Property sale lawyer

Buying a flat or selling your home is an emotional time. The complexity of property law and the proliferation of standards mean that every property transaction is a source of legal risk. The number of property disputes arising from the sale of a home is increasing, not only between buyers and sellers, but also sometimes with third parties (the State, in particular where the right of pre-emption is exercised, the architect, the property manager, the estate agent, etc.).

A lawyer can help you with every property sale

OurParis property lawyers are involved at every stage in the sale of a property. Whenever necessary, we defuse the risk of property disputes:

• Disputes arising from the signing or cancellation of the compromis de vente or promesse de vente;
• Disagreement over the living area or Carrez law surface area (or any other error relating to property technical diagnoses such as the DPE energy performance diagnosis);
• Hidden defects or misrepresentation of the property;
• Liability of the estate agent;
• etc.

Goldwin Law Firm assists all parties in the management and apprehension of disputes concerning a property for sale or after the sale. The firm’s expertise and technical know-how enable it to define creative and effective strategies to best defend the interests of all those involved in property ownership.

We will explain how a property sales lawyer can help you answer all your questions, such as :

• What should I do if the seller refuses to go before the notaire to finalise the deed of sale?
• I discovered hidden defects after the sale. How can I get the property transaction cancelled or have the defects repaired?
• The buyer doesn’t want to sign the sale, even though there is no suspensive clause?
• How can I get compensation if the Carrez law surface area is inaccurate?
• I bought a property with an E energy label, but in reality it’s a “heat sink” that’s impossible to let. How can I get the seller to carry out the work?
• How do I arrange an auction?

Whether you’re buying or selling a property, don’t hesitate to call in a property lawyer at the first sign of trouble.

When should you call on the services of a property transaction lawyer in Paris?

Cabinet Goldwin is a firm of lawyers at the Paris Bar specialising in property transactions. It advises and defends any individual or legal entity involved in the sale of any dwelling.

Lawyers specialising in property sales advise sellers

Do you own a property in Paris or the Paris region? As soon as the property is put up for sale or after it has been sold, difficulties arise with your buyer over the property, the price or defects in the property?

As the seller, you have obligations towards the buyer: obligation to deliver the property sold, obligation to guarantee against hidden defects, obligation to guarantee against eviction, obligation to inform the buyer. You want to be sure that you are following the correct procedure with regard to the potential buyer of your property. Above all, you want to receive the full price of the sale and have peace of mind. Any property transaction gives the seller cause for concern: have I put the right price on it? What offer should I make? Will this buyer get his loan, or will I have to start from scratch in my search? Have I properly informed my tenant of my intention to sell my property?

The most important thing is to take advice from a solicitor before you complete the property transaction.

Property lawyers advise buyers

Has your vendor failed to deliver a property that conforms to your requirements, and have you detected any hidden defects? You haven’t obtained your mortgage: how and when should you terminate the preliminary sales agreement by invoking the suspensive clause?

If you’re looking to build up your property portfolio, how do you set up an SCI (non-trading property company)? How can you legally facilitate the transfer of your property to your children? What is the role of the lawyer compared with the notary in a property transaction?

Lawyers are also involved after the sale of a property, when work is being carried out: what can you do if the general meeting of co-owners refuses to approve work on your flat? Your architect has not complied with your requests and design faults have arisen as a result of the work. The architect has not complied with the planning regulations in force (PLU – plan local d’urbanisme).

A property lawyer advises tenants

Are you renting a flat in Paris or a house in the Paris region? Your landlord has given you notice to sell. How do you make an offer to the landlord? What happens if he sells below the price he has offered? In what cases are you allowed to stay on despite the sale?

Property lawyers advise estate agents and other professionals

A lawyer specialising in property transactions is a valuable asset for estate agents. Not only in sales disputes, but also for the agency’s entire activity: a lawyer drafts your model sales mandate, search mandate and management mandate. They draw up contracts for commercial agents and salaried negotiators. He ensures the legal security of the estate agency’s entire business.

Lawyers can also help with disputes arising from property transactions:

When amicable negotiations fail or are not appropriate, Goldwin Law Firm can defend your rights in court, particularly in the event of :

• Liability of the estate agent or notary;
• Proceedings to cancel the sale or to enforce the preliminary sale agreement and force completion of the transaction;
• Litigation relating to the sale of a property;
• Disputes relating to a provisional sale agreement, notice to sell, works carried out prior to the sale, etc.

Selling a property from A to Z

A property transaction is the transfer of ownership of a property. It follows a number of essential stages: announcement of the property for sale, compulsory information for potential buyers, negotiation of the price of the property, signature of a promise to sell or a preliminary sales agreement with the payment of a sequestration indemnity, signature of the deed of sale before a notary.

Pre-sales (compromis de vente or promesse de vente)

Once a property has been put up for sale and a buyer has made an offer that has been accepted by the seller, a preliminary sale agreement (compromis de vente) or a unilateral undertaking to sell (promesse de vente) may be signed. In a compromis de vente or promesse synallagmatique, the two parties agree to complete the transaction for the property. The buyer then pays an amount equal to 10% of the price, known as the deposit (the amount is negotiable). In a unilateral promise to purchase, only the seller undertakes to sell the property at a specified price, within a certain period and without being able to withdraw. In exchange, the buyer pays a down payment of 10% of the sale price. If the buyer withdraws from the sale, the indemnity is forfeited.

If one of the parties defaults, the other may apply to the courts forenforcement of the promise to sell or payment of damages. The synallagmatic promise to sell is accompanied by a penalty clause in the preliminary sales agreement. The escrow is returned to the seller if the buyer withdraws after the legal deadline or if the conditions precedent are not met.

The wording of suspensive clauses and resolutory clauses is particularly important. The most common are the clause suspending the granting of a mortgage or planning permission. Some future buyers use this clause to withdraw from the sale after the legal withdrawal period in the preliminary sales agreement. In other cases, in a tight property market such as Paris, the vendor may ask not to include this clause. To obtain this flat, the buyer assumes the risk of not obtaining a loan.

Common disputes in property transactions

• Incorrect Carrez law surface area

In Paris, the price per square metre exceeds €10,000. That’s why buyers want to know the exact surface area of their property. As part of the compulsory technical diagnosis file (DDT), any property in a condominium must state the loi Carrez surface area in the promise of sale and the final deed of sale.

For detached houses, the surface area is not compulsory, but if it is mentioned in the deed of sale, the seller is liable for it. The buyer may request a reduction in the price(article 1617 of the French Civil Code).

Buyers have one month from the date of signature of the deed tocancel the sale if the required surface area is not specified. They also have one year to take legal action to reduce the price if the surface area is incorrect by more than 5%. The buyer acts against the seller directly (and not against the estate agent, notaire or quantity surveyor), and even if he knew of the difference, bad faith is inoperative.

• Action under the warranty for hidden defects in a dwelling

A buyer can take legal action against the seller for hidden defects. The number of legal actions is tending to fall as a result of the increasing number of technical property diagnoses. According toarticle 1641 of the French Civil Code, hidden defects are those that render the property unfit for its intended use, or that reduce its value to such an extent that the buyer would not have purchased the property or would only have paid a lower price for it if he or she had been aware of them.

A number of conditions must be met for an action to be brought under the warranty for hidden defects:

• serious defects (fungus on the roof structure, high levels of damp or leaks, cracks in a concrete slab, etc.).
• defects that are not apparent: a hidden defect is not necessarily concealed by a seller acting in bad faith, but escapes the normal attention of a buyer. Where professional expertise or dismantling is required, the courts tend to consider that the defect is hidden.
• Defects that occurred prior to the sale (or at the same time).
• defects of which the purchaser was unaware: the information contained in the diagnostic file cannot be used as a basis for legal action. It is therefore essential to read every page of the DDT in detail.

Legal action is available for 2 years from the discovery of the defect, and may result in thecancellation of the sale or a reduction in the amount paid. If the seller is a property professional, they are presumed to be aware of the defects.

Property sales by auction

When a homeowner is unable to repay their loan to the bank, if the bank has taken out a mortgage on the property, it can request the seizure of the house or flat. The debtor can be summoned to appear before the court after a formal notice to pay has been served by a bailiff.

The forced sale of the property before the court can then take place. The judge may also decide to allow the debtor to sell the property out of court. A forced sale is a special type of sale for which the assistance of a lawyer is required. Some buyers are interested in this type of sale by adjudication or auction, as it can sometimes lead to good deals. Given the high prices in Paris, it may be worth taking the time to look at property auction offers.

If a buyer is interested (known as the successful bidder), he or she can contact the law firm in charge of the sale to obtain all the information about the building and the property. They must then go through a lawyer registered in the jurisdiction of the court where the property is to be auctioned.

Your property lawyer

A lawyer specialising in property transactions will assist you from the time the property is put up for sale through to the signing of the deed of sale, and even afterwards if a dispute arises after the sale. He will advise and litigate on behalf of all parties: buyers, sellers, tenants, estate agents and notaries.

Cabinet Goldwin is an expert in property law, with sales lawyers in other complementary areas of expertise:

• lawyers in co-ownership law
• defending against co-ownership trustees
• lawyer in the event of eviction
• lawyer for residential leases