Actualité - Monetary Donation for Real Estate Purchase: How Does It Work in France

Article updated on 12/10/2026

Would you like to help a loved one buy a home? A monetary donation is a way to help them succeed in their property project. Indeed, nearly one in five French people has already received a donation during their lifetime¹.

Summary

A monetary donation (article 894 of the Civil Code) strengthens a loved one’s personal contribution and makes it easier to obtain a loan.
Gift duties depend on the family relationship and the amount, after an allowance renewable every 15 years (€100,000 per parent and per child).
A manual gift of money must be declared to the tax authorities, online or using form no. 11278.
For a large sum, using a notary is still recommended.

Update of Monday 12 October:
Until 31 December 2026, a gift of money to a child, a grandchild or, failing that, a nephew or niece is exempt from duties if, within six months, it is used to buy a new or off-plan home to be used as a main residence, or to finance energy renovation work on one’s main residence. The ceiling is €100,000 per donor and €300,000 per beneficiary. This advantage can be combined with the €100,000 allowance per parent and the €31,865 family gift: a window to seize before the end of the year. Source: Euodia ; MeilleureSCPI, 2026.

Giving a loved one a financial boost for a property project is therefore a common step, very often to help one’s child become a homeowner. In this article, discover the essentials of monetary donations for a property purchase with Capifrance!

Is it possible to make a donation for a property purchase?

Provided for by article 894 of the Civil Code², a gift inter vivos is a legal act by which one person (the donor) transfers ownership of an asset free of charge to another person (the donee). In the context of a property purchase, this transfer most often concerns a sum of money.

To be valid, the process must first meet certain conditions, such as³:

The donor’s legal capacity. The donor must be of age and in full possession of their mental faculties.
The gratuitous nature of the donation. There must be no consideration in exchange for the gift.
Acceptance of the gift. The beneficiary must clearly give their consent (in writing, in the deed, when the donation is made before a notary).

Why make a donation for a property purchase?

A donation offers many advantages for a property purchase project:

Thanks to the larger personal contribution, the donee can convince a bank more easily.
He or she gets access to more favourable interest rates.
The money can also be used for other purposes: notary fees, agency fees, security deposit, works or any other expense when acquiring a property.

How is a monetary donation for a property purchase taxed?

Gift duties are a tax calculated on the sum of money transferred. In practice, their calculation depends on:

The family relationship between donor and donee. The closer it is, the lower the duties.
The value of the donation. The scale is progressive. For a monetary donation for a property purchase, the tax rate increases with the amount given.

To encourage gifts between relatives, the law provides an allowance on gift duties. It is renewable every 15 years⁴ and applies to donations made during that period. The amount of the allowance varies according to the family relationship. It currently stands at⁵:

€100,000 for a child.
€31,865 for a grandchild.
€80,724 for a spouse or PACS partner.
€5,310 for a great-grandchild.
€15,932 for a brother or sister.
€7,967 for a niece or nephew.
In addition to these allowances, a family gift of money of up to €31,865 to an adult child, grandchild or great-grandchild is exempt if the donor is under 80.

A practical example
A gift of €60,000 to one of your children to buy their main residence will be completely tax-free. You can then give them up to another €40,000 on the same terms over the following 15 years.

How do you make a donation for the purchase of a property?

For movable assets such as money, a simple “manual gift” between donor and donee may be enough. It must be declared in all cases, whatever the amount⁶. You can do this:

Either online, from your “Particulier” account on impots.gouv.fr.
Or on paper. Download form no. 11278, “declaration of manual gift and gift of sums of money”. Fill it in and send it in duplicate to your departmental tax office.

Donating a property, on the other hand, is a more complex legal act. It is always carried out by notarial deed. Selling your house or selling your flat can therefore be the ideal opportunity to make a monetary donation for the donee(s)’ property purchase, especially when the children have grown up and you want to help them become homeowners.

Conclusion: a monetary donation strengthens a loved one’s initial contribution to their property project

A monetary donation is a flexible tool if you want to give a boost to a loved one who wants to buy a house or buy a flat. Make the most of the allowances provided by law to optimise this transfer of wealth and plan your estate!

The 3 key points to remember:

A donation is an effective tool to help a loved one become a homeowner.
It involves formalities, including a declaration followed by the possible payment of gift duties.
For a large sum, using a notary is recommended. You must take care not to disadvantage any of your heirs.

Would you like to sell a property and make a monetary donation to a loved one for their current or future purchase? Contact your local Capifrance advisor to obtain an accurate property valuation and complete the sale at the right price, with the right buyer. Feel free to browse our property listings throughout France for the person you want to help with their property project!

To find out more, watch our video « Parlons peu, Parlons biens » #8 : Votre meilleur allié patrimonial.

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Author

Frédéric Rémy – Director of Sales Performance

A real estate professional with several years of experience within the Capifrance network, I would like to share essential advice with you to help you successfully complete your property project with our advisors.