The euro started well enough but finished badly. The net result was a loss of two and a quarter US cents to the week’s top performer and a cent and a quarter to sterling.
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France is known for its wonderful markets, but one of the best times of year to visit is during the Santa season. There are several Christmas markets throughout France, with wonderful handcrafted ornaments, gifts and food items.
As many as 500,000 Brits could be leaving the UK to become expats by the end of 2009 reports Axa, one of the world’s biggest insurers. It is difficult to use forecast figures as a barometer of intent to be fair, but there is no doubt that the trend for moving abroad is increasing.
The lovely stone house set in 0.5 acre of garden near Narbonne (Aude departement, 11) is now a lot cheaper than it was when it first appeared on the market. Its price has been reduced from €245,000 to €196,100.
Even though everybody agrees that properties are generally not overpriced in most parts of France compared to the UK (where prices are expected to fall up to a further 30% by next year according to some analysts), we have noticed some price reductions in parts of France meaning that prices remain attractive even with the rather bad currency exchange rate that we can witness at the moment. Some of the reductions on properties in France are even taking prices below what they would be even if the exchange rate was still 1.45 Euros to the £1. For example, we have a large stone property in the Limousin (ref 12454) which has just been reduced from 145,800 Euros to 103,550 Euros which is almost 30% down on the price – which makes the property cheaper than it would have been a year ago! Sure, not all sellers would be ready to slash their price this far but we have spotted some really good bargains recently, and with less buyers on the market, room for negociation has never been this good. And that’s why, before prices start to go up again (and they will), now is the right time to purchase a property in France!
Yesterday, we went to the 25th birthday of a property management company in London and were told that the property investment market in France remain strong despite the current worldwide financial crisis.
The property investors are mainly coming from France and Belgium. They do not have as much British investors as to last year and we supposed that it is due to the property slump in the UK. Lots of investors in the UK have also been hit by the stock market downturn and cannot afford to sell their shares to invest somewhere else.
In France the investors have always been more interested by safe investment rather than high yield and 20% price increase per year such as the ones you could have seen last year in Bulgaria. You can take the example of market in Florida which was increasing by 20% each year to a record high in 2005 before crashing in 2006 and 2007. This type of market boom cannot happen in France because the properties rarely increased by more than 10% per year during the last 10 years. If you are looking for a safe investment that you can keep on a long term basis rather than a quick risky bargain, then France still remains as one of the safest property market in the world.
You can find our latest leaseback in France on our website or can contact us to get more information and advice.
One of customer just bought a stone house with swimming pool in the Aude. It has 3 bedrooms and a small study room. It also comes with an outbuilding which could be converted into a small gite for the guests or to get an extra income. It was advertised at 300,000 euros. After the negotiation with the buyer they agreed for 270,000 euros. It usually takes 3 months to sign in front of the notaire that means they will be able to use it for the school holidays in February.
It is a good time to buy in the Aude because if you negotiate the price you can very often get 10% reduction. If you buy a property in France you don’t just become a home owner of a freehold property but also get access to the French way of living with the local bakeries and restaurants, can travel through the vineyards of the Minervois and Fitou to meet the local producers and taste their local wine with French cheese and saucisson!
My colleague noticed something very interesting this afternoon. There is a property quoted on French property news magazine at €284,714 euros when it is listed at €245,000 on Sextant website. With Sextant you just need to add the notary fees which should be around 16,300 euros (see this calculator: http://www.anil.org/fr/outils-de-calcul/frais-de-notaire/index.html). In total with Sextant the property ref 7556 will cost you only 261,300 euros, you save 23,414 euros without any negotiation. We can get an even better reduction if you ask to our local agent to negotiate the price for you.
By choosing Sextant Properties®, you are deciding not only to work with a team of professionals estate agents who are truly passionate about France and committed to finding the perfect home for you but also a company which guarantees to help you every step of the way.