What happens after the buyer and seller sign the deed of sale?
Once a compromise of sale is reached, the signing of the deed of sale is a necessary formality to validate the transfer. Already committed to the contract terms at the time of the compromise, the two parties ratify their agreement before a notary. The notary public ensures that the sale is conducted in accordance with all laws and regulations. Make sure the seller has a meeting that will result in a sale!
What is the purpose of the notarial act?
Although involving a notary in the drafting of a preliminary sales agreement is not required, having one present is a necessary part of closing any real estate transaction.
Preliminary sales contracts sent to the Land Registry are not binding until the notaries have registered and transcribed the property. After the deed of sale is signed, each party must receive a copy of the document. It is important to keep this document as proof of a successful property transfer. As the name implies, it can be used to protect oneself in case of a dispute since it is official and authentic.
"It takes on an official and authentic air, so it can be used to protect oneself in a dispute."
When the preliminary sale agreement is signed or when the authentic act is performed, ownership is transferred
Even if the buyer has not met the notary or paid for the property at the time of signing the preliminary sales agreement, he is considered the owner under French law.
However, if the preliminary sales agreement contains one or more suspensive clauses, the buyer does not automatically become the owner as soon as the document is signed. If the financing conditions of the preliminary sales agreement are respected, the buyer becomes the owner as soon as the loan is disbursed, but the transfer is effective on the date of the preliminary sales agreement.
Include a clause in the sales agreement stipulating that the transfer of ownership and usufruct will only take place after the signing of the deed of sale at the notary's office and the payment of the purchase price.
How does the actual sale deed get signed?
Each time a deed of sale is signed, the notary first reads the entire document to ensure its accuracy. Now is the time to pay close attention so that the deed's provisions accurately reflect the agreements reached previously. At this stage, you can still provide feedback and ask the expert any questions you may have.
It is highly recommended to request the draft deed be sent to the notary in advance of the meeting, giving all parties ample time to review it in peace of mind.
When signing the deed, the buyer is obligated to either pay the full purchase price as stated in the preliminary sales agreement or make a final payment to cover any indemnities already paid.
"The purchaser shall pay the purchase price set forth in the compromise at the time of the execution of this Deed”.
Usually at this point, the seller hands over the money and the keys, and the buyer is free to move in and start enjoying his new home. A title deed is also provided to the purchaser in the months following the closing of this deed.