Posted on: 30th Apr, 2007 07:05 am
Hello,
I am quite interested in this form of purchasing a property in France. Do you have any further information or examples of purchases. I live in the US, so I wouldn't be able to come over for a look until the latter part of the year. But I would be interested to learning more about this process.
I am interested in the Poitou Charentes area or Brittany.
Regards, Simone
I am quite interested in this form of purchasing a property in France. Do you have any further information or examples of purchases. I live in the US, so I wouldn't be able to come over for a look until the latter part of the year. But I would be interested to learning more about this process.
I am interested in the Poitou Charentes area or Brittany.
Regards, Simone
Hi Simone,
Welcome to Mortgagefit forum.
I can help you provide information about mortgages and properties in US but do not have any details about properties in France.
Colin
Welcome to Mortgagefit forum.
I can help you provide information about mortgages and properties in US but do not have any details about properties in France.
Colin
"Hello,
I am quite interested in this form of purchasing a property in France. Do you have any further information or examples of purchases. I live in the US, so I wouldn't be able to come over for a look until the latter part of the year. But I would be interested to learning more about this process.
I am interested in the Poitou Charentes area or Brittany.
Regards, Simone"
As per laws in France a person can enter into a reversion agreement with any elderly owner (who is normally aged 70 or more) for purchase of a property. Such person pays a deposit amount which is a small fraction of the actual value of that property plus one fixed agreed amount every month. This person will then get outright ownership of the property after owner's death. Another option is that a lump sum payment is made at the beginning (without any monthly payment afterwards) and the person would own the property after owner's death. In such a scheme the investor is able to acquire property for much less value than its actual market value.
Ell
I am quite interested in this form of purchasing a property in France. Do you have any further information or examples of purchases. I live in the US, so I wouldn't be able to come over for a look until the latter part of the year. But I would be interested to learning more about this process.
I am interested in the Poitou Charentes area or Brittany.
Regards, Simone"
As per laws in France a person can enter into a reversion agreement with any elderly owner (who is normally aged 70 or more) for purchase of a property. Such person pays a deposit amount which is a small fraction of the actual value of that property plus one fixed agreed amount every month. This person will then get outright ownership of the property after owner's death. Another option is that a lump sum payment is made at the beginning (without any monthly payment afterwards) and the person would own the property after owner's death. In such a scheme the investor is able to acquire property for much less value than its actual market value.
Ell
The seller keeps full rights to remain in occupation of his home for the rest of his life. Normally you will get to purchase such property for a much discounted price. People sell there house using such method to get additional income.
Many people do buy reversion property as part of their future plans where they can sell off the property when the seller dies at much higher values then the amount they had purchased it for.
Many people do buy reversion property as part of their future plans where they can sell off the property when the seller dies at much higher values then the amount they had purchased it for.
"As per laws in France a person can enter into a reversion agreement with any elderly owner (who is normally aged 70 or more) for purchase of a property. Such person pays a deposit amount which is a small fraction of the actual value of that property plus one fixed agreed amount every month. This person will then get outright ownership of the property after owner's death."
Ok Ell, so you mean that reversion agreement is similar to staying on an individual's property (here the property is located in US) and paying a certain amount monthly. And, when the owner passes away, the property rights will be taken over by the one paying monthly. Is that so?
Ok Ell, so you mean that reversion agreement is similar to staying on an individual's property (here the property is located in US) and paying a certain amount monthly. And, when the owner passes away, the property rights will be taken over by the one paying monthly. Is that so?
no no Simone is looking for property in France. I think thats what I understood from his post!
You are right about the other part that after the original owner dies property will go to the person who has made the payments.
"Ok Ell, so you mean that reversion agreement is similar to staying on an individual's property (here the property is located in US)" :arrow: This means that the property owner lives there until his death and after his death it will be taken over by the person who makes the monthly payments to him and also has given a deposit amount at the beginning.
You are right about the other part that after the original owner dies property will go to the person who has made the payments.
"Ok Ell, so you mean that reversion agreement is similar to staying on an individual's property (here the property is located in US)" :arrow: This means that the property owner lives there until his death and after his death it will be taken over by the person who makes the monthly payments to him and also has given a deposit amount at the beginning.
Yeah, the person is staying in US. So, you mean if he is staying in US and wishes to buy property in France, he can draft a reversion agreement with the original owner of that property in France. This agreement will allow the person in US to stay on the owner's property by depositing a certain amount. The US resident will then have to make a certain amount of payment monthly so that after the owner passes away, the US resident will take over the property rights in France. Is it what you mean?
"This agreement will allow the person in US to stay on the owner's property by depositing a certain amount."
This person won't be staying there until the original owner dies. And as a US citizen he can buy property in France, can't he?
This person won't be staying there until the original owner dies. And as a US citizen he can buy property in France, can't he?
Yes, he can surely buy property in France. So the concept is that he need not stay in the property but deposit a certain amount and make a monthly payment. After the owner dies, he will be able to take over the property as per the reversion agreement.
exactly :)