Cannes, located on the French Riviera, is an idyllic destination known for its luxurious lifestyle. With its balmy weather, long stretches of Mediterranean coastline, and chic fashion boutiques, Cannes has become a sought-after place to call home. Many people come to Cannes for its vibrant nightlife and celebrity sightings at the annual Cannes Film Festival. There are also plenty of opportunities to get involved in the arts, as Cannes has many museums and galleries.
With its sparkling coastline, vibrant culture, and iconic sights, it’s no wonder that this glamorous city is a popular destination for those looking for a new home. Whether you are seeking a chic apartment or a luxurious villa, there is an abundance of housing types and prices to choose from when searching for property in Cannes.
If you are among those who are looking for a house for sale in Cannes, there are some things you should know. The city’s real estate market is primarily driven by property investors. The local population is only 73,600 (2022) and the surrounding area has a population of approximately 945,000 people (2022). This means that the majority of property buyers are investors and the number of homes sold each year is significantly lower than in other French cities. The average price per square meter for property in Cannes is €9,385 (2022), which is on par with the national average.
In general, the French property market is very popular with international buyers, both for its excellent climate and the country’s reputation as an exquisite lifestyle destination. There are a number of options when it comes to properties for sale in France, with the primary distinction separating between urban and rural properties. Different regions of France offer different types of properties, and there are a variety of factors to consider when making a purchase. However, there are also many benefits that make buying property in France an excellent investment opportunity. Especially, when we speak of Cannes.
Reasons to move to Cannes
If you’re thinking of moving to Cannes and would like to find out some more about the area, this list should be a good place to start.
1. The Cannes Film Festival is the most important film festival in the world and is held each year in May. It lasts for two weeks and attracts a host of celebrities from around the globe, as well as thousands of journalists and photographers.
2. As well as being a popular tourist destination, Cannes is also a thriving business center. Many big businesses are based here and there are many corporate head offices in the area. As well as this, tourism forms an important sector of the local economy.
3. The town of Cannes is also known as the ‘City of Festivals’. This is because there are many festivals and events held here throughout the year. In fact, in 2006 alone there were more than 300 events taking place here.
4. The old town of Cannes is situated in the Parc du Bord de Mer. This is a large public park and it is a popular place for tourists to visit.
5. There are many monuments and museums in Cannes. One of the most famous is the Palais des Festivals, which is situated on the Boulevard de la Croisette. The building was originally a casino but it has now been turned into a museum about cinema, television, and other arts. There are many interesting exhibitions and events held here throughout the year.
How to buy property in France?
Buying a house in Cannes may be an exciting and thrilling process. With so many benefits listed above, property on the French Riviera may seem like a very attractive option. However, before taking this big step, let’s take a look at the process of buying a house in France.
First of all, you are about to find the perfect choice among thousands of apartments. To do so, you may turn to a real estate agent, who will help you to select the best option on the market. There are many articles on how to choose the best realtor in Cannes which may come in handy. Do not forget about “bon de visite”! It is a document that you have to sign before starting your “real estate journey”. In a few words, it is a legal paper that specifies the details of your cooperation with the realtor as well as adds some extra details about terms and conditions. In general, “bon de visite” is considered to be a preventing step against conflicts and misunderstandings.
The next step, after you have chosen your dreamy place, is to actually purchase it. And here goes another important point. In France, there are three types of property ownership.
1) En indivision
It is a type of ownership when the property is owned by several people. The share is established in accordance with the contribution. So, for instance, when there are two owners, their share is not necessarily 50/50. But, in most cases, en indivision happens when the property is inherited by several people. Therefore, usually in such situations, heirs sell their shares.
2) En tontine
En indivision type of ownership leads to en tontine, which is pretty similar to a joint tenancy in the UK. So, in the case when real estate is owned by two people, after the death of one of the owners, all rights to this real estate pass to the other owner. In fact, this is a very important element that should not be forgotten.
3) A Société Civile Immobilière
Actually, a Societe Civile Immobiliere or SCI is the name of a real estate holding company, which is formed under French law. The company is engaged in the purchase and construction of housing, which is subsequently rented out to third parties for a fee, or provided free of charge to partners. The formation of a Société Civile Immobilière requires two or more partners, who subsequently sign the so-called “statuts”, which contain all the information regarding the company name, assets, terms of membership, sale of real estate, etc. Each of the partners owns shares and is responsible for the company’s debts in accordance with the size of their contribution, which is also prescribed in the “statuts”. Shareholders who are not residents of France are not taxed in France but are taxed in their country of citizenship. Creating or owning shares in a Société Civile Immobilière has a lot of advantages for those interested in buying real estate in France.
After you do deep research into this topic, you will choose the type of ownership you prefer the most. So, the choice is made! Now is the time to think about taxes. Don’t forget that when buying a property in France, you have to pay some taxes and commissions, and of course, pay the realtor for his services. However, realtor services are not always included in the price you see in the ad. If his services are included in the price, then the price will be accompanied by the letters FAI.
In general, the buyer must pay the real estate agent’s commission, notary commission, and mortgage fees. In most cases, notary services will be 6-8% of the purchase amount, as well as 20% VAT. In addition, it is worth remembering about Stamp duty, Land tax (Taxe foncière), and Local taxes (Taxe d’habitation), which must also be paid. In fact, a good option is to find a professional English-speaking lawyer who will help you deal with all the nuances and avoid falling into the abyss of bureaucracy.
And although the buying process may seem difficult and confusing, you will realize that it is worth it in the end! After all, life in France is really like a fairy tale, despite the nightmare of bureaucracy.
