VAT Refund (Garrigae organises this so that you only ever have to pay the before tax price)

19.6% is refunded on all new properties that fulfil 2 criteria mentioned in the previous paragraph. e.g. if the price for a new property is €119,600, you will only pay €100,000, so a discount of €19,600.

This VAT refund is credited over a 20 year period.

Should you decide further down the line that you prefer to use the property for more than 182 days a year, before the 20 years are over, and stop the leaseback scheme, you will be liable to repay the outstanding amount of VAT remaining that was initially credited over the 20 year period (this equates to approximately 1% of VAT repayable per remaining year). For instance, if you purchase a property and receive a refund on the VAT of €20,000, then decide to stop the leaseback scheme after 15 years, you will be liable to refund €5,000 to the government [ ( 20 years VAT) – (5 years of VAT) = €5,000 ].

You can sell the property at anytime

• In the event you are selling your property to someone who wishes to re-enter your leaseback scheme there is no penalty.

• In the event that the person, to whom you are selling, wants to purchase the property outright– i.e. not on the leaseback scheme - then you will be liable to pay back the outstanding VAT at the time of the sale. In this circumstance the vendor would tend to increase the price in order to accommodate the VAT repayment. . Equally you could potentially encounter a penalty fee from the management company for breaking the lease.

Hassle Free approach to owning a holiday home

The French leaseback offers hassle free rental for the property owner. The management company is responsible for the full upkeep of the property, its furniture and the communal areas such as the gardens, pool, Spa, etc. The management company is also responsible for renting out your property during your absence. On the leaseback schemes where the rentals are guaranteed, the management company will pay you the returns whether or not your property was rented.

Weeks of occupancy in your property

Within the French leaseback scheme Garrigae provides purchase options that vary from pure property investments to a flexible mix of investment along with personal use. For example on our 2% return deal you benefit from 5 to 8 weeks of personal usage (depending on the season) + 25% reduction off rack rates at all Garrigae destinations all year long+ 20% discounts on all facilities (bar, restaurant, spa)*. Accommodation for your personal usage needs to be booked 6 months in advance.

* With the exception of some of the weeks in peek season, the weeks can be used at any of Garrigae’s destination, subject to equivalent accommodation costs. Usage cannot be postponed from one year to the next. Reductions vary from property to property.