Attracting some 90 million visitors every year, France is the most popular tourist destination worldwide. Bearing this in mind, it’s not so surprising that what initially starts as a short holiday often evolves into more frequent, longer stays and ultimately buying a home.
Joachim Wrang-Widen, senior vice president at Christie’s International Real Estate comments,
“In general, the American-based buyer is now back in buying mode helped by the favourable exchange rate dollar/euro as well as positive macroeconomic situation which encourages more consumer spending. Favoured locations include Cote d’Azur and Paris which see much of the buying activity. This is complemented by the odd forays into Dordogne and other select locations.
“The strengthening of the sterling vis-à-vis the euro has also resulted in UK buyers again flocking to France assisted by a better general understanding of how the revised taxation structure operates for foreign owners. In our opinion, the changes have over time been accommodated/taken into account as part of the structural framework for owning real state in France.
“Russians, having been a dominant force in the past in particular in the very top-segment with ‘statement acquisitions’, have in the past 12 months changed their behaviour in Cote d’Azur from buying to increasingly instead renting. Another group of buyers at the very top-end emanate from the African continent and in particular from the francophone countries.”“French luxury properties can be good value and especially if one compares the prices to urban residences in say London or New York. The prices at the very top-end (say above €100-150 million) have experienced a slow-down in demand which is now starting to be reflected in the vendor pricing. The liquid segment of €2-5 million sees growing transaction volumes but as many luxury properties are non-essential acquisitions, potential buyers have been cautious since the Lehman crisis. Given the historically low interest rates that prevail across the world, real estate is now inexpensive to finance and also provides longer-term capital growth opportunities. Ergo, luxury properties are not only seen as a property per se to use but also as an alternative investment medium.”
Summing up, Trevor Leggett, chairman of Leggett Immobilier, adds,
“It’s crystal clear that international buyers are, once again, back at the top end of the market. They have access to an increasing amount of market research that shows that prices have dropped and the domestic market remains becalmed. Add in a weak euro and access to cheap money and you have a trio of reasons to think that timing is right. Our sales support team reports that the UK and USA are leading the way in the pursuit of prestige property – the trick is to ensure that vendors price their property sensibly. If they do this then they have the highest chance of finding a buyer since well before the crash of 2008.
“The recent election in the UK also seems to have cleared up any uncertainty in the minds of UK buyers – the share price of UK agents like Foxtons and Savills jumped immediately following the result and this confidence has also had a big impact on offers received on this side of the channel.”
Villa Vallauris, Super Cannes
In perfect condition, this bastide has breathtaking 180° sea views over the bay of Cap d’Antibes and to the mountains of Italy. In approximately 9,000m2 of peaceful, landscaped grounds, it includes five bedrooms, en suite bath/shower rooms, a huge kitchen with fireplace, dining room, sitting room and study, all opening on to terraces. There is also a summer kitchen with fireplace and barbecue, a guesthouse with separate entrance comprising two bedrooms and a ground floor one-bedroom apartment. Outside are a large saltwater heated pool, pool house, tennis court, jeu de boules, garage for two cars and several parking spaces.
£ 8.6 / €12m / $13.2 – £10.8 / €15m / $16.5
Christie’s International Real Estate Michaël Zingraf Cannes +33 4 9339 7777
