This video, “Preparing your move: visa, wealth management, money transfer, real estate,” offers a comprehensive overview of the essential steps and considerations for Americans planning a move to France. The key takeaways across the four topics are summarized below.
The full discussion on these topics begins with the visa process around [05:28].
1. France Visa and Relocation
Alison Grunt Lunes, a visas and relocation expert, emphasizes that securing the right visa is the critical first step:
- Long-Term Strategy: Your visa choice must align with your long-term goals (e.g., eligibility for a 10-year residence card or naturalization) [07:08].
- No Digital Nomad Visa: France has no dedicated digital nomad visa. You cannot legally work remotely for a foreign employer without a visa that enables you to work and requires a proper setup for paying French taxes and social charges [07:48]. Renewals are subject to increased scrutiny by the Prefecture to ensure your income aligns with your visa type [07:43].
- Tax Residence: Residing in France full-time means you must establish tax residence there, as opposed to attempting to be a tax resident elsewhere [08:45].
- Key Visa Types:
- Visitor Visas: For those who do not intend to work. A renewable visitor visa establishes tax residence from the day you arrive [11:02]. A temporary visa (up to 12 months) is not renewable or extendable in France [11:08].
- Self-Employment/Business Visas: Options exist for those who want to be self-employed (e.g., Micro-Entrepreneur), but they often have income caps and require demonstrating potential clients in France [13:00].
- Health Coverage: For a visitor visa, you must show proof of a private health insurance policy for the first year [01:12:26]. If you are working, registering your business or employment immediately begins the process of getting you into the French healthcare system [01:13:56].
2. Wealth Management and Tax Planning
Alex Ingrim, a financial and cross-border planning expert, covers the complexities of being a dual US and French taxpayer:
- Dual Residency: As a US citizen, you are liable for US taxes on worldwide income (citizenship-based). In France, you will become a tax resident (residency-based) [02:24].
- Favorable Tax Treaty: The US-France double taxation agreement is highly advantageous for US citizens [02:40]:
- Retirement: Income from US retirement accounts (401k, IRA, Social Security, US defined benefit pensions) is taxed only by the US, and you receive a corresponding French tax credit to avoid double taxation [02:49].
- Investments: US-domiciled investments (like US ETFs, mutual funds, and stocks) can also benefit from the treaty, often resulting in capital gains being taxed at lower US rates [02:53].
- Critical Complications:
- Estate Taxes: French estate taxes are significantly higher and apply at much lower exemption thresholds than in the US [02:54]. You must consult a specialized French estate planning lawyer.
- Trusts: Trusts are generally recognized as transparent in France and require extensive reporting, making trust-based planning difficult [02:58].
- Financial Products: Local French tax-mitigation strategies (like the Assurance Vie) are often not US tax-efficient [02:54]. You must ensure any advice works for both US and French tax systems.
3. International Money Transfer
Ellen Fond, a money transfer expert, discusses how to handle the financial logistics:
- Exchange Rate Risk: Fluctuations between the US Dollar and the Euro can significantly impact large purchases like property (e.g., a currency shift could result in an 18% difference in purchasing power) [03:40].
- Securing Rates: You can use a money transfer service to lock in an exchange rate for future transfers using forward contracts, which is useful when you have a closing date set for a property purchase [04:11].
- Bank Services: These services can save you 3-4% compared to using standard American banks for overseas transfers [03:50]. They can also help US citizens secure an appointment to open a local French bank account, a process that can be difficult otherwise [04:16].
4. Real Estate and Property
Tom Isdown, an architecture and planning consultant, explains the process of buying and developing property:
- Purchase Timeline: The standard process (search, offer, signing contracts) takes at least three months, but the reality is often between three and six months [05:58].
- The Compromis de Vente: This initial contract is a crucial document. You have a 10-day cooling-off period after signing to withdraw without penalty [05:32]. You can (and should) insert conditional clauses (e.g., contingent upon securing financing or receiving planning approval for renovation) to protect your deposit if the property doesn’t meet your needs [05:08].
- Notaire’s Role: The Notaire is a state official who ensures the sale is legal, but they are neutral [05:27]. They do not act as your individual advocate or attorney to advise on due diligence, property condition, or the insertion of protective clauses [05:12].
- Due Diligence is the Buyer’s Responsibility: Unlike in the US, property inspections or structural surveys are not standard [05:51]. You should hire professionals (architects, surveyors) to check for structural integrity, hidden costs, and urban planning hurdles (e.g., confirming a barn can legally be converted) before signing the final deed [05:57].
- Costs: Expect to pay agency fees (typically 6-8%) and Notaire fees (which cover stamp duty tax and the Notaire‘s services), totaling about 7-8% of the purchase price [05:43].
Contact Information
For more information, you can find the experts’ resources using the following links and details:
- Alison Grunt Lunes / Your Transformation: Author of Foolproof French Visas and offers consultations and free Q&A sessions.
- Alex Ingrim / Liberty Atlantic: Provides cross-border financial and tax planning advice.
- Ellen Fond / Currency Direct: Offers consultations for money transfer planning.
- Tom Isdown / French Plans: Offers architecture and planning consultancy for property projects.
You can watch the full video here: Preparing your move: visa, wealth management, money transfer, real estate
Preparing your move: visa, wealth management, money transfer, real estate
Wissam Charafeddine 