The Conservative Party’s election victory last month is fuelling British demand for French property, according to agents, as the market offers “once in a decade” conditions.
Interest in European property has increased in recent months, thanks to the weak euro, which has made property in Spain, France and Portugal more affordable – and, therefore, more attractive. On TheMoveChannel.com, Spain remained the most popular destination in the world during April 2015 for the second month in a row, while France climbed one place in the rankings to become the sixth most popular.
Leggett Immobilier says that sales in the first quarter of 2015 have jumped by 40 per cent, thanks to the triple whammy of low prices, cheap financing and a weak euro.
“Add in the facts that prices have dropped in recent years and that you can get a fixed rate mortgage for around 2.55 per cent with an 80 per cent loan to value and our view is that these are “once a decade” buying conditions,” says Trevor Leggett.
For example, one property listed with the agent in Paris worth around €850,000 would have cost £725,000 this time in 2013, around £695,000 this time last year and just £605,000 today – a saving of around £120,000 over the last two years.
Following the election result in May, the pound’s strength increased further, with the weak euro combining to boost spending power for British buyers. Leggett says that sales in May “really exploded”, on the back of increased confidence. Indeed, the A Place in the Sun Live exhibition, which took place on the weekend following the vote, said there was “standing room only” at the French property seminars.
“It was a timely photo opportunity between David Cameron & Francois Hollande in Paris yesterday,” comments Trevor today. “One could almost imagine the British premier asking M Hollande whether yields are better in the 8th Arondissement or on the Cote d’Azur.”
Source:: The Movechannel