FRENCH MORTGAGE NEWS

To help buyers looking for that dream home in France, Offshoreonline.ORG, expatriate and euro mortgage specialists, has announced the launch of a new range of mortgage products offering both increased flexibility and lower interest rates.

This new range of French euro mortgages provides options for those clients who are looking to buy and refurbish a property and who may currently fall foul of strict French bank affordability criteria. Tim Harvey, managing director, Offshoreonline.ORG says: "Affordability is still an area that comes as something of a shock to buyers used to the UK market where the 100% mortgage and large salary multiplier are the norm. In France, lenders have to ensure that a client’s borrowings and liabilities do not exceed around 35% of net income."

Offshoreonline.ORG can now negotiate new interest-only products on the basis of a 20% deposit, with the interest-only period running up to 15 years. Capital repayments during this period are free of any penalty, giving this product an exceptional level of flexibility. With an increased deposit of 30%, Offshoreonline.ORG can also offer clients new lower variable rate repayment products starting at an interest rate of just 2.95%, with the margin over Euribor, the European Central Bank reference rate fixed for the duration of the loan. These new lower variable rate repayment products are a low cost and flexible offer for clients wanting a capital and interest repayment structure.

Offshoreonline.ORG is also testing a new revolving credit product that will appeal to clients who may be refurbishing a property. Capital repayments made in year one are added up to create a revolving credit reserve, which clients can redraw subsequently for home improvements and general living expenses.

Finally, new variable rate repayments are now available with a 30-year repayment term, which will be of interest to buyers who want to spread repayments over a longer term and so be able to meet strict French bank affordability criteria.

For information on this new range of French euro mortgages, email or visit Offshoreonline

Source Newskys

FRANCE SHOWS THE WAY FORWARD

With capital gains of up to 15% a year, high demand for rental accommodation and relatively cheap property compared with the UK, France is being tipped as the next big thing for canny property investors. Assetz property investment specialists recommend investing in France with a long-term view to maximise yields. To cope with the 78% increase in demand for French property over the past year, Assetz International plans to double its French department within the next six months.

One of the top two most popular holiday destinations in the world, around 60 million tourists visited France last year. As there is a certain lack of accommodation available in the tourist hotspots, investing in property is an ideal way to secure guaranteed high rental yields. Trading in French property can be very profitable, especially if buying off-plan and reselling some years later on when prices have risen. In fact, over 60% of Assetz’ enquiries relate to new-build, suggesting that investors are already taking advantage of off-plan developments and the profits that can be made.

Newskys.co.uk

RICS Reports European Property Market Strengthens in 2004

Mar 24, 2005

The European Housing Review 2005, published this month by the Royal Institution of Chartered Surveyors (RICS), reports housing markets across Europe have strengthened over the past year. All the standard market indicators including house prices, mortgages and housebuilding have been pointing to strong growth. According to the report, France, Spain and Ireland all maintained double-digit house price inflation rates. The report goes as far as to predict continued growth in 2005 with the possibility of some tapering off toward the end of the year. RICS chief economist, Milan Khatri, said:"..Very low interest rates and increased competitive pressures in the mortgage industry are delivering solid growth in lending, which is likely to continue through much of 2005." The RICS' European Housing Review examines the macroeconomic and demographic influences on the European housing markets providing in-depth analysis. For the first time the report also includes commentary on the 10 new EU accession countries.

FrenchEntree

French Property still popular as prices rise

Mar 19, 2005

Abbey National France reported a rise of 17% in mortgage applications for 2004 compared with the previous year. British buyers represent 40% of all international buyers, double the number in 2000. New build properties are proving particularly popular with an increase of 143% in the last 3 years - hotspots being the Riviera and French Alps.

Property prices in France are still surging with impressive double-figure growth for Paris. Price per sqm for the 'Haussmanian-style' buildings in Paris increased by 11.7% for apartments and 15.8% for houses between June 2003 and June 2004. Almost 10% of all properties sold during the first 3 months of 2004 were purchased by overseas buyers.

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