More for your money

There are many benefits to buying a property with a French mortgage, especially in the current circumstances.

- Fiona Watts

If you’ve been thinking about purchasing in France for a while, you could be forgiven for thinking that maybe the universe was conspiring against you!

Back in 2016, we had the EU referendum, which overnight caused the sterling value of French property prices to leap (in the wrong direction). This was followed by three years of highs and lows and deadlines and extensions that often made a mockery of any predictions on foreign exchange rates, French interest rates, and EU/ UK entry requirements and rights to remain.

Yet throughout 2019, and certainly by the beginning of 2020 a new-found confidence seemed to be emerging; the pound was strengthening, and purchasers were ready to take the plunge – certainly we, and many of our partner estate agents, were seeing a record number of enquiries.

The recent periods of economic and political instability and the uncertainty these situations have caused, along with rapid movements in exchange rates, have prompted some international buyers of French property to change their plans or put them on hold. However, for many the appeal of France as a lifestyle destination and second-home market remains undimmed.

The long-term impact of Covid-19 on both people’s personal freedom and finances is becoming clearer with each passing day while exchange rate volatility, over recent months, has focused the mind for anyone earning in sterling but looking to purchase in euros. Dramatic movements in stock markets have also reduced the value of the shares and savings that buyers have had earmarked for the potential purchase of a second home in France.