December 2012: Currency update

Investors' impatience with the lack of progress on a permanent solution to the Euroland debt crisis (if that's what it still is) has begun to take its toll. From its position at the beginning of October the euro has fallen by more than two US cents....

Monday, 29 October 2012

Invest in a Student Residence through French leaseback

Student residences are becoming increasingly popular with investors attracted by good returns with low risks. This is one of the most profitable real estate deals but investors must pay attention to the reliability of the management company and the location. This market, neglected in the mid-1990s, has rebounded in recent years in the context of a shortage in the housing market. Today, France has approximately 340,000 designated student properties, whereas each academic year sees  more than one million students seeking accommodation in the rental market. Simplicity and efficiency Mainly composed of studios, student residences are...

Tuesday, 23 October 2012

Mortgage rates keep on decreasing

Mortgage rates keep on decreasing in France and brokers say that it reminds them the situation of October 2010 where rates hit record lows. Some brokers in France have succeeded in finding the occasional unexpected fixed rate of 2.95% over 20 years for their French clients. Less than 3% for a repayment French mortgage over 20 years is a dream for many applicants. But the dream remains inaccessible to the vast majority of them even in this period particularly favourable. In fact, the lowest rates are only accessible for the best applicants that have a good financial health and are living in France. In fact it is hard to see rates being able...

Monday, 8 October 2012

Bargains galore in the French high end real estate market?

The high end property market in France is facing a dramatic increase in supply as Francois Hollande Government announces a tax rise in the coming months. "It's nearly a general panic. Some 400 to 500 residences worth more than €1 million have come onto the Paris market”, managers of Daniel Feau, a Parisian estate agency which specialises in luxurious properties said to the French Press Agency. This huge increase in supply is due to the fact that the new Socialist Government plans to raise the tax rate to 75% on income above €1 million per year and to introduce a marginal tax rate of 62.21% on sales of stock, which has led some the...

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