Financial Preparation

• Determine your total investment budget (property + transaction costs + reserves)
• Establish a currency exchange strategy (USD/CAD to EUR)
• Research historical exchange rate trends to identify favorable timing
• Set up international wire transfer capabilities with your home bank
• Investigate banking options in France (account opening may require in-person visit)
• Evaluate tax implications in both France and your home country
• Arrange financing if needed (typically through French banks)

Market Research

• Identify target areas based on investment goals (Cayenne, Kourou, etc.)
• Research neighborhood-specific price trends and rental yields
• Connect with local estate agents specializing in your target areas
• Subscribe to French Guiana property listings and economic news
• Analyze government development plans and infrastructure projects
• Research tenant demographics (space industry, government, tourism)
• Plan a preliminary market visit to evaluate areas firsthand

Professional Network Development

• Connect with a bilingual notaire (notary) experienced in foreign purchases
• Identify estate agents (agents immobiliers) with experience with foreign buyers
• Find a property management company for remote ownership
• Establish contact with currency exchange specialists
• Find a French-speaking accountant familiar with non-resident tax issues
• Connect with local architects or contractors if renovations planned
• Consider legal representation beyond the required notaire

Expert Tip: French Guiana experiences distinct wet and dry seasons that significantly impact property viewing and construction activities. The best periods for property visits are the short dry season (February-March) and long dry season (July-November). Avoid the peak rainy season (April-June) when flooding can prevent proper inspection of properties, especially in rural areas. Additionally, August is a traditional vacation period in French territories, when many businesses operate at reduced capacity.

Important Consideration: All foreign investors must obtain a French tax identification number (numéro fiscal) regardless of the ownership structure chosen. This process can take 2-3 months and requires submitting form 5000 to the French tax authorities. Planning for this timeline is essential, as the number is required to complete property purchases and annual tax filings.

Banking Setup

• Bank Account Options:
  • Local French Guianese banks: BRED Banque Populaire, LCL, BNP Paribas Antilles Guyane
  • Online French banks: Increasing options but may require French residence
  • International banks with French presence: HSBC, BNP Paribas offer cross-border services
  • Multi-currency accounts: Services like Wise or Revolut offer alternatives
• Typical Requirements:
  • Passport/identification with apostille
  • Proof of address in home country
  • Evidence of income or financial stability
  • Reference letters from current banks
  • Initial minimum deposit (often €5,000+)
  • In-person appointment (difficult to avoid)
• Key Challenges:
  • Most banks require in-person account opening
  • Documentation must be in French or officially translated
  • Remote account management often limited
  • North American connection may trigger additional scrutiny

Financing Options

While cash purchases are common, financing options include:

1. French Mortgages for Foreign Nationals:
   • Availability: Limited but possible through major French banks
   • Deposit Requirements: Typically 30-50% for non-residents
   • Interest Rates: Generally competitive (1.5-3% as of 2025)
   • Loan Terms: Generally 5-20 years for non-residents
   • Age Restrictions: Most loans must be repaid before borrower reaches 75
   • Documentation: Extensive financial history, translations, income verification
2. International Banking Options:
   • Some international banks can facilitate cross-border lending
   • Typically requires existing banking relationship
   • May offer more flexible terms for non-French residents
   • Often higher interest rates than domestic French loans
3. Home Country Financing:
   • Refinancing existing properties in North America
   • Home equity lines of credit (HELOCs)
   • International investment loans
   • Often most practical option for smaller investments

Currency Management

The Euro fluctuates against USD and CAD, creating important considerations:

• Exchange Rate Strategies:
  • Monitor EUR/USD and EUR/CAD trends to identify favorable windows
  • Consider forward contracts to lock in rates for large transfers
  • Stage transfers to average out exchange rate fluctuations
  • Budget for exchange rate volatility in investment projections
• Currency Services:
  • Specialized services (Wise, OFX, XE) typically offer better rates than banks
  • Compare total transaction costs, not just advertised rates
  • Set up regular payment services for ongoing expenses
  • Consider multi-currency accounts for simplified management
• Income Repatriation:
  • Plan for conversion of rental income back to home currency
  • Understand tax implications in both jurisdictions
  • Maintain accurate records of all currency conversions
  • Consider timing transfers to take advantage of favorable rates

The Euro offers stability compared to many South American currencies, but still presents significant exchange rate risk for North American investors. A 10-15% movement in exchange rates is not uncommon over a 1-2 year period, which can substantially impact your effective returns when measured in your home currency.

Property Search Resources

• Online Property Portals:
  • SeLoger.com – Major French property portal with Guiana listings
  • LeBonCoin.fr – Popular classified site with many listings
  • Logic-Immo.com – Comprehensive property listings
  • PAP.fr – Private seller listings (without agents)
• Estate Agents:
  • Century 21 Guyane – International brand with local presence
  • ORPI Guyane – Network of local agencies
  • Agence des Palmistes – Local specialist agency
  • Guy’Immo – Local agency with experience with foreign buyers
  • Note: Most agents represent the seller, not the buyer
• Auctions and Tenders:
  • Notarial auctions (ventes aux enchères) can offer below-market opportunities
  • Government property sales occur periodically
  • Typically require local representation to participate effectively
• Direct Approaches:
  • Local newspapers (France-Guyane) carry property advertisements
  • Local bulletin boards still used in smaller communities
  • Direct inquiries through local business networks can uncover off-market properties

Property Viewing Trip Planning

For North American investors, a well-planned property viewing trip is essential:

1. Pre-Trip Research:
   • Identify 10-15 potential properties before arrival
   • Schedule viewings in advance (properties move slowly compared to North America)
   • Research neighborhoods thoroughly online
   • Arrange meetings with notaire and potential property managers
   • Prepare for limited English-language assistance (hire translator if needed)
2. Trip Logistics:
   • Plan for at least 10-14 days in territory
   • Allow travel time between viewing locations (distances can be substantial)
   • Schedule viewings in geographical clusters
   • Leave time for unexpected delays (common in French Guiana)
   • Consider seasonal weather implications
3. During Viewings:
   • Take detailed photos and videos
   • Document neighborhood conditions
   • Verify utilities and service connections
   • Ask about flooding history (critical in tropical climate)
   • Check mobile reception and internet availability
   • Note proximity to services and transport
4. Local Assistance:
   • Consider hiring a local guide/translator
   • Engage with local property experts beyond selling agents
   • Meet potential property managers in person
   • Build relationships with local service providers

Property Evaluation Criteria

Assess potential investments using these key criteria:

• Location Factors:
  • Proximity to urban centers (Cayenne, Kourou, Saint-Laurent)
  • Access to transportation (roads can be limited outside urban areas)
  • Flood risk assessment (critical in tropical climate)
  • Distance to essential services (healthcare, shopping)
  • Proximity to employment centers (space center, government offices)
  • Neighborhood safety and security considerations
• Building Quality:
  • Construction methods appropriate for tropical climate
  • Termite and pest resistance measures
  • Hurricane/high wind protection features
  • Drainage and water management systems
  • Air conditioning systems and energy efficiency
  • General condition and maintenance history
  • Water supply reliability (can be an issue in some areas)
• Rental Potential:
  • Tenant demographics in the area (expatriates, space industry, government)
  • Typical rental rates for comparable properties
  • Seasonality of rental demand (tourism factors)
  • Void periods typical for similar properties
  • Management options for rental operation
  • Potential for short-term vs. long-term rentals
• Financial Considerations:
  • Price comparison with similar properties
  • Historical price appreciation in the area
  • Property tax and other recurring expenses
  • Insurance availability and costs (can be higher than mainland France)
  • Maintenance cost estimates (tropical climate accelerates wear)
  • Renovation or update requirements and costs

Expert Tip: In French Guiana, flood risk assessment is particularly critical. Properties that appear ideal during the dry season may be problematic during the rainy season. Ask for historical flood information, check for water marks on walls, examine drainage systems, and consult local climate data. When possible, visit properties during both dry and rainy seasons before purchase. Some areas experience significant seasonal water level changes that aren’t apparent in satellite imagery or during brief visits.

Legal Due Diligence

• ✓
  Title Verification: Extensive examination of property title history through cadastral records
• ✓
  Land Registry Extract: Obtain recent extract from Service de la Publicité Foncière
• ✓
  Urban Planning Certificate: Verify zoning and development rights with Certificate d’Urbanisme
• ✓
  Environmental Searches: Check for protected areas, flood zones, and contamination risks
• ✓
  Building Permits: Verify all construction has proper authorizations and completion certificates
• ✓
  Co-ownership Documents: For apartments, examine règlement de copropriété and financial status
• ✓
  Boundary Verification: Particularly important in areas with informal development history
• ✓
  Local Regulations: Check for special restrictions applying to specific areas

Physical Due Diligence

• ✓
  Technical Diagnostic Reports: Required documents including lead, asbestos, termites, energy efficiency
• ✓
  Structural Assessment: Inspect foundations, walls, and roof (crucial in tropical climate)
• ✓
  Water Management: Evaluate drainage systems, gutters, and flood prevention measures
• ✓
  Electrical/Plumbing Systems: Verify condition and compliance with French standards
• ✓
  Pest Inspection: Specific focus on termites and other tropical pests
• ✓
  Access & Utilities: Confirm legal access rights and utility connections
• ✓
  Renovation Assessment: Get detailed estimates for any required updates

Financial Due Diligence

• ✓
  Comparative Market Analysis: Verify price against comparable recent sales
• ✓
  Tax Verification: Check property tax history and calculations
• ✓
  Utility Costs: Research typical utility expenses (often higher than mainland France)
• ✓
  Insurance Assessment: Obtain insurance quotes (critical for tropical storm risk)
• ✓
  Maintenance Estimates: Create realistic budget for ongoing maintenance
• ✓
  Future Expenses: Identify upcoming major repairs or replacements

Expert Tip: In French Guiana, all property transactions require a complete set of diagnostic reports (Dossier de Diagnostic Technique) by law. These reports are typically provided by the seller but should be verified independently, especially those related to termites, natural risks, and lead – all significant concerns in older properties. Having your notaire verify the completeness and validity of these documents is essential. Most are only valid for a limited time (6 months to 3 years depending on the report), so check expiration dates carefully.

Offer and Initial Agreement

1. Initial Offer: Typically made verbally through the estate agent
2. Negotiation: Price and terms discussed (can take longer than in North America)
3. Promesse de Vente/Compromis de Vente: Preliminary contract outlining terms
4. Deposit Payment: Typically 5-10% held in notaire’s escrow account

The preliminary contract includes a cooling-off period (délai de rétractation) of 10 days during which the buyer can withdraw without penalty. The contract also typically includes conditional clauses (conditions suspensives) that protect the buyer if financing falls through or serious property defects are discovered.

Notarial Process

1. Notaire Appointment: Both buyer and seller typically use the same notaire, though each can appoint their own
2. Document Collection:
   • Personal identification and financial documentation
   • Property title and cadastral information
   • Technical diagnostic reports
   • Planning permissions and certificates
3. Legal Verification:
   • Title searches conducted
   • Property easements and rights explored
   • Local planning regulations verified
   • Tax status confirmed
4. Acte Authentique Preparation:
   • Final deed drafted by notaire
   • Final sales price and terms confirmed
   • All necessary attachments prepared
5. Completion Meeting:
   • All parties sign the Acte Authentique
   • Final payment transferred to notaire
   • Keys transferred to buyer
6. Post-Completion:
   • Property registration in land registry
   • Tax notifications submitted
   • Utility transfers arranged

The timeframe from signing the preliminary contract to completion typically ranges from 2-4 months, though it can be longer in French Guiana due to the territory’s administrative specifics. Remote completion is possible through a power of attorney (procuration) if the buyer cannot be physically present.

Transaction Costs

Budget for these typical transaction expenses:

• Notaire Fees:
  • Approximately 7-8% of purchase price for existing properties
  • Reduced to 2-3% for new constructions
  • Includes transfer taxes, land registry fees, and notaire’s professional fees
  • Scale is regressive – percentage decreases as property value increases
• Agency Fees:
  • Typically 4-8% of purchase price if using an estate agent
  • Usually included in advertised price (“frais d’agence inclus”)
  • Can sometimes be negotiated, especially for higher-value properties
• Technical Reports:
  • Diagnostic reports cost €500-1,500 depending on property size
  • Generally paid by seller but may factor into price negotiations
• Legal Representation:
  • Optional additional legal counsel: €1,000-3,000
  • Translation services: €500-1,500 if needed
• Mortgage Costs:
  • Arrangement fees: 1-1.5% of loan amount
  • Mortgage registration fees: 1-2% of loan amount
  • Life insurance required for French mortgages: varies by age and health
• Foreign Exchange Costs:
  • Currency conversion spreads: 0.5-4% depending on provider
  • Wire transfer fees: €20-50 per transaction

Total transaction costs for foreign investors typically range from 10-15% of the purchase price. These costs should be factored into your overall investment calculations and budgeted for in addition to the property purchase price.

Expert Tip: For remote transactions, which are common for North American investors, establish a power of attorney (procuration) arrangement well in advance. This document must be prepared by a notaire, signed, apostilled in your home country, and sometimes translated. Setting this up early can prevent costly delays in the transaction process. Using a trusted local representative with this power is essential for managing the many in-person requirements of French property transactions.

Administrative Tasks

• ✓
  Property Insurance: Arrange building insurance (assurance habitation) from completion date
• ✓
  Utility Transfers: Set up electricity (EDF), water, and telecom accounts
• ✓
  Property Tax Registration: Ensure registration for taxe foncière and taxe d’habitation
• ✓
  Syndic Registration: For apartments, register with building management
• ✓
  Local Authority Notification: Register with local mairie if required
• ✓
  Bank Account Setup: Establish local banking for ongoing expenses
• ✓
  Tax Representative Appointment: Non-EU residents may need fiscal representative

Regulatory Compliance

Rental properties in French Guiana must comply with numerous regulations:

• Energy Performance Certificate:
  • Required for all rentals (Diagnostic de Performance Énergétique)
  • Must be renewed every 10 years
  • Minimum standards are being progressively implemented
• Safety Requirements:
  • Smoke detectors mandatory in all properties
  • Electrical safety certification required for rentals
  • Gas safety inspection if applicable
  • Lead and asbestos certification for properties built before 1997
• Rental Documentation:
  • Standard lease agreement following French law
  • Property condition inventory (état des lieux)
  • Complete technical diagnostic dossier
  • Security deposit handling according to regulations
• Tourism Rental Compliance:
  • Registration with local authorities for short-term rentals
  • Tourist tax collection and remittance
  • Special insurance requirements
• Specific to French Guiana:
  • Tropical construction standards compliance
  • Additional pest control requirements
  • Flood zone regulations in applicable areas

Non-compliance with these regulations can result in fines, legal challenges from tenants, or insurance claim denials. As regulations may evolve more slowly in French Guiana than in mainland France, staying updated through a local property manager is essential.

Record Keeping

Maintain comprehensive records for tax and legal purposes:

• Property Documents:
  • Final deed (Acte Authentique) and preliminary contracts
  • Technical diagnostic reports
  • Property plans and boundaries
  • Building permits and compliance certificates
  • Insurance policies and claims history
• Financial Records:
  • All purchase transaction records and receipts
  • Property tax statements and payments
  • Utility bills and payment records
  • Maintenance and repair expenses
  • Rental income and expenses
  • Currency exchange documentation
• Tax Documentation:
  • Annual French tax declarations
  • Home country tax reports related to the property
  • Depreciation schedules if applicable
  • Capital improvements documentation
• Rental Operations:
  • Tenant contracts and correspondence
  • Property management agreements
  • Rental marketing materials
  • Inspection reports and inventories

French tax authorities typically require records to be kept for at least 6 years, though longer retention is recommended for property ownership. Digital record systems with secure backup are essential for overseas investors to manage documentation across jurisdictions.

Expert Tip: Consider setting up a virtual French mailing address service that can receive, scan, and forward official correspondence. Services like Courrier du Voyageur can provide a permanent French address for administrative purposes and ensure you don’t miss critical communications from tax authorities, insurance companies, or property managers. This is particularly important as many French administrative bodies still communicate primarily through postal mail rather than electronic means.

French Tax Obligations

• Property Transfer Taxes:
  • Paid at purchase through notaire fees
  • Approximately 5-6% for existing properties
  • Reduced rates for new constructions (approximately 2%)
• Annual Property Tax (Taxe Foncière):
  • Paid by property owner regardless of use
  • Based on theoretical rental value of property
  • Rates vary by commune but typically 0.5-1.5% of property value annually
  • Payable even if property is vacant
• Housing Tax (Taxe d’Habitation):
  • Being phased out for primary residences
  • Still applies to second homes and vacant properties
  • Based on theoretical rental value and household composition
  • Typically paid by occupant (owner or tenant)
• Income Tax on Rental Income:
  • Non-residents taxed at minimum 20% rate on net rental income
  • Option to file under micro-foncier system (30% standard deduction) for small incomes
  • Or régime réel system (actual expense deduction) for larger operations
  • Annual French tax declaration required by mid-May
  • 17.2% social charges may also apply depending on tax treaty provisions
• Capital Gains Tax:
  • Non-residents pay 19% plus potential social charges of 17.2%
  • Reduction for holding period (complete exemption after 30 years)
  • Principal residence exemption not typically available to non-residents
  • Additional surcharge for gains exceeding €50,000
• Wealth Tax (IFI):
  • Applies to real estate assets worth over €1.3 million
  • Progressive rates from 0.5% to 1.5%
  • Applies to non-residents for French property holdings

Home Country Tax Obligations

France has tax treaties with both the United States and Canada which help prevent double taxation. However, specific provisions may vary, and professional tax advice from experts familiar with both jurisdictions is essential for optimal tax planning.

Tax Planning Strategies

• Entity Structure: Consider SCI for family ownership or succession planning
• Expense Optimization: Maintain detailed records of all allowable expenses
• Tax Representation: Appoint qualified tax representative in France
• Rental Income Treatment: Choose appropriate regime (micro-foncier vs. réel)
• Mortgage Interest: Can reduce taxable rental income under régime réel
• Capital Improvements: Document all capital expenditures to reduce future capital gains
• Holding Period Planning: Consider taper relief benefits for long-term ownership
• Treaty Benefits: Ensure application of tax treaty provisions when applicable

Tax rules change periodically, and French Guiana follows French national tax law with some specific adaptations. Regular consultations with tax professionals who understand both the French system and your home country obligations are essential for maintaining compliance and optimizing your tax position.

Expert Tip: Non-EU residents must often appoint a French fiscal representative (représentant fiscal) when selling property. This service can cost 0.5-1% of the sale price but is mandatory for properties valued over €150,000. Arranging this representation early in the sale process can prevent delays in fund repatriation. Some banks and specialized firms offer this service, which includes handling the capital gains tax declaration and payment. Budget for this expense when planning your exit strategy.

Selecting a Property Manager

Evaluate potential property managers using these criteria:

• Experience with International Investors:
  • Track record managing properties for foreign owners
  • Bilingual communication capabilities
  • Experience with cross-border tax and reporting
• Professional Qualifications:
  • FNAIM or SNPI membership (professional certifications)
  • Professional indemnity insurance
  • Financial guarantees and bonding
• Market Knowledge:
  • Established presence in French Guiana
  • Understanding of local rental market
  • Experience with your property type
• Communication Systems:
  • Regular reporting procedures
  • 24/7 emergency contact options
  • Digital platforms for remote access
• Maintenance Capabilities:
  • Established contractor network
  • Tropical maintenance experience
  • Emergency response procedures
• Financial Practices:
  • Separate client accounts
  • Transparent fee structure
  • International payment options

Management Agreement Essentials

Ensure your property management contract includes these key elements:

• Scope of Services: Detailed description of all included and excluded services
• Fee Structure: Clear explanation of management fees, leasing fees, and additional charges
• Term and Termination: Contract duration and notice requirements for termination
• Financial Reporting: Frequency and format of financial statements
• Maintenance Authority: Spending limits for emergency and routine repairs
• Insurance Requirements: Management company’s insurance and property coverage requirements
• Property Inspection: Frequency and documentation of property inspections
• Tenant Selection: Criteria and approval process for new tenants
• Legal Compliance: Responsibility for ensuring regulatory compliance
• Emergency Procedures: Protocols for handling property emergencies
• Communication Methods: Agreed channels and response times
• Dispute Resolution: Process for resolving disagreements

For non-French speaking investors, ensure that contracts are available in both French and English, though the French version will legally prevail. Have an independent legal advisor review any management agreement before signing.

Expert Tip: Property management in French Guiana often requires specialized knowledge of tropical maintenance issues not encountered in mainland France. When evaluating management companies, specifically inquire about their experience with tropical climate maintenance including mold prevention, termite management, storm preparation, and humidity control systems. Request examples of their preventative maintenance schedules designed specifically for tropical properties, as proactive maintenance is significantly more cost-effective than reactive repairs in this environment.

Exit Options

Sale Process

When selling your French Guiana property:

1. Pre-Sale Preparation:
   • Ensure all technical diagnostic reports are current
   • Address maintenance issues and presentation
   • Gather all property documentation
   • Consider vacant possession vs. tenanted sale
   • Appoint fiscal representative if required
2. Agent Selection:
   • Consider exclusive vs. non-exclusive agency arrangements
   • Compare marketing capabilities for international buyers
   • Evaluate commission structures (typically 4-8%)
   • Review contract terms carefully (typical mandate is 3 months)
3. Pricing Strategy:
   • Obtain multiple valuations
   • Research comparable recent sales
   • Consider starting price vs. expected sale price
   • Factor in negotiation expectations (more significant than in North America)
4. Marketing Period:
   • Prepare professional photos and property description
   • Review agency marketing materials for accuracy
   • Plan for longer marketing periods than North American markets
   • Budget for property upkeep during marketing
5. Offer to Completion:
   • Negotiate offer terms
   • Sign preliminary contract (compromis de vente)
   • Buyer’s cooling-off period (10 days)
   • Notaire preparation of final deed
   • Completion meeting and funds transfer
6. Post-Sale Requirements:
   • Capital gains tax declaration and payment
   • Currency repatriation
   • Tax reporting in home country
   • Cancellation of French property insurance and utilities

The French property sale process typically takes 3-6 months from listing to completion, which is considerably longer than North American timeframes. Being prepared for this extended timeline is essential for financial planning.

Market Exit Timing Considerations

Several factors should influence your exit timing decision:

• Local Development Cycles: Major infrastructure projects or economic developments can significantly impact property values
• Space Industry Activity: Expansion or contraction of the Guiana Space Centre operations affects the surrounding market
• Currency Exchange Rates: The strength of the Euro against your home currency can dramatically affect your actual returns
• Capital Gains Taper Relief: French capital gains tax reduces with ownership duration, with full exemption after 30 years
• Seasonal Considerations: Property marketing is typically more effective during dry seasons and peak tourism periods
• Political Climate: Both French national politics and local French Guiana governance can affect market sentiment
• Tax Considerations: Coordination with both French and home country tax years can optimize your position
• Infrastructure Improvements: Completion of major projects can create value realization opportunities
• Market Liquidity: The relatively small market means buyer availability can fluctuate significantly

Due to the specialized nature of the French Guiana property market, timing an exit often requires balancing various factors rather than trying to perfectly time market peaks. The combined impacts of property market cycles, currency fluctuations, and tax considerations create a complex decision matrix that should be evaluated with professional guidance.

Expert Tip: When planning to sell a French Guiana property, consider engaging a property staging specialist familiar with local preferences. Unlike North American markets where neutral staging is common, French Guiana buyers often respond better to properties that emphasize indoor-outdoor living connections, showcase natural ventilation systems, and highlight tropical garden features. Professional photography that captures both the property’s tropical setting and its European amenities can significantly reduce marketing time, especially when targeting the expatriate market segment.