French property market set to see growth in 2016
May 13, 2016 - France
Enquiries into French property are up by 60% in the first quarter of 2016 compared with the previous year, the latest data shows, with steady growth predicted for the rest of the year.
Figures from the FNAIM, the national association of French estate agents, show that a record breaking 800,000 older properties were sold in 2015.
The annual analysis of the French property market from Home Hunts suggests that there was a large resurgence of British buyers last year. It says that it was a good a year for negotiations due to a combination of flexible property prices, low interest rates and favourable currency pairings
Overall the prime property market on the Riviera is booming, boosted by price falls inland, and an increase in sales in coastal locations, such as Cannes and Saint Tropez, the report says. It predicts that the prime markets on the Riviera, in Paris, Toulouse, Bordeaux and parts of Provence and the Alps are due to see price rises throughout 2016.
While the upcoming referendum in June on the future of the UK in the European Union could have an effect on British buyers' confidence in the market, the firm reports that so far there hasn't been much of a noticeable effect [...]
However there are also many Dutch, Belgian, German, Scandinavian, Swiss, American and Middle Eastern buyers active in the market and the report points out that the new LGV (Ligne à Grande Vitesse) train line which will connect Bordeaux with Paris in 2017 means that property in the area is increasing in value. Similarly, the TGV now runs from London to Marseille and areas of Provence are becoming more popular as a result.
Looking ahead the report suggests which areas of France are likely to be good buys. It says that on the popular Riviera locations such as Biot, Opio, Roquefort-les-pins, and Chateauneuf de Grasse could prove popular as buyers are now getting more for their money. In neighbouring Provence areas such as Bormes-les-Mimosas and Carqueiranne are described as offering excellent value for money.
In the south west of the country, another location popular with British buyers, Cahors, Saint-Cirq-Lapopie, and Figeac currently offer better value than the Dordogne, while in Languedoc the city of Beziers is in an area undergoing a facelift and housing stock is starting to move.
The report also says that Paris saw increased sales in 2015, particularly in November and December and is likely to continue to be popular with buyers from all over the world as they see property there as a safe investment while prices are attractive compared to London.
Trends, property prices, home prices, real estate prices