Are foreign buyers really returning to the French prime property market?

[totallyproperty]

We have seen a number of reports over the last few days suggesting that foreign buyers are now returning to the French prime property market. However, the French economy is still struggling, austerity measures are proving difficult to push through and political uncertainty is not helping the situation.

Are foreign buyers really returning to the French property market or is this an attempt to attract more attention?

 

[LPC]

You are right. A lot of the reports are by companies specialising in selling French houses to foreigners (especially British). The reality is indeed as you describe it. The housing market is still struggling, as is the economy. Agencies try to gloss over the current difficulties by claiming that the number of foreign buyers has risen again, but this is not the case. There are still buyers from the UK and other countries (Holland, Belgium and Germany) but they are thin on the ground and have plenty to choose from.

On the other hand, now is a good time to buy, whilst the euro is weak and house prices are still low. This must change at some time in the future (possibly in a few years time). But, of course, nobody has a crystal ball!

 

[lookinginvest]

French property regulations, especially those targeting foreign investors, are not necessarily helpful but France is the most popular tourist destination in Europe. Foreign investors will always be interested in French real estate.

 

[nmb]

Economic growth in France for the first quarter of 2016 came in at 0.6% against forecasts of 0.5%. While this is impressive and head of the 0.4% in the previous quarter surely economic challenges in France and across Europe will take some of the gloss off the French property market? While ECB fiscal policies may well have papered over the European economic cracks in the short term, what does the long-term hold?