Monday, September 24, 2012

TGV Perpignan - Barcelona at last !

It seems that the fast TGV international train link between Perpignan and Barcelona will be operational from the third quarter of 2013 - that's about one year's time.

This is the first time I have seen a firm date given, after numerous delays, the most recent involving problems of tunnelling under parts of Barcelona close to the famous 'Sagrada Familia' still unfinished cathedral.

Journey times are estimated at 45 - 50 minutes, which will bring Barclona within easy commuting distance of Perpignan, for work, shopping or entertainmen and for using Barcelona's inyternational airport.. Currently it can take two to two and a half hours to drive. Barcelona is also notoriously difficult to get around by car and to park, though the public transport system - including the Metro - is excellent. 


Thursday, September 6, 2012

Additional taxes on sale of French second homes

Since the middle of August, the French government is now applying an additional tax on the sale of second homes in France by non-resident owners. The current tax of 19% of any capital gain enjoyed, after deductions, is now increased to just under 35% with the addition of the 'social charge' currently paid by resident owners of second homes. The exemption previously applied to non-resident owners has finally been recognised as an anomaly, and the new law brings foreign owners into line with resident owners of second homes in France.

The new has come as an unwelcome shock to owners who were in course of selling their property before the law changed and now find themselves paying a further 15% on any capital gain. This follows on from the recently introduced abolition of capital gains exemption (after 15 years of ownership) on French second homes and the introduction of a modified system of reductions extending over 30 years ownership of the property before CGT is finally reduced to zero (after 30 years when it was previously 15).

An analysis of sales involving second homes reveals that the majority are in fact sold by their owners within 10 years of intiail purchase. Among the reasons cited are changing holiday habits, children growing-up and wanting to take holidays away from their parents, travel to cheaper foreign destinations, and the declining holiday rental market.

In many  holiday destinations, as much as 70% of the local housing stock can comprise second homes - typically apartments and villas designed for summer occupation, which can be difficult to sell in times of crisis. Many date from the early tourist boom of the 1960s and are now in need of modernisation, to improve sound and heat insulation, and plumbing and electrical installations which need to be brought up to current norms. Summer resorts can be deserted in winter and may lack essential services needed for year round living.




Tuesday, August 21, 2012

Fast house or slow home?

As part of my own personal property search, I have recently discovered the 'Slow Home Movement', a Canadian based organisation set up by two pioneering architects, and inspired by the idea of the 'slow food' movement - the antithesis of fast food! The two founders argue that in seleting your home you should also be aware of what they call 'fast houses - houses that are designed to be sold rathered than lived in'.

They set up the Slow Home Movement after organising a huge team of volunteers who between them looked at nearly five thousand new housing developments in nine north American cities, using a 12 point questionnaire and a points scoring system (out of a total 20), to determine how each property surveyed scored in the slow home test. Their questionnaire can be applied to your own searches and can be downloaded from the Slow Home website.

The Slow Home Test looks are twelve different aspects of the property, the first four relating to its environment (location, size, orientation, environmental friendliness); while the remainder concern the inside of the property, looked at room by room,  and finally how all the elements fit together. The results of their researches showed that only 11% of the homes surveyed achieved scores of between 17 and 20 points (the maximum) and the majority (47%) achieved poor ratings of just 7 to 12 points (out of twenty).

The researchers highlight four main areas of criticism: first, what they call 'Colliding Geometry' - dramatic features such as a huge stairway or awkwardly located fireplace, that clash with the rest of the property, and which 'end up fragmenting spaces in a floor plan, causing serious disruption to the way the rest of the house works'.

Under 'Redundant  Spaces' they cite parts of the house that are awkwardly designed or located, and invariably given 'False Labels' - names such as study, linrary, home office etc - design to flatter the ego and convince a buyer that they are adding value.

Their fourth main criticism was what they called 'Super-sizing' - the creation of rooms that were cheap to build but simply too large for their purpose. Frequent among these were master bedrooms and en-suite bathrooms.

Their main criticisms of the propertis' external environment included numerous cases of poor orientation in relation to other properties, and most commonly to sunlight - typically south facing bedrooms that heated up during the day and have to be cooled at night, while kitchens and living areas faced north and lacked sunlight during the day.

The Slow Home Movement is also critical of the excessive size of many American homes - 213m² (2300 square feet) compared to 76m² (818 square feet) in Britain and 113m² (1216 square feet) in France. The founders, who are architects, report that many of their clients are people who have bought large properties but after two or three years complain they have run out of space. According to the American National Association of Realtors, 20% of buyers move out of their homes within three years of purchase, victims the architects argue, of the fast house syndrome.

Interestingly, many purchasers are now adopting a different approach to property buying - investing, say, 70% in the purchase price, and spending the remaining 30% on converting the property to their particular requirements.

There is a wealth of information to be found in the Slow Home Founders' book and on their website which can be applied to your property search in France.

Sources: Website www.slowhomestudio.com for a copy of the Slow Home questionnaire and report.
'What's wrong with this house' by John Brown and Matthew North showing examples of houses and apartments and how they can be made more user friendly. Available from www.amazon.com






Wednesday, August 1, 2012

French Property News, August 2012

In this month's issue I have looked buying a new-build property in France. The advantages include having access to the latest building norms - such as the new BBC classification (highest level of energy efficiency), and new rules (NF C 15-100) for electrical installations in new-build properties and total renovations. I point out that French housing estates ('lotissements') are very different from their British counterparts, as most are made up of individually designed homes, each one different from its neighbour.

Many new owners also choose to self-build all or part of their new home, and in Languedoc-Roussillon where I live, builders often the complete the main works ('les gros oeuvres') leaving the owner to complete the internal finishing - partition walls, insulation, plumbing and electrics. Innovative architects are willing to help with all of this process, from initial design through to completion.

French Property News is available on subscription and is on sale in newsagents. www.french-property-news.com

Tuesday, July 17, 2012

French Property News, July 2012

In this month's isssue* I have written a piece headed 'Think big, live small' which has been partly inspired by my current search for a new apartment in Perpignan. Accustomed as I am to advising others, as I say in the article, because I know where I want to live and am awaiting the sale of my current apartment on the Mediterranean coast, I have enjoyed the luxury of having time to spare, being on the spot and knowing - I thought - precisely what I am looking for.

However, over the weeks and months, I have found my ideas changing, including what I used to regard as the minimum surface area I would be happy to live in. This has gradually reduced, as after studying books such as 'What's wrong with this house' **, as a lot depends on the layout and proportions of the various rooms, and that in practical terms most houses and apartments include a lot of wasted space, which helps raise the asking price, and adds to the bills for local taxes and management charges. Hence the title of the piece and my determination to manage with the smallest space possible!

'What's wrong with this house' is the brainchild of two Canadian authors John Brown and Matthew North, who are both architects and designers, and pioneers behind the 'slow home' movement - itself based on the success of the 'slow food' (as opposed to fast food) movement which has become worldwide. The authors started their drive for better houses after organising a survey*** of  4600 North American new home projects, which were analysed for their quality, judged in terms of design and user friendliness, environmental. They found that only 11% met their criteria, achieving a score of not less than 17/20 positive responses to their questionnaire.

Homes that they label as 'designed to be sold rather than designed to be lived-in'were found to have faults in four main areas they describe as:
A. Colliding geometries - awkward shapes, placements of windows/doors/fireplaces/stairways etc that looked dramatic when first seen by would-be purchasers, but made the dwelling difficult to furnish and live-in.
B. Redundant space - often resulting from A. and less than ideal placement of rooms - for example a dining room placed too far from a kitchen that seldom gets used.
C. False labelling - describing a small or awkward space as a 'guest room' or 'study' to flatter potential buyers.
D. Supersizing - creating oversized rooms - such as a 'master' bedroom or ensuite bathroom - that wasted space and were difficult to furnish in practice.

The architect/researchers also found that although the average American home over the last 50 years had grown in size from 900 to 2300 square feet, many of their clients came to them complaining they needed more space - often due to the problems noted above - and were surprised how a minimal amount of re-modelling could generate the extra space they felt they lacked within their existing homes.

The book and the accompanying property questionnaire can be of invaluable help to anyone starting their search for a property in France, ensuring that the property of their dreams literally ticks all the boxes. 

Sources: * ww.archant.co.uk for 'French Property News' and other magazines in the group.
** What's wrong with this house? by John Brown and Matthew North, www.slowhomestudio.com Available via Amazon.com
*** 2010 Slow Home Report on Design Quality in the North American New Home Market can be downloaded from www.slowhomestudio.com 



Monday, June 18, 2012

Languedoc-Roussillon most popular

According to official figures, Languedoc-Roussillon is the region of France that most people move to, either from elsewhere in France (35%) or abroad (14%) - the two groups combining to make up the 49% of outsiders who were not born within the region. The region has experienced an overall population growth of 14% since 1999.

Curiously most of the new arrivals are young, either students or job seekers (in an area of traditionally high unemployment) with only 20% retired.

Among the results of the influx are a thriving construction sector (mainly new individual houses), the development of high quality health care services, research and tourism.

France has the highest property prices

In a study of more than a dozen European countries, consultants Deloitte confirm that Frances is one of Europe's most expensive countries in which to buy or rent property. In Paris in particular, prices often exceed 8000 euros per square metre, double that in some other European capitals. France's has also witnessed some of the highest property price rises - averaging over 6% - compare with the rest of Europe. However, despite increasingly attractive interest rates at just under 4%, the French are also among the lowest indebted in Europe - about half the British average.

As always, it should be borne in mind that there are enormous variations in property prices across France, where in some areas the average price per square metre is below 2000 euros.

It was former President Sarkozy who observed earlier this year that France is the only country in the world where property prices rise during a crisis!

Source: LeParisien 12 June 2012