Sarkozy to make it easier for Brits buying and living in France
Life for Brits living and looking to buy in France is set to become easier under the new Sarkozy regime, according to Leggett Immobilier, the largest independent, Anglophone estate agency in France.Trevor Leggett, Executive Director, Leggett Immobilier comments, “Over the last 20 years I have spent living and working in France I have seen plenty of ups and downs – now, for the first time since I first moved here, there seem to be major changes happening very quickly. Is our new President, Nicolas Sarkozy – or Nicolas, as he prefers to be known – France’s answer to John F Kennedy in the States? The French electorate liked what Nicolas proposed and, amazingly, he does seem to be doing what he said he would – a French President who so far seems to be sticking to his agenda! His enthusiasm seems to be creating the dynamism that France could really do with – perhaps the ‘feel good factor’ is now arriving in France!’
Nicolas has a raft of reforms that he is quickly putting in place to improve the French economy and create an economic model that will champion consumers and boost the ‘pouvoir d’achat – buying power’. Amongst those planned, two areas will be of particular interest and importance to the increasing numbers of British families looking to set up home in France and for investors looking for the best home for their money.
Trevor Leggett continues, ‘Recent research indicates that about 50% of those between the ages of 25 – 44 in the UK are looking to move abroad, while the figure is about 60% for those between the ages of 45 – 54 dreaming of retirement overseas. For both these groups, France and Spain remain the countries of choice, with the stable legal framework around buying and selling in France adding to its attractions. Now, with Nicolas, the small business as a creator of employment is being widely recognised as France’s answer to its biggest problem – unemployment. The UK has one million more businesses than France and Nicolas wants to give French small businesses and self-employed people easier terms and working conditions, in order to encourage and stimulate the market. This is fantastic news for those Brits already living in France, as the majority of British people in France run their own small businesses or are self-employed. At Leggett Immobilier we are seeing young British families on a daily basis, who are looking to move to France in larger numbers than ever and where at least one parent will need to work. They should see these reforms as an immediate kick start to their planned move.’
The planned reforms will also boost investment choices, which is good news for British and Irish private investors, who have perhaps been discouraged from investing in France due to high levels of inheritance tax, the highest social security charges in the world and, of course, the wealth tax (ISF). Now all these taxes are in for reform and in this positive climate France really does look better than ever as the place for investment.
Nicolas would also like to see the number of home owners increase to match the rates in the UK and is putting in MIRAS-style tax breaks in place to assist home buyers. Trevor Leggett comments, “With French house prices still well below those of their European neighbours, the increase in demand will cause prices to rise, particularly in the lower end of the market. On the other hand, prices at the top end of the market have never really dropped, but reductions in taxation can only increase demand. Don’t be put off by the natural lower inflation levels of the property market during the first six months of 2007 – a presidential election always creates an atmosphere of uncertainty. Since the elections, we at Leggett Immobilier have seen an increase in sales to record levels in June and July and are expecting demand to continue during the rest of 2007. Now is the time to buy and invest!’
Buyers interested in finding out more about buying in France should visit frenchestateagents.com.
