beyond the purchase price. Add agency fees if payable by the buyer in your specific transaction, and the cash required at closing can be 10 to 12 percent above the stated price.

Assuming the notaire is your legal representative is the second consistent error. The notaire is a public official, not your attorney. They will ensure the transaction is legally valid and properly documented. They will not negotiate on your behalf, flag issues that favor you over the seller, or advise you on whether the price is fair. If you want independent legal advice on the transaction, you can consult a French avocat (attorney) separately from the notaire process. For complex purchases involving cross-border tax planning, inheritance structure, or commercial use, independent legal and tax advice is worth the cost.

What we see most often: American buyers who wire funds to the notaire's account at the last minute, only to discover that their US bank requires an in-person authorization visit, a waiting period for large international transfers, or additional compliance documentation. The notaire's account must be funded before the acte de vente can proceed. If the funds do not arrive, the closing cannot happen and the buyer may be in breach of the compromis. Plan the wire transfer at least two weeks before the acte de vente date.

Not reviewing the copropriété documents carefully before signing the compromis is a fourth mistake. The three years of meeting minutes contain a record of disputes, upcoming major works, relationships between co-owners, and the financial health of the building. A building with a major facade restoration voted but not yet funded, or with ongoing litigation between owners, creates ongoing costs and complications that the seller is not required to fix before closing.

Practical purchase timeline

A realistic purchase sequence for Americans buying French property:

Months before closing: Begin the property search. If financing, obtain a mortgage pre-approval from a FATCA-friendly French bank. Identify a notaire or chasseur immobilier if using either.

3 to 4 months before closing: Identify a target property. Submit an offre d'achat. Negotiate and agree on price.

2.5 to 3 months before closing: Sign the compromis de vente. Pay the deposit (5-10% of purchase price) to the notaire's escrow. Review the mandatory diagnostics and copropriété documents. Begin the 10-day cooling-off period.

During the 3-month compromis period: Notaire completes title checks, municipal pre-emption verification, and administrative review. If financing, finalize mortgage approval. Arrange the international wire transfer for closing funds.

2 weeks before closing: Wire the full purchase price plus frais de notaire to the notaire's escrow account. Confirm receipt with the notaire.

Closing: Sign the acte de vente at the notaire's office with interpreter if needed. Receive keys.

After closing: Update address records, set up taxe foncière payment, establish French bank account if not already done, consult cross-border tax advisor regarding IRS reporting obligations.

When to get help

The purchase process can be navigated independently by Americans with strong organizational skills, French language ability, and experience with international transactions. The complexity increases significantly if you are buying from outside France, financing with a French mortgage, purchasing through an SCI, or dealing with a property with title complications or major works.

Professional support is worth engaging for: the notaire selection (having your own bilingual notaire alongside the seller's is worth the zero extra cost); a chasseur immobilier in competitive markets; an English-speaking avocat for complex transactions; and a cross-border tax professional before the closing to ensure your ownership structure, wire transfer approach, and post-closing reporting obligations are planned correctly. Our guide to finding English-speaking professionals in France covers how to identify qualified bilingual attorneys and tax advisors. If you need end-to-end support coordinating the financial, legal, and logistical dimensions of a French property purchase, our Concierge Membership provides a dedicated point of contact throughout the process.

FAQ

Can an American buy property in France without living there or having a visa?

Yes. There are no residency, visa, or citizenship requirements for buying property in France. Non-resident Americans buy French vacation homes, investment properties, and city apartments without any legal obligation to obtain a visa or live in France. The purchase process is the same as for residents. The primary difference is practical: coordinating a purchase from the US requires more careful planning around notaire appointments, document signings (which can sometimes be done by power of attorney), and international wire transfers. The ongoing ownership obligations, including taxe foncière and potential French income tax on rental income, apply regardless of your residency status.

How much should I budget above the purchase price for buying an existing apartment in France?

Budget approximately 7 to 10 percent above the negotiated purchase price to cover all buyer costs. The frais de notaire (which include transfer taxes plus the notaire's professional fees) typically add 7 to 8 percent for older properties. If you are using a chasseur immobilier, their fee of 1 to 3 percent adds to this. Agency fees are usually paid by the seller and already incorporated into the listed price, but confirm this for your specific transaction. New-build properties have lower transfer taxes but often include developer margin and VAT in the price. Always confirm the exact frais de notaire calculation with your notaire before the compromis signing, as the notaire can provide a precise estimate once the purchase price is agreed.

Does owning a French apartment trigger an FBAR filing requirement in the US?

The property itself does not. FBAR (FinCEN Form 114) reports foreign financial accounts, and real estate is explicitly excluded from that definition. However, a French bank account you open to manage the property, including paying charges de copropriété, property taxes, or receiving rental income, is a foreign financial account and must be reported on the FBAR if it exceeds $10,000 at any point during the calendar year. Additionally, if you buy through a French SCI rather than in your own name, the SCI interest may create both FBAR and Form 8938 reporting obligations. Consult a cross-border tax advisor before choosing your ownership structure.

What is the 10-day withdrawal right after signing the compromis de vente?

After the compromis de vente is signed, French law gives the buyer a 10-day cooling-off period during which they can withdraw from the transaction unconditionally and receive a full refund of the deposit. This period begins the day after the buyer receives the signed compromis by registered mail (lettre recommandée avec accusé de réception) or through the notaire. The 10-day right belongs only to the buyer, not the seller. After this period expires, withdrawal without cause triggers deposit forfeiture and potentially additional penalties. The cooling-off period exists specifically to protect buyers who may have felt pressured at signing or who discover issues with the property shortly afterward.

Conclusion

Buying property in France as an American is straightforward in principle and detail-intensive in practice. The absence of an MLS, the dual-function notaire, the 7 to 8 percent frais de notaire, and the post-closing IRS reporting requirements are all manageable once you understand them. The buyers who run into problems are almost always those who carried US market assumptions into a French transaction without adjusting: budgeting only for the purchase price, expecting the notaire to advocate for them, or wiring funds at the last minute.

The process rewards preparation. Know your budget including the frais de notaire before you make an offer. Have your notaire in place before the compromis. Arrange the wire transfer timeline two weeks before the acte de vente. And consult a cross-border tax advisor before the closing to understand your FBAR, Form 8938, and rental income reporting obligations.

If you want a coordinated team covering the financial, legal, and logistical dimensions of a French property purchase from the US, our Concierge Membership is designed for exactly this kind of complex, cross-border transaction.