Despite the drop in sales of real estate in France, rich people are expanding their property portfolios, particularly in the south, according to the report of Estates Beauchamp. The most popular destinations for foreign investors are still Saint-Tropez, Cannes, Cap d'Antibes and Cap Ferrat on the French Riviera. In this area, there are currently 71,000 vacation homes owned by foreign owners. There was a significant increase in the local market between 2003 and 2009. For six years, on the French Riviera home ownership increased by 15% with predominance of Russian companies.
Major foreign investors in France are the citizens of the UK and the Middle East and Scandinavia. French Riviera prices are stable and high, and the cost of real estate in Provence - Alpes - Cote d'Azur is 82% higher than the national average.
Despite the interest of foreigners in luxurious living, real estate sales in France fell in most regions in 2012. According FNAIM, the number of real estate transactions fell by 25%. The largest decline recorded in Normandy and Brittany. Although house prices in France rose by 0.8%, there were also regional differences.
Il-de-France and Provence were most effective areas, while in Lower Normandy and Brittany was a significant fall in prices by 5.7% and 5.3% respectively. Poitou-Charentes (-4.4%), Pays de la Loire (-3.3%) and the Pyrenees (-2.7%) also saw declines.