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HOW IT WORKS
Important Background on How Fractional Ownership Works
Several barriers discourage non-nationals from buying property in France. Although excellent values for historical homes exist throughout the country, the realities of French laws and customs make the purchasing process extremely complicated and bureaucratic.
Then there are the French inheritance laws, which take priority over U.S. based estate planning. They can prevent surviving spouse inheritance, as well as trigger both title change and significant inheritance tax issues.
Most folks want a vacation home to enjoy with friends and family for 2-4 weeks a year. However if you intend to rent the property when not using it, you will be forced to register as a business in France, and deal with the imposing French bureaucracy and its myriad legal and tax liabilities. Paying full home price for only a few weeks a year of use is hardly cost effective.
If you decide to fly under the radar (forego registering as a business) and rent the property to other vacationers, you still face all of the normal absentee management issues. Without the convenience of proximity, mastery of the language and a thorough knowledge of French Law, which trumps any U.S. based agreements, your dream house might well become a nightmare.
In recent years, limited numbers of Time-Share Condominiums and "Lease-Back" accommodations in France have become available. They generally are limited to new properties in winter or summer resort areas with steep ownership expenses and fees, restricted usage and minimal, if any, management control.
A New Way
Enter Gerard-Benton Homes with a new approach to vacation property ownership in France.
Notre Maison dans Toulouges is owned by a French SCI (real estate holding company), which in turn is owned by a U.S. non-profit Homeowners Association. Unlike a time-share, you own your share of the property out right, benefit as the property appreciates, and may sell at any time (FAQs).
The price of admission for this property is 40,000 Euros (about $52,665 a/o February 2, 2012). Try before you buy - one week's rent can be applied to purchase.
Annual maintenance and management fees of approximately $1,800 per owner include taxes, utilities, telephone, TV, a high-speed internet connection and amortized replacement costs for the entire inventory of the house and its systems. The Association will assess this fee on a yearly basis.
The property will be managed by local real estate specialists that know the language, the area, and the laws.
For more information, please contact us
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