French New-Build Property Guarantees
- laurenthalle3
- 5 days ago
- 5 min read
Buying a property off-plan in France—known as vente en l’état futur d’achèvement (VEFA)—can be an appealing investment. You're getting a brand-new home, often with modern amenities, energy-efficient construction, and the ability to choose finishes. But since you're buying something that doesn't yet exist (or is still under construction), there are risks. That’s where French construction guarantees come in.
France has some of the strongest legal protections for new-build buyers in Europe. These are mandatory and built into the VEFA framework. Here's what they are, how they work, and why they matter.
THE KEY FRENCH NEW BUILD PROPERTY GUARANTEES
Financial Guarantee of Completion (Garantie Financière d’Achèvement – GFA)
The Financial Guarantee of Completion is one of the most critical legal protections for buyers of French off-plan properties (VEFA). It ensures that the construction will be completed, even if the developer goes bankrupt or runs out of funds. This guarantee is issued by a financial institution, usually a bank or insurance company that commits to funding the completion of the project if the developer defaults. It shifts the financial risk away from the buyer and is required by French law for all off-plan transactions. The notaire (French notary), who oversees the legal aspects of the sale, plays a key role in verifying that the GFA is valid and in place before the final deed (acte de vente) is signed. The notaire is legally bound to protect the interests of both parties but is particularly crucial for the buyer in VEFA purchases, as they ensure all mandatory documents including the GFA certificate are properly attached to the contract. If the GFA is missing or incomplete, the notaire is obligated to delay the signing. This legal check is essential because signing without a valid GFA leaves the buyer exposed to serious financial risk. In short, the notaire acts as a legal gatekeeper, making sure the buyer is fully protected before committing to the purchase.
Perfect Completion Guarantee (Garantie de Parfait Achèvement)
The Perfect Completion Guarantee covers all defects or issues reported by the buyer within one year from the date the property is delivered. This includes anything from poor workmanship and finishing flaws to non-compliance with building specifications, whether the problems are noted during the initial handover inspection or discovered later within the first 12 months. Under this guarantee, the developer is legally obligated to correct all reported faults, no matter how minor unless they result from misuse or normal wear and tear. It's important that buyers document any issues clearly, ideally through the procès-verbal de livraison (handover report) or via a formal registered letter if discovered after moving in. This guarantee ensures that the buyer receives a property built to the agreed-upon standards and gives them recourse if the final result falls short.
3. Two-Year Guarantee (Garantie Biennale)
The Two-Year Guarantee covers equipment and fittings in the property that are not part of the main structure and can be removed or replaced without causing damage. This includes items such as doors, shutters, radiators, intercom systems, and other similar fixtures. It is valid for two years from the date the property is delivered. The guarantee specifically applies to defects or malfunctions related to installation or manufacturing quality, not to issues caused by normal wear and tear, poor maintenance, or misuse by the occupant. If any of the covered items fail or show defects within this period, the developer is responsible for repairing or replacing them. Buyers should report such issues promptly and keep records to support any claims made under this guarantee.
Ten-Year Structural Guarantee (Garantie Décennale)
The Ten-Year Structural Guarantee protects buyers against major construction defects that compromise the structural integrity of the building or make it unfit for its intended use. This includes serious issues such as faults in the foundation, roof, supporting walls, or waterproofing, any defect that could threaten the stability or livability of the property. The guarantee is valid for ten years from the date of delivery and is backed by a mandatory insurance policy known as assurance décennale, which the builder is legally required to take out before construction begins. If a covered defect arises within this period, the buyer can claim directly against the builder’s insurer for the necessary repairs, even if the builder is no longer in business. This long-term protection gives buyers peace of mind that any hidden or latent structural issues will be addressed without bearing the financial burden themselves.
INSURANCE REQUIREMENTS: Who's Covered?
As a buyer, you’re automatically covered by the mandatory construction guarantees in France, but it is the builder or developer who must arrange and pay for them. Before signing the final deed of sale (Acte de Vente), you should always ask that these protections are in place. This includes the GFA certificate from a recognised financial institution, which guarantees the completion of the project, as well as insurance attestations for the ten-year structural warranty (assurance décennale) and any other applicable guarantees. These documents are typically annexed to the Acte de Vente (Deed Of Sale) and should be reviewed carefully, ideally with the notaire, to ensure that all legal obligations are met and your investment is fully protected.
COMMON BUYER PITFALLS TO AVOID
There are several common pitfalls that buyers of French off-plan properties should avoid to protect themselves. One of the most critical is failing to check the Financial Guarantee of Completion (GFA); you should never sign the deed of sale without this guarantee clearly in place. Another common mistake is missing the deadline to report issues during the handover if problems aren’t documented in the delivery report, it becomes much harder to make valid claims later. Buyers also sometimes confuse guarantees with insurance; guarantees are legal obligations the builder must honour, while insurance is the tool that ensures you’re compensated if the builder can’t fulfill those obligations. Both are essential. Lastly, it’s important not to underestimate construction delays. While the legal framework offers strong protections if things go wrong, it doesn’t prevent delays from happening. Buyers should always build some flexibility into their timeline to accommodate possible setbacks.
FINAL THOUGHTS
French new-build guarantees are designed to protect you—not just during the build, but for up to a decade after. They shift a significant amount of risk to the developer and their insurers, which is a major plus for buyers.
Still, it’s important to read contracts carefully, verify the paperwork, and work with experienced notaries or advisors who understand the VEFA process. With the right diligence, buying off-plan in France can be a smart and secure investment.
YOUR NEXT STEP
Whether you’re considering a property by the sea, in the mountains, or near a bustling city centre, purchasing off-plan in France offers a smart, secure, and stylish route to ownership.
If you're ready to begin your property search or want to explore exclusive developments currently available, our team is here to help.
Request a one-on-one consultation, or join our private client list for first access to new releases.
Let us help you find a property as distinctive and refined as your lifestyle.
Disclaimer: This blog post is for informational purposes only and does not constitute legal or financial advice. While every effort has been made to ensure the accuracy of the information provided regarding French construction guarantees and VEFA property purchases, laws and regulations may change, and individual circumstances can vary. Buyers should always consult a qualified notaire, legal advisor, or real estate professional familiar with French property law before entering into any contract or making investment decisions. The author and publisher disclaim any liability for actions taken based on the content of this post.
