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What is a Real Estate Agent in France?

Home > French Real Estate | Published 2010-12-30

There are many methods of finding a home or property to rent in France. It is indeed possible to deal directly with the owners in the acquisition of new or rental property. On the other hand, a prospective tenant may also choose to use a vendors' list or a real estate agency. Each option has its advantages. Nevertheless, even if a direct sale has the benefit of being the cheaper alternative, using a real estate agent may be safer and save valuable time.

The role of the realtor is to connect the tenant with the owner of the property. Agencies are generally experienced in one type of rental property. In most cases they deal with residential properties, but they can also partake in the rental market of rural property, business premises or the market for vacation rentals.

The real estate agent acts as an agent of his client. The extent of his powers may vary and should be compulsorily recorded in a written mandate. As appropriate, the agency may or may not have exclusivity rights in finding a new tenant. The mandate will be simple when the owner is free to conclude with another agency or directly with a tenant. A monopoly may also be entrusted to the agency on the condition that the exclusivity clause appears expressly and clearly in the warrant. Finally, the term may be semi-exclusive, which means that the exclusivity will be given to one agency while also allowing the owner to find himself a tenant.

Moreover, it is preferable to mention the term and the amount of commission, since it is a key factor

The real estate profession is highly regulated. Indeed, the Act of January 2, 1970, called "Hoguet,” ascribed conditions governing the performance of real estate agents. This text has been slightly modified with the adoption of the Ordinance of July 1, 2004.

The law "Hoguet" confirmed that the business card including receipts is subject to strict regulation. The real estate agent must first provide proof of professional competence (experience and / or degree) and a financial guarantee for the funds it must hold on behalf of his client. The real estate agent will also be covered by professional liability insurance to take care of any deficiencies. Furthermore, it should establish that it does not receive a disability or disqualification.

This card is issued by the prefecture and is renewed every year after government review

Once licensed to practice, each real estate agency must comply with transparency requirements to protect its clients. The fees, which are not regulated for example, will be prominently displayed in the agency. It's the same for the business card that must be affixed prominently in the premises of the agency.

The main disagreements in which real estate agents engage relate to disputes over commission. If a dispute between you and any of these professionals arises, you may contact a real estate lawyer to advise and represent you in this matter.

This article is available online for public information purposes. It is updated regularly, as needed. Due to the constant evolution of the laws and the legal system, we cannot guarantee that the information in this article is still applicable. We invite you to contact us with any legal questions or concerns you have regarding this topic at +33 1 56 79 11 00. In no way can this firm be held liable for articles that contain inaccuracies or are now out of date.

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