French Property Market Trends For 2009

According to Brice Bonato, Managing Director ofwillingness to accept much lower offers. In the North of
Sextant French Property Agents, the French propertythe department, in hamlets like Nontron or small villages
market looks set for an interesting 2009, due to asuch as La Coquille, prices remain really cheaper than
mixture of further price reductions, cut in interest ratesthe area surrounding Bergerac (where one would find
and a good deal of properties on offers, both in resalethe international airport) and guaranteed bargains are
and French new build markets.to be made by people with a good knowledge of the
Although most of the people here in the UK looking tomarket.
purchase a property in France seem to be "waiting toProperty for sale in Limousin
see what will happen", especially with the current stateIn the Limousin, which remains the cheapest place in
of the Sterling, others are actively looking andFrance for someone looking to purchase a property,
negotiating very good deals. In fact, some havethe average cost for a house is now 92 200 EUR; the
realised that given the combination of price reductionsCreuse department remains the cheapest of all with a
and lower offers being accepted, prices of most2-bedroom house costing an average 68 600 EUR.
properties on the French market have remained stablePrices are expected to drop a further 5% to 10% in
in sterling terms - the 25% fall in the pound's value thatthe course of 2009, but nobody really expects it to go
occurred over the past year has put many potentialbelow this as prices are already very low. On top of
purchasers off; which is easily understandable.that, the opening of the new airport in Brive la Gaillarde
Waiting to see what will happen(expected soon) should see prices in the Correze
Indeed, the current situation favours purchasers ratherdepartment increase, especially in the villages that
than vendors, and most are accepting offers thatcould be reached in less than 1 hour from the
would have seemed comical just a few months ago.international airport.
Everybody is in agreement that the first six months ofProperty for sale in Languedoc
2009 should remain a buyer's market and as such beIn the Languedoc region, the favourite place for brits
an excellent time to property for sale in France. Then itlooking for the sun, alongside the French food, wine
would not be surprising to see prices go up again, andand way of living, the average cost of a house is now
then, as a consequence, the return of mass209 500 EUR; the Aude department, popular with
purchasers; the best deals will be gone by then aspeople looking around Carcassonne and Perpignan, or
vendors won't be in a position where they have togenerally close to the sea, remains the cheapest with
agree to low offers.a 2-bedroom house costing an average 157 900 EUR
Property for sale in Brittany- the Gard and Herault departments, most popular with
In the Cotes d'Armor department of Brittany, whichpeople looking for a Provence-style move, are very
has always been the most popular market with Britishclose in prices, with the average cost for a house
expatriates, not only for its historical connection withbeing respectively 231,500 EUR and 232 000 EUR -
the British isles, but also because of its long-establishedprices in this region are expected to drop a further 5%
transport links with the UK, the average cost for ato 10% over the next year but most properties are
house is now 161 540 EUR; even though Britshaving their prices reduced and owners seem content
purchased less properties in this corner of France overto accept much lower offers in this corner of France
the last year than previously due to the economicalso.
downturn, they still represented 25% of buyers in theProperty for sale in Normandy
first part of 2008. Areas further afield like Loudeac orFinally, in the Normandy region, also a traditional
Carhaix Plouguer remain favourites as prices aredestination for property hunters from the UK due to
considerably cheaper than resorts closer to the seathe proximity to England, the average cost for a house
like Saint Malo for example; it is not unusual to seeis now 156 800 EUR; prices have decreased during
habitable properties go under 50,000EUR in traditional2008 and are expected to stabilize next year.
little villages such as these.As a conclusion, the uncertainty in Britain in particular
Property for sale in Aquitaineand in the world in general may encourage people to
In the Dordogne, also a popular destination for propertybuy a property in France. Indeed, compared with the
hunters from the UK, the average cost for a house isother overseas markets, France offers a very
now 150 100 EUR; the credit crisis is now having aprotective purchasing system and low capital gain tax,
dramatic impact on the prices of properties that have,and is a long standing tried and tested market without
in the past, been popular with British buyers, especiallythe various risks that some of the emerging markets
the higher value and stone houses properties that areoffer. And, in today's current climate, safety is priceless.
at reduced prices as owners are conveying a