Steps of the Buying off-plan

Understanding the steps of the buying off-plan with Nexity, property developer

The Buying Off-plan consists of investing in new real estate ‘according to plan'. Nexity, a property developer specialising in the sale of new flats and houses and building plots throughout France, will help you understand the various steps in investing in new real estate (purchase of a new home or of a building plot).

The steps of the Buying Off-plan

1. Signing the ‘option contract' or the ‘preliminary contract'

The option contract specifies all of the legal characteristics of the new real estate property: location, price, delivery date, blueprints, description, etc. Generally speaking, the taker pays a guarantee deposit amounting to 5% of the price of the lodging.
Observation: If you invest in a flat or a house in a residence that has already been completed, you will not sign an ‘option contract' but a ‘commitment to sell'.


2. Option confirmation

About ten days after receiving your option contract, you will receive a document sent by registered letter making your option official (and which sets in motion the time for withdrawal required by law). If you have resorted to a real estate loan, the option contract is regularised on condition that financing is obtained.


3. Financing your acquisition

Once your new home has been reserved, you will have to obtain a real estate loan. In general, the bank will process your real estate loan application within a few weeks and send you a ‘prior offer' specifying all of the legal conditions of the loan: nature, purpose, terms and conditions, amount, total cost, overall effective rate, etc. Acceptance of this offer can take place only after the eleventh day following receipt. Lastly, the file must be concluded within four months, failing which the offer is lapsed.


4. Notification of the notarised deed of sale

Once financing has been obtained, you will be sent the notarised deed of sale and an appointment for signature will be proposed. Drawn up by a notary, this document sets out all of the conditions and guarantees of the sale: the sums to be paid (calls for funds), a precise description of the dwelling (area, number of rooms, etc.), and so forth. The day you sign the notarised deed of sale is the day you become the owner!


5. Calls for funds

Calls for funds are sums paid by the buyer as the work advances. They are specific to the Buying Off-plan and are regulated by the Building and Construction Code. They cannot exceed a certain percentage: 35% on completion of the foundations, 70% on roofing in and 95% on completion. The developer is required to observe these legal steps but is free to constitute another more detailed schedule of calls for funds.


6. Delivery of your new home

Delivery consists of an in-depth visit to your new home at which time an adversarial inventory is signed by all parties present (yourself, your authorised agent and a representative of the developer). All conspicuous defects must be established at the time of this visit and recorded in a delivery report. Furthermore, according to legislation, you have one additional month to report by registered letter any additional reservation you might have.


7. Moving in!

Your kitchen and your bathroom are equipped, the partitions have been distributed according to your wishes, the floor covering is of your own choosing and the finishing touches suit your taste. All that's left to do is to move in and take over!

Steps for acquiring a building plot

1. Taking an option and the commitment to sell

When taking an option on a building plot, the buyer signs a unilateral commitment to sell. A deposit cheque (according to the value of the land) is required on signature of the commitment to sell.


2. Signature of the notarised deed

The notarised deed is signed on delivery of the serviced building plot or on obtaining the certificate of sale in advance (i.e., between 3 and 8 months following the commitment to sell). The notarised deed is signed once the buyer has obtained his real estate loan and filed the building permit for his individual house. At time of signing the notarised deed, the total amount of the purchase price of the building plot must be paid.


3. Delivery of your building plot

Delivery of your building plot consists of an ‘inventory' drawn up between the buyer and the vendor so as to verify all amenities: boundary marking of the parcel; water, electrical and gas supply; telecommunications network and standby sewer and possibly rainwater connections.


4. Construction of your new house

When you purchase land through Nexity, you are free to choose your property developer.