CAFPI Newsletter

Property and Mortgages in France

2009 has been a year of observation for many would-be buyers. The national market started picking up in February / March this year with a large number of sales going through in June / July.
International buyers, keen not to be left behind, started making offers for property they had selected. Sales are proceeding on the lower end of the scale, whilst sellers in the higher price range are not at present convinced that they need to discount in a major way. The sterling/euro exchange rate continues to be an issue:  currently at 1.14. Many prospective buyers are consequently holding onto their savings in GBP and taking out a euromortgage. Rebuilding confidence in the pound is a question of time, so it may be that this is the sort of level we are going to have to live with for the time being.

Who are our Clients ?

Mr. O., a company director in the UK, was looking to finance a chalet in Savoie at a cost of 500 000 euros. As a buy-to-let property he expected a yield of 4%. CAFPI obtained 80% financing for him at a 2 years fixed rate of 3.65%, followed by a variable rate with a security cap at 4.65%. The loan, on a 25 year term, can be partially or totally repaid with no redemption penalties after the first 2 year fixed period. Mr. O. was very happy ….

French Property Shop advertising properties for sale and rental throughout France