Paying for a property in sterling ?

[nokianut]

Hi

Im buy a property in the Alps, the seller who is English is asking me to pay him in sterling by cheque at the Notaires office on the day of completion.

I dont mind doing this as it will save me changing up £75000 into euros and loosing out on the exchange.

But is this possible to do it this way ?

Personally I dont think we can as im buying it in France.

In the UK as you all know , you pay the solicitor who then pays the seller.

 

Anyone else done it this way ?

 

Thanks all

[Nick Trollope]

I rather doubt if you can.

Because a) In any event, the Notaire will want to change his cut into Euro's. b) The money must be paid to the Notaire irrevocably, before signing (you can't do this with a UK cheque made out to the Vendor). c) The tax amount is incalculable, due to exchange rate variations, etc etc....

 

[BJSLIV]

This suggestion will only cause complications and delays as the money has to pass through the hands of the notaire, not just pass by him.

If you arrive with a UK cheque the signing will be delayed until the money clears into the notaire's accounts, and doing this in a rush will undoubtedly cause additional noatiare and bank  fees and will guarantee a lousy exchange rate. You have to remember that notaire's  main role is that of government tax collector so the audit trail has to be visible.

I can see where the vendor is coming from , it no doubt seems sensible to avoid paying exchange rate costs in both directions , but unfortunately it won''t work.

[Gyn_Paul]

I'm afraid I don't agree.

This is the way I bought my first French house some 5 years ago. the vendor (Tim) was an English friend so there was a degree of trust implicit in the dealings, but the principle remains the same.

We agreed the price in Francs (as it was then), the Notaire processed the acte and indicated what the taxes etc. would be, I paid him that in Francs and the vendor and I agreed an exchange rate, and I paid him that in £. As long as he had a written document from the vendor agreeing to the figures and confirmation of receipt of the sum the Notaire was quite happy.

Incidentally he and his secretary acted for both parties for signing the Acte and I have this vision of her asking someone to mind the reception for a minute while she buys a house.!