The preliminary sale agreement in Paris: everything you need to know
Are you about to buy or sell a property in Paris? The preliminary sale agreement (promesse de vente) is a key stage in the process. Here is everything you need to know about this pre-contract and what it entails.
What is a promesse de vente?
The promesse de vente, also known as a unilateral promise to sell (promesse unilatérale de vente), is a pre-contract under which the seller makes a firm commitment to sell the property to a prospective buyer, at a set price and for a limited period.
The buyer, for their part, holds an option: they may decide to buy or to withdraw from the purchase, without having to give any reason. This asymmetry of commitment is what fundamentally distinguishes the promesse de vente from the bilateral sale agreement (compromis de vente), under which both parties are bound at the same time.
The essential elements of a promesse de vente
To be legally valid, a promesse de vente must contain several mandatory provisions:
Precise identification of the property: exact location, floor area and essential features.
Sale price: clearly stated in the deed.
Option period: the period during which the buyer may exercise the option.
Conditions precedent (conditions suspensives): notably obtaining a mortgage.
The option fee (indemnité d'immobilisation)
The buyer generally pays the seller an option fee (indemnité d'immobilisation), usually amounting to between 5% and 10% of the sale price. This sum is consideration for the seller's exclusive commitment.
If the buyer exercises the option: the fee is deducted from the final price
If the buyer withdraws: the seller keeps this sum as compensation
How long the promesse remains valid
The law sets no maximum or minimum duration. In practice, the option period usually lasts between two and four months. This timeframe should allow the buyer to complete all the necessary steps, notably securing financing.
Throughout this period, the seller cannot go back on their commitment: they can neither sell to a third party nor change the terms of the sale.
The buyer's cooling-off period
The buyer benefits from a statutory 10-day cooling-off period (délai de rétractation), starting the day after the letter notifying them of the deed is first presented to them.
During these 10 days, the buyer may withdraw without giving a reason and without penalty. The option fee is then refunded in full.
What happens when the option is exercised
When the buyer decides to exercise the option within the agreed timeframe, they notify the seller of their decision. Exercising the option turns the unilateral promise into a binding sale. Both parties are then irrevocably committed, and the transaction must be completed before a notary.
If the conditions precedent are not met (notably if a mortgage application is turned down), the buyer recovers their option fee and both parties are released from their commitments.
The notary's role and the pitfalls to avoid in a promesse de vente
Maître Augustin A, notary in Paris (75005), explains:
"From the promesse de vente stage onwards, the notary requests and reviews most of the documents that will be needed to sign the final deed of sale. This gives the buyer a precise understanding of the property right from the start of the purchase process.
The notary also plays a preventive role by identifying any legal issues that could delay, or even jeopardise, the final sale.
A pitfall to avoid: the mortgage application must strictly comply with the conditions set out in the unilateral promise to sell (maximum amount, maximum term and interest rate). Otherwise, the buyer risks losing the option fee."
Dante Immobilier supports you from the first valuation appointment right through to handing over the keys. Do you have questions about the promesse de vente or a property project in Paris? Do not hesitate to contact us!
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