Furnished properties sell faster....

As any estate agent will tell you, when home hunting  potential buyers are more likely to be attracted by houses or apartments that are presented furnished rather those which have been stripped of their contents as the previous owners/sellers have already moved out. This is of course the reason why speculative housing developers invariably feature a 'show house' to give buyers an idea of what the property could like for potential purchasers.

Totally empty properties are difficult to visualise and viewers are often unable to imagine what their furniture would look like occupying the huge empty spaces around - though in fact some rooms may look smaller when empty than they actually are. Empty spaces tend to show off any minor defects - tired decor, worn or damaged floors, loose electrical fittings - that should have been put right by the previous owners before putting the property on the market.

There are a number of possible solutions if you find yourself having to sell your property in its empty state, among them the tried and tested 'home staging'. Proponents of this alternative include France's best known estate agent Stephen Plaza who in addition to owning a network of estate agencies is the star of several TV programmes such as 'Chasseurs de'appartement' (apartment hunters) and 'Maison à vendre' (house for sale) both on Channel 6. Plaza works with a number of designers and contractors who, in the worst cases, transform typical over-crowded, over-furnished pre- and post-war houses owned by our parents and grand-parents, and turns them into their light and airy modern equivalent. Typical budgets for a major transformation are often around 2 to 3 per cent of the asking price, and almost invariably result in a number of offers and a sale - including many which have languished on the market for weeks or months.  

If your home is empty but otherwise in good repair, you could employ a designer specialising in home staging who can furnish all or some of the rooms with furniture and acccessories for the occasion - say, the living room and one of the bedrooms if you are on a tight budget.  A lower cost solution is to present a computerised version on a laptop or similar showing what a room could look life when furnished. And floor plans which over the years seem to have disappeared from the details supplied by estate agents invariably help potential buyers to visualise where their furniture might fit.

When you decide to put your property on the market is the time to take photographs showing it furnished, as picture of empty rooms are almost worthless when trying to sell.

Finally, it does without saying that your pre-sale preparations should include fixing all those nagging little defects you may have been putting off for years, such as loose tiles, unfinished paintwork, dripping taps, cracked windows, and being ruthless in your de-cluttering.

Booking rental property online.....a cautionary tale

A recent entry on one of the popular forums dealing with life in France tells a worrying story of a British couple who booked a French short-stay property online only to turn up and find the property already occupied by 'friends of the owner' - who is now unwilling to compensate them or return their 3000 euros paid. The booking was made via a well known holiday booking agency - also operating online - which has apparently so far refused to intervene in the case, on the grounds that the final booking details were made directly between the parties and they are not responsible.

In commenting on the incident, I reminded forum members of a case which occurred in Argels-sur-mer last year, when a non-existent property advertised online was booked by over 50 potential renters who had all paid in advance, and who all turned up on the same day to start their holiday, only to find that the property did not exist and that the street number advertised was entirely fictitious.

Not suprisingly the police and local tourist offices take this sort of incident very seriously, as it reflects badly on the reputation of the resort - and the holiday rental business in general.

The only safeguard I can suggest if you are booking a holiday rental in France is to use a local, reliable estate agency which has its office in the resort or nearby, and has the necessary credentials, such as membership of FNAIM, the estate agents' professional body. Being on-site they receive renters personally, accompany them to the property, check that everything is in order and remain on hand during your stay, just in case of any problems. They also have links to reliable tradesmen in case of emergencies such as a burst pipe or electrical failure.

Local tourist offices are very keen to protect the repuation of the area and may have lists of 'approved' rental properties that have been visited and approved, and if you experience problems during your stay, you should inform the tourist office.

Like all online purchases, holiday bookings via an online rental agency are subject to risks and the potential for fraud and property owners and potential renters should made all the checks they can before entrusting them with their money - and their annual holiday.

Posted by peterdanton@orange.fr

Macron elected French president

There was a palpable sigh of relief all over France last night, as Emmanuel Macron was finally elected President of France, with a convincing 66 per vent of cotes cast in the second round. Even though many remain sceptical of his plans to 'revive' France, in line with the policies outlined by his group En marche there us also a feeling that 'at least it's not her' - referring to the far right Marine le Pen who gave the country another first-round scare in a close vote, as she did with the election of Francois Hollande five years ago. Some commentators are now writing that her election would have been 'chaotic for France'.

Also worrying is the high level of voter abstentions, approaching 30% of the electorate, though many are questioning the wisdom of holding an election on a Sunday, in the middle of a three-day holiday weekend in May (today is a public holiday), where many have taken advantage of the fine weather (at last) and are away from home.

Also interesting at the time Britain is learning not only that Brexit is is going to be vastly more complicated and expensive than anyone dreamed, Macron's second emphasis is on reforming and strenghtening the European Union and it will be interesting to watch this happening alongside Brexit.

France will also have to come to terms with a whole collection of new faces in politics, as Macron's likely team of future ministers, many of them unkown to the wider public, take up their positions in government. France goes to the polls again in June to elect deputies to parliament, before settling down for the summer recess and the traditional European shutdown during July and August.

Posted by peterdanton@orange.fr

Buying a French apartment? Beware of management costs!

Buying an apartment in France, as opposed to a freehold house, may seem like an attractive low-cost alternative - until you come to add up the associated 'management fees'. Many seemingly cheap apartments can turn out to be an expensive investment.

In my home town I have been looking at lost-cost apartments, many of them located in the best part of town, facing south onto a park (the old bit of open urban space there is) and many priced at under 50,000 euros for a small studio under 25 square metres, and attractive as a 'pied à terre' or as an income earning buy-to-let investment.

Part of their attraction can include a balcony or terrace, high levels of security, sometimes a resident concierge, central heating and hot water, car parking, and a lift (many are eight storeys or more high). Occcasionaly extra amenities such as a swimming pool, gardens or tennis courts form part of the package.

All these attractive extras however come at a price. Buying an apartment in a share building involveds purchasing the freehold in your individual apartment and in addition a number of shares in the building itself - sometimes refered to as tantièmes - the quantity calculated according to the size of your apartment. You effectively own part of the freehold and details will be written into your contract of purchase - the equivalent of title deeds to your property.

Buildings may be managed by a committee of co-owners - you become one on purchase of your apartment and become entitled to vote at the annual general meeting or indeed become a member of the co-owners' committee. Within smaller buildings, day to day management as well as major decisions such as external painting or renewal of the lift, may be handled by the (voluntary) 'syndic' (committee of co-owners). This can work well for buildings comprise, say, up to ten or twelve apartments. (I currently live in a building with just four co-owners, the largest owning two whole floors, and we meet and discuss informally any needed expernditure. There are no fixed annual costs, other than the obligatory building insurance, which we all share in proportion to our share, in addition to the insurance of our invidivual apartments).

Above this figure it is more usual to employ a firm of external building managers, some of whom are part of a larger group of insurance companies, banks or property investors. And they charge for their services. Many of these organisations have come in for criticism in recent years - for overcharging, poor management and in some cases downright fraud. They succeed in getting away with it because apartment owners are not interested in how the building is run and will pay the monthly bill of charges to the managers without raising too many questions. Until active individuals or members of an alert co-owners committee start to investigate.

The first thing you will know about the level of 'building charges' will be in the state agents' details of the apartment you are interested in buying (in addition of course to local property taxes paid to the commune). And it is at this point you will realise that the 'cheap' apartment you are being shown round may be subject to management charges from 500 to over 1000 euros per year - and possibly additional costs planned in the near future, to pay for external painting or replacement of the lift.

As a general rule the larger the building the higher the cost to maintain and pay for unforeseen contingencies, and as a result the higher the charges demanded - once again in proportion to the size of your apartment. As a result, as part of your French property hunting, if you are looking at apartments you need to be fully aware of the likelihood of additional management charges, which over the years are most likely to rise, while the value of your apartment may fall.

Posted by peterdanton@orange.fr

Ecological and organic - but not quite.......

I watched a fairly in-depth documentary on French television last night, featuring two groups of citizens who had decided 'to go ecological'. The first concerned a largish family who had built their own house, using the latest materials, to ensure that it was self-sufficient in terms of heating, cooling and maitenance. They had installed a series of solar panels in the garden (fairly ugly and I am surprised they got planning permission!), had built a water wheel in a fast running nearby stream (unclear who it belonged to or again whether planning permission was sought or given), and were in the process of improving the drain pipes and guttering on their roof to collect rain water in an underground tank.

What I found most disappointing is that their whole set-up was built around producing and consuming meat - chickens were reared for their eggs and their meat, along with several sheep and cows whose destiny was not explained.

The second case study appeared to revolve around hydroponics (growing plants in water rather than in the soild) and again seemed to be centered on producing feed for animals, which were reared for their meat.

What the documentary failed to tell viewers is the high cost of feeding (vegetable) protein - 50% of which goes to feed animals - in order to produce meat (10 grams produce only 1 gram of meat) when it is clearly cheaper and ecologically sound for humans to eat the vegetable proteins direct and reduce the production and consumption of meat, currently estimated at 100kg per person per year in France!

Posted by peterdanton@orange.fr

France - record high property prices?

Two reports in France's LeFigaro* newspaper higlight the continued rise in French property  prices - now at record levels in major French cities, and why it is a good time now to put your property on the market if you are thinking of selling.

First, property prices approaching record levels.  The evidence is onverhwelming, and following a recovery of the property market in 2016 - by over 5% in the Paris area and over 2 per cent elsewhere - the trend seems to be continuing in the first three months of 2017, despite the common belief that election years are bad for property sales (the French go to the polls in two weeks to begin the process of electing a new President and a new parliament).

Paris still holds the record for the highest average price per square metre - currently just over 8,500 euros , followed by Nice (3,800), Lyon (3,440), Bordeaux (3,2776) and Toulouse (2,640). Most of these prices reflect an increase of 5% or more over 2016.

Traditionally springtime and the arrival of warmer weather help boost sales, as buyers prefer to get their house move organised and settle before the July/August holiday break and ahead of the la rentrée in September/October when children return to school and students start at university. Job changes are also popularly organised with a September start in mind and may involve a change of location.

Another group of buyers are the retired who need to get their house hunting done before the July/August recess when second homes may be occupied by their owners or let to summer tenants, and unavaialble for viewing. The traditional holiday period may also delay completion of the property sale as lawyers and much needed public officials themselves go on hliday. Hence the need to get your property selling or buying done before the end of June!

*LeFigaro.fr

Posted by peterdanton@orange.fr

French cities going green ....literally!

French cities are vying with each other to create more wide open, green spaces, as part of their effort to combat air pollution and help reduce excessively high temperatures such as those  of the 40 degree heatwave in 2003, responsible for the deaths of over 15,000 people.

Not surprisingly one of the pioneers of this movement is the city of Paris, with a mixture of tree planting, opening up more green spaces and encouraging the installation of 'green roofs' - the use of grass and other vegetation on the roofs of schools, office blocks and other public buildings.

Although the city is well blessed with open spaces, the two largest being the bois de Boulogne and the bois de Vincennes, both located far from the city centre,  Paris lacks a variety of smaller open spaces, easily reachable by the public, for examples during a lunch break.  The two famous bois alone account for 70% of the city's open spaces.

Paris's norther outskirts are particularly short of open spaces and the city also suffers from suburban blight due to the apparently unrestrained development of huge out of town shopping centers which ring the capital, and increasing demands for more transport infrastructure such as roads and rail.

As a result during a typical summer heatwave there can be a difference of 8 degrees or more (higher) between parts of the inner city centre and a typical built-up sector. Cooling these spaces is not cheap and uses large amounts of energy - for example for refrigeration and air conditioning - and to provide insulation and double glazing increases construction costs.

With 75% of French now living in urban areas (compared to the countryside) inner-city pollution is becoming an increasing threat and a drain on healthcare costs. However some successes are already being reported including a reduction of the incidence of asthma.

Another encouraing sign is the growth of healthy eating and organic food production* and the development of small urban 'grow your own' allotments managed by the local community.

Finally it goes without saying that greener cities make more pleasant places to live in and can add to the value of your property investment.


* For more information see my recent post here about France's 'organic revolution' and my article in 'French Property News' issue 314, April 2017, pp 50-52.
And also Alternatives Economiques No. 367, Aptril 2017, pp 58-60 by Bénédice Weiss, who offers further sources.

Posted by peterdanton@orange.fr