France: the conditions of property purchase attract foreigners

France: the conditions of property purchase attract foreigners

Portal Property Wire released a report stating that the French real estate is still popular among foreigners. For example, in May in the UK has been marked a maximum demand for loans to buy French property since 2007.

The increase in the activity of foreign investors was affected by the new conditions of purchase, low mortgage rates and lower prices in the regions of France, traditionally popular with foreigners.

Low rates called one of the main reasons, as they stimulated the growth of activity in the property market in France, which has led to new borrowers and refinancing of old loans. Refinancing can now save about 10% of the loan amount. For example, a reduction in the rate of only 1% would save €13,000 of the loan amount to €100,000 over 20 years.