Move from tenant to owner.
Many French people take the step every year to go from tenant to owner. Acquiring a property for yourself is a big step to build a heritage. We take stock in this article to prepare you for the life of a homeowner, and what awaits you in terms of taxes and expenses during your real estate purchase.
Define your real estate project
- What is your life project? Do you want a city or rural environment? Will the accommodation be your main residence?
- What type of accommodation are you looking for? A house for its tranquility or an apartment for its more cocooning lifestyle? Note that apartment life requires knowing and loving to live in community
- What area suits you? How many rooms do you need? Should there be a space to store your vehicle? A space to telework?
- Are you ready to do some work or do you want a turnkey housing?
- Do you have a favorite geographical area, a popular climate?
- What budget do you have? Do you plan to borrow?
The evaluation of your budget must also be carried out in a meticulous manner. If you want to use a bank loan, you must contact a credit institution to find out how much you can borrow. It should be noted that the commonly accepted debt ratio is of the order of 33.33%. Since January 2022, it is capped at 35% regardless of the duration of the loan. Also be aware that the acquisition of a property entails additional costs such as :
- Application fees
- Agency fees
- Notary fees
- Deposit fees
- Etc.
Acquisition costs
If you go through a real estate agency like My Home Toulouse Immobilier for the purchase of your property in Miremont, the fees are called " agency fees". In general, the fees vary between 5 and 8% of the transaction amount. for traditional agencies.
You will also have to pay the famous " notary fees". In these notary fees, you will find the notary's fees and transfer taxes. In general, notary fees represent between 7 to 10% of the amount of the transaction in the old and between 2 and 3.5% for new housing. Investing in new real estate is therefore an advantage at this level.
Local and property taxes
As a tenant, you have surely experienced the housing tax. But, as an owner, you will have to, in addition to the latter (until 2023 only) provide in your budget the property tax.
As for the housing tax, it is the situation retained on 1 January of the year that is taken into account. The property tax is annual and its amount is the responsibility of the owner on January 1st.
This tax, levied by local authorities, contributes to the development of public facilities and services.
Current expenses
Like any occupant, you will also have to pay the expenses of everyday life such as the opening of new contracts (gas, electricity, water, etc.) and the closure of your contracts in your old home.
You can either have your current contracts transferred if they suit you, or change your supplier. Companies specializing in removals such as papernest for example are able to accompany you free of charge to transfer or find gas, electricity or telephony suppliers adapted to your budget. In terms of organization and fiber/adsl testing in particular, this can be an asset because they take care of everything.
Attention : remember to send your mail to your new address !
FOCUS: The purchase of a property in co-ownership
If you buy in a building in co-ownership, you will have to participate in the expenses of the building concerning the maintenance of the latter. The works voted in the General Assembly are the responsibility of the co-owners. Before buying, it is therefore important to inquire about the state of the condominium and the next work planned or planned by consulting the minutes of the general meeting.
Nicolas MOULIGNER
Looking for a property?
Whether it is a house sale or an apartment purchase in Miremont, My Home Toulouse is here to advise you and accompany you in your project. Expert in real estate in Miremont for several years, our agency My Home Toulouse is close to its customers. Our employees will bring you satisfaction and will meet all your expectations.
