How do I become a homeowner?

Becoming a homeowner is an important life project, often seen as a key step in building wealth or seeking stability. Whether you’re buying your own home or a rental investment, buying real estate requires careful planning and preparation. But where should you start? What are the steps to follow to make your project a success without stress? This article guides you through the steps involved in becoming a homeowner, from defining your budget to handing over the keys.

1. Evaluate your budget and purchasing capacity

The first step in becoming a homeowner is to define your purchasing capacity in relation to your financial situation. This will enable you to target properties suited to your budget.

Key points for assessing your budget :

• Your monthly income: Add up your salaries, bonuses and other stable sources of income.
• Your fixed expenses: Current rent, outstanding loans, insurance, etc.
• Your personal contribution: Savings available to cover purchase costs (notary fees, security deposit, etc.).
• Your borrowing capacity: In general, your monthly credit payments should not exceed 35% of your net income (recommended debt ratio).

Use tools to help you

• Online simulators to calculate your borrowing capacity.
• Make an appointment with a bank advisor to get an initial estimate.

Tip: The higher your downpayment, the better your loan terms.

2. Find out about available financial aid

To facilitate access to home ownership, a number of financial assistance schemes exist, particularly for first-time buyers.

The main aids :

• Prêt à Taux Zéro (PTZ): An interest-free loan for people buying their first primary residence, either new or renovated.
• Action Logement loan: Offered to employees in the private sector, this loan finances part of the purchase on attractive terms.
• Assistance from local authorities: Some regions, départements and towns offer subsidies to encourage home ownership.
• The Prêt d’Accession Sociale (PAS): A loan for low-income households, with reduced costs and an attractive interest rate.

Tip: Check with your bank or organizations such as Action Logement to find out if you are eligible for these schemes.

3. Search for the ideal property

Once you’ve established your budget, it’s time to look for the property that meets your criteria and needs.

Define your search criteria

• Type of property: Apartment, house, new or old.
• Location: Close to schools, shops, transport, etc.
• Size and layout: number of bedrooms, presence of a garden or balcony.
• Overall budget: Including purchase price and any work required.

Where to look?

• Real estate agencies: Experts to help you get the job done.
• Online ad sites: Le Bon Coin, SeLoger, PAP, etc.
• Property developers: For the purchase of a new property.

Tip: Visit several properties to compare and make an informed decision. During your visits, pay particular attention to the general condition of the property, its thermal insulation and any work to be carried out.

4. Obtain financing and prepare your loan application

Once you’ve found the property you’re looking for, it’s time to look for real estate financing to make your purchase a reality.

Steps to obtaining a mortgage :

1. Ask for an agreement in principle: Consult several banks or brokers to compare offers.
2. Putting together your loan file: Prepare the necessary documents:
   • Proof of identity and family status.
   • Latest pay slips.
   • Notice of tax assessment.
   • Bank statements.
3. Compare loan offers: Look at interest rates, ancillary costs (administration fees, loan insurance) and loan term.
4. Signing the loan offer: Once you’ve accepted the offer, you have 10 days to think it over before signing.

Tip: Using a real estate broker can save you time and help you get a better rate.

5. Sign the sales agreement

The compromis de vente is a key document that commits both buyer and seller. It precedes the final sale and sets out the terms of the transaction.

Compromise contents :

• The sale price of the property.
• Conditions precedent (obtaining a loan, absence of easements, etc.).
• The planned date for signing the final deed.

Good to know: After signing the contract, you have 10 days in which to withdraw from your commitment, free of charge.

6. Go to the notary for the final deed of sale

The final step in becoming a homeowner is to sign thedeed of sale at the notary’s office.

The role of the notary :

• Check the legality of the transaction.
• Draw up the deed of sale and collect the funds.
• Hand over keys and title deeds.

Notary fees

Notary fees represent around 7-8% of the purchase price for an old property and around 2-3% for a new one. They include taxes, fees and administrative costs. Tip: budget for these costs to avoid unpleasant surprises.

7. Plan for expenses after purchase

Once you’re a homeowner, you’ll need to anticipate new expenses:

• Taxes: Property tax is now your responsibility.
• Home insurance: Mandatory to protect your property.
• Condominium fees (for an apartment).
• Work and maintenance: Set aside a budget to maintain your home over the long term.