Last week was incredibly stressful due to the sale of my studio flat in the suburbs of Paris. I had found a buyer in June, but his lawyer took forever to draft the legal contract, so we didn’t sign the sale agreement until the beginning of August. You’d think that between mid-June, when he made the offer, and August, when we signed, everything would have been sorted out. However, that wasn’t the case.

The buyer’s lawyer asked for a lot of paperwork, which is standard. But after two months of a slow and costly process, he started requesting information he already had, which frustrated me immensely. It felt like he wanted me to do his job, even though I was traveling with limited internet access and access to the necessary documents.

In a curt response, I told him that while his client had every right to ask questions, it was his job to find the answers, not mine. Despite this, I still provided the buyer with the information to avoid jeopardizing the sale. Unfortunately, the lawyer’s hesitancy made the buyer nervous, and he backed out of the deal during the seven-day cooling-off period.

So there I was, three months of condo fees and taxes later, with my flat still unsold while I was on a motorcycle trip abroad. I planned to return to Paris in ten days, so I listed the flat for sale a few days before my return and decided on a price. Previously, I had listed it for $60K and sold it for $56K. This time, I advertised it as “non-negotiable $58K” to avoid prolonged negotiations. I wanted at least $56K but got lucky when six people scheduled visits for the next weekend. The first girl to see it agreed to the $58K asking price and even had me sign a paper confirming the sale and price on the spot.

We planned to sign a formal agreement with the lawyer that same week to streamline the process. However, another hitch occurred. The lawyer informed her that she might have to pay $5,000 in condo fees that hadn’t been approved in the past years, which alarmed both her and me, as I was unaware of any such fees. I spent an entire evening combing through the condo’s financial records and found no such charge. When I called her back, she understandably doubted my word against the lawyer’s.

I managed to get her to visit the lawyer’s office, where after three hours of going through the accounts, the lawyer admitted his mistake, confirming there were no extra fees. However, the lazy lawyers had not prepared the necessary paperwork, causing us to lose another 10 days, which cost me $150. I worried she might change her mind during this delay.

Finally, we returned to the lawyer’s office last week and signed the agreement! Although she still had an eight-day cooling-off period, it has since expired. The only risk now is if she can’t secure her loan, but since she’s a government worker, I’m not too concerned about that. I was very anxious for the sale to go through because I had plans to buy land in Guatemala. I needed the money not just for the new purchase but also to stop the financial bleeding from fees and taxes on the empty flat.

I am grateful that, all things considered, selling the flat in six months isn’t too long. I had it listed with agents for months, but they did nothing except suggest I lower my price by 30% to make an easy sale, which also came with a minimal reduction in their commission. It was difficult to stay polite with them.

Now, I can focus on my new land in Guatemala! My offer has been accepted, so I am officially a landowner.

Let’s break down the finances:
Money Out:
– Buying price including legal fees: $25,000
– Maintenance fee now that the flat is empty: $600 ($150 per month for 4 months)
– Rent for a super safe door: $800 ($200 per month for 4 months)
– Taxes: $3,600 ($400 per year for 9 years)
– Additional two months if the sale goes through: $700

Total out: $30,700

Money In:
– Rent for 9 years: After deducting admin fees, condo fees, insurance, I would get roughly $800 every three months. Total: $28,800.
– Selling price: $56,000. The flat’s price doubled about five years ago, and although it was difficult to sell because the tenant wouldn’t move out, I managed to sell it for a bit more than I initially invested.

Total in: $84,800

Net profit: $54,100, or roughly 17% per year, non-compounded as I spent the rent money as I received it. What I truly have left is $56,000 from an initial investment of $30,700 nine years ago, which translates to about a 5.5% compounded annual return, still a healthy profit.

Pretty good, right? I am very grateful I was able to buy that studio flat right after college. Initially, I wanted to borrow more to buy a larger property, which likely would have yielded a bigger profit, but the bank wouldn’t let me. I could have kept the money in my bank and bought later, but that would have been complicated since I was abroad, and the flat offered a better return. The past few months of dealing with the managing agency and trying to sell were tough, but I’m thrilled to have found a buyer. In two months, I hope to receive that big check and start building my home on my new land.