T
HE NOTAIRES DE France
report that domestic sales are
up 19% year on year and this
tallies with our own findings
as well as other reports from
high end agents.
We saw no slow-down in enquiries
from the UK post Brexit and have only
seen a minor reduction in the aftermath. This is more
than compensated
for by increased demand from the
USA, Australia, Middle East, Belgium
and Scandinavia (where a number of
wealthy buyers have come back into
the market and average purchase price
values have soared).
The double whammy of competitive
prices and historically low interest
rates means that the outlook for the
prime residential market in France is
rosy. The run up to the election in 2017
doesn't seem to have had any effect
on demand and both the FNAIM and
Notaires de France are predicting a rise
in prices caused by the increased sales
volumes.
In the prime market we have
found that sales volumes are highest
between €800,000 - €2.5m, whilst we
have seen that there are still precious
few buyers in the top end (€5m+).
We have seen particular interest in
income-producing assets such as vineyards
and hotels, with the former being
seen as both a "lifestyle" option as
well as a sound investment. The hotel
sector is particularly interesting where
demand from the lower end (boutique
hotels particularly) has spread up to
some of the finest city centre options.
The country house market has also
seen a pick-up in demand, driven by
a mixture of domestic and international buyers.
Rural property prices
have been in the doldrums since the
financial crisis of 2008 but transaction
numbers have increased and the market
has stabilised. Stock levels are high
and we have some beautiful listings
that we're confident will sell - it may
not be too long before the buyer is no
longer in such a position of strength
as the stock of good quality country
houses diminishes. We are not there
yet though.
The Alps continue to lead the way
in terms of our own sales volumes.
The cosmopolitan atmosphere and
year-round appeal beckons buyers
from around the world and we have
sold to a dozen different nationalities
in the last year. The different "feel" of
each of the major ski resorts gives an
excellent choice to buyers with those
from Britain, Switzerland and Belgium
leading the way.
Similarly PACA and Paris are benefiting
from the stability of the French
economy and the confidence shown by
domestic buyers. It is this mixture of
local and international buyers that has
turned the market and leads us to believe
that realistically priced property
is now selling.
It is worth emphasising this last
point. Many vendors of prime real estate still have
unrealistic expectations
and we worry that any positive market
news will exacerbate this - if you want
to sell your property then please do
listen carefully when your agent offers
advice and comparable evidence.
Jane Berry heads up our Prestige Department
MOVING
ON UP!
Post Brexit, the outlook is looking good for
buyers at the top end of the property market
reports Jane Berry
Après de longues et difficiles années,
2016 aura été marquée par l'optimisme.
Les chiffres enregistrés dévoilent une
hausse franche du nombre des transactions (+ 19%). L'envolée
des prix immobiliers
dans quelques-uns des principaux
centres économiques et financiers du
monde attire de nombreux investisseurs
internationaux sur le marché immobilier
français.
Nous avons observé une hausse significative
de la demande notamment
pour les biens commercialisés entre 800
000 et 2,5 millions d'euros et situés dans
les secteurs clés : les Alpes, la région PACA
et Paris. Les prix des belles demeures rurales
peinent, certes, à remonter mais
nous pensons que cette situation changera
rapidement du fait de l'importance
de la demande. Enfin, les acquéreurs
internationaux continuent à s'intéresser
fortement aux propriétés commerciales
telles que les hôtels et les vignobles qui
représentent actuellement de très belles
opportunités d'investissement.
Si vous souhaitez vendre votre bien rapidement, notre
premier conseil est de tenir compte
de l'estimation de votre agent
qui connait parfaitement le marché local.
PRESTIGE PROPERTY LEGGETT MAGAZINE
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