Outlook good for low mortgage rates in France

With the reaction on the FTSE today to Mervyn King’s announcement that mortgages rates look certain to stay low in the UK despite a coming spike in inflation, the outlook for low mortgage rates in France. Fortis bank announced today that it was selling bonds covered by ECB collateral bring liquidity to the market again. Two other major French banks also announced that they were also using mortgage backed collateral to raise further finance into an increasingly competitive market for mortgages in France. We have noticed several banks dropping the margins over the Euribor for variable rate mortgages in France in the past few months with many lenders now back to margins below 2% having dropped the margins by 20% or more.

Low rates and the availability of up 100% finance for French home loans provide those with good levels of income to secure a French property despite the strength of the Euro. We have seen continued growth in the numbers of enquiries over the last month with a further increase of 15% in the number of people applying for a mortgage in France through Athena Mortgages. We can offer a good snapshot on potential new loan offers and rates from the major and niche lenders in France. Our service levels are excellent and our brokers professional and friendly, helping all those who apply with us an excellent package for properties in France. The best way to find out what is happening in the France mortgage market is to talk to one of our brokers and for those looking for the current best buys for French mortgages can find them here. Best buys for Mortgages in France for leasebacks, second homes, buy to lets and equity release.

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