Paris Property: Better than a Bargain

Paris Property: Better than a Bargain


French Property Insider

October 23, 2008
Paris, France

Bonjour French Property Insider Subscriber,

Considering these strange and volatile economic times, everyone wants to know where their investments are safest.

You already know the answer: Paris.

In today’s issue, we report on the latest Paris property prices and growth, which once again are up, up, up. At the same time, the once very weak and struggling dollar was down, down, down, but as of today, $1.28 buys you 1, a vast strengthening from the high of $1.60 only a few short months ago.

This means that now’s the time to jump into the market…while your dollar will buy you more property for the money — more than in most of the major cities in the world. In fact, Paris isn’t even in the top 10 most expensive cities — and that means it’s still a big bargain, in spite of its international appeal.

Today, you’re also going to learn how to be prepared for the danger of fire in your Paris apartment, how to use Google mapping to view the city’s beautiful streets and how to take part in a celebration of the U.S. presidential election right here in Le Marais.

We’ve chosen some interesting one bedroom apartments to consider as Hot Properties — not too expensive for your first step into the market. And if your portfolio won’t let you go as far as that, consider a Fractional Ownership property in which to get your feet wet.

There are several important announcements to make — all of which you’ll be hearing more about in greater detail in time:

1. For those of you interested in "Le Palace des Vosges" Fractional Ownership two bedroom, two bath "maison" property in the Place des Vosges, the Purchase Contracts will be ready to reserve your shares momentarily! So, stay tuned! Visit for more information.

2. If Le Palace des Vosges doesn’t suit you, but you’re still interested in exploring Fractional Ownership, be sure to visit our newest property offering, "La Rsidence Luxembourg," a one bedroom luxury apartment near the Jardin du Luxembourg in the 5th arrondissement. Visit for more information.

3. "La Rose du Marais" has just been added to our listing of short term rental apartments. Professionally renovated and redecorated, this charming and spacious two bedroom apartment is in a stately and quiet building just a few blocks away from Place des Vosges (sleeps up to 6). To reserve your stay, visit (more details are provided in our apartment listing toward the bottom of the newsletter).

A bientt,

Adrian Leeds
Adrian LeedsEditor, French Property Insider
Email: [email protected]


P.S. Watch for next week’s edition when we get out the binoculars to do a little property hunting…how to find the best properties on the market!

Volume VI, Issue 43, October 23, 2008

In this issue:

* Understanding the Notiares’ Property Reports
* Paris Price Report: Prices Still Up
* Adrian Responds to a Reader’s Concern
* How You Can Enjoy Election Night…In Paris!
* Discover Virtual Paris with Google Maps
* Apartment Fires in Paris: What You Need to Know
* French Property Fractional Offerings: Updated List
* Today’s Currency Update from Moneycorp
* Hot Property Picks: Affordable One-bedrooms in Paris
* Multi-Million Dollar Leaseback: BESSY COTTAGE
* French Property Mortgage Assistance
* Parler Paris Apartments — La Rose du Marais
* Parler Paris Aprs-Midi
* Managing Your FPI Subscription

How to Understand the Reported Property Prices
By Adrian Leeds

I can’t stress this enough. Before you read the following article and

look at the most current reported property statistic
s, please learn HOW to understand them so that they will be useful to you.

The property price figures for Paris and the Paris region (Ile-de-France) are reported quarterly by the INSEE, the French National Institute for Statistics and Economic Studies ( Just this October 7th, the statistics were released for the end of 2nd quarter 2008, more than three months after the closing of the month. Given that the properties to which the statistics relate were purchased about three months earlier than the deeds were recorded (the time between the signing of the Promesse/Compromis de Vente and the Acte de Vente, you can assume then, that these figures are already out of date by six months.

In light of that fact, now let’s look at how it affects the market values you will experience when you set out to look at properties. This report averages Paris per square meter prices at 6,580 with an annual appreciation of 10.1%. Six months is one-half of the year. If you were to visit properties today, you can already expect the prices to be about 5.05% higher (1/2 of 10.1%), or 6,912 per square meter.

Other factors that contribute to this variance are: 1) the reduction in the purchase price, which can be attributed to direct payments made to the sales agent to help reduce notaire fees,

2) the listing of inventory of fixed furniture such as built-ins and appliances and

3) the under-the-table cash transactions, which are illegal but do occur.

4) Finally, the figures are diluted as they are reported by an arrondissement in its entirety and do not account for differences by neighborhoods or quality of properties.

I’m no mathematician nor economic analyst, and I’m sure among you there are readers who can correct my rather plebeian theory, but we know for a fact, that the actual market values are considerably higher than those the Chambre de Notaires report. We know based on property searches and visits we perform daily.

So, when setting out to find your perfect Paris apartment, keep in mind that what really counts are the asking prices of comparable properties.

Paris Property Price Report
Second Quarter 2007 through Second Quarter 2008
By Adrian Leeds

While much of the rest of the world is crying the property value blues, Paris continues to report favorable increases.

For the second quarter 2008, prices were up on the average for all 20 districts 2.4% and for the year, 10.1%. Yes, sales were down for the quarter by 15.5% so the question remains, will the downturn in sales affect property values.

Contrary to widely held opinion, there is no paradox between the French real estate market in an international context and the American market which recorded 15% to 20% declines. It would be dangerous to compare the American real estate crisis of falling prices and property foreclosures which have manifested over the last year, with the French property market, as the rule of supply and demand are contrary in each market. France, and in particular, Paris, continue to show a weak supply of properties in comparison to demand and therefore prices remain strong, in spite of the decline in sales.

The following prices are excerpts from the full report (in French) which can be downloaded in pdf form by clicking here:

The 6th arrondissement continues to lead the districts with a price per meter of 10,230 and shows the strongest growth with 16.3%. While the 7th district also remains in a solid second position with 9,610/m2, it showed the lowest growth of 8.7% tied with the 1st at 8,120/m2.

Other districts which continue to perform well are in central Paris: 4th with 9,070/m2 (9.6% growth), 5th with 8,310/m2 (9.7% growth) and the 8th (8,250/m2 (13.1% growth).

The least expensive districts of Paris continue to prove to be in the outer areas: the 19th with 5,150/m2 (9.9% growth), the 20th with 5,410/m2 (7.9% growth) and the 18th with 5,670/m2 (7.9% growth).

Areas of the city with above average growth are to be watched and in cases where prices are low, such as the 19th and 10th, these are areas where an investment can possibly yield greater returns. Take care, however, if considering the purchase of an income producing property, such as a short term rental, that these districts may not prove to be as lucrative as central Paris where tourists prefer to stay.

Editor’s Note: Full size charts are available at

Throw Caution to the Wind

Letter to the Editor:

Hotel Sully

Dear Adrian,

I admire the hard work you do, and your enthusiasm for Paris property. I wish we had taken your advice, when we attended the Parler Paris Aprs Midi sessions on several occasions, and bought in Paris. (We did, however, buy instead a substantial house in Pacific Heights here in San Francisco, our principal residence.)

I write because your recent postings to French Property Insider imply that Paris property will appreciate, even with the current worldwide financial crises. With property falling in London, in all but the best districts, and a slowing of closings in New York City and in the condo market in San Francisco, it is possible that Paris will be affected too. While all these cities will have long term appreciation, the next couple of years are doubtful.

We have just returned from a month in Paris and elsewhere in Europe. We have many friends in Paris, mostly French, and rich enough to be immune to changes in property value. They uniformly felt that Paris property will fall, even if not as far as London, and even if for a shorter period.

Since you have been a big booster of central Paris property, it might be a good idea to inject a little caution, at least until the credit markets start to return to normal.

Thank you for French Property Insider, Parler Paris, and your efforts to make Paris available to Americans.

A. T. , California

–Dear A.T. and all readers of French Property Insider,

Sorry, but caution is NOT at all what I would inject, at least not if your interest is an investment in Paris. Of all the markets worldwide, Paris remains one of the safest, lowest risk and highest yielding property investments one can make. My advice: full steam ahead!

Let me remind you of a few things:

* Paris is the number one tourist destination in the world with more than 27 million visitors reported in 2007.

* Paris is an international city. Foreign property buyers make up more than 8% of the purchasers, led by Italians, followed by Americans and British and most recently, the Russians.

* Paris is still a bargain compared with other major cities. London is most expensive on a per square foot basis, followed by New York, Hong Kong, Moscow, Rome, Los Angeles, Miami, Dubai, Mumbai and Marrakech. Paris doesn’t even fall into the top ten list according to Hamptons International Research reporting this past February 2008.

* There is almost no new residential development due to a lack of available land and tight planning restrictions. That means Paris can’t move up or out strengthening the resale market.

So, while your stock investments are plummeting and the rate of exchange is buying you more with your U.S. dollar, now is the time to enter the property investment market in Paris and "throw caution to the wind!"

"La Nuit Amricaine" (The American Night)

Hotel SullyNovember 4th, the presidential election day in the U.S., is the center of a special event organized by the City Hall of the 3rd Arrondissement to "explore and understand the United States," as their publicity states…its history, its society, its political system, and of course, to follow the election results!

* 7 p.m.: Exhibition of photos by Jean-Robert Dantou titled "Paysage de Campagne 2008" presented by a representative of the American Embassy Paris and Mayor Pierre Aidenbaum

* 7:30 p.m.: Discussion — "La situation politique et sociale actuelles aux Etats-Unis"

* 11 p.m.: Discussion — "Enjeux du scrutins"

* 9:30 p.m. Film: "Little Miss Sunshine"

* 12:30 a.m. (November 5) Film: "Crash"

* 2:30 a.m. (November 5) Film: "Vertigo"

* 5:00 a.m. (November 5) Breakfast

Entry is free
Mairie de 3me
Salle Odette Pilpoul
2 rue Eugne Spuller
75003 PARIS
Tl: 01 53 01 75 03

Paris in Street View
By Schuyler Hoffman

Interest RatesGoogle Maps has had it’s "Street View" capabilities for quite some time, but recently they’ve been expanding that capability and most recently included Paris.

What is Street View? Street View is a function within Google Maps that allows you to zero in on an area, street, or a specific address with actual photos. This allows you to create a virtual experience by panning, rotating, and zooming in and out


Not only is
this a fun way to spend an afternoon, but this can be an incredibly helpful tool when searching for your "pied–terre" in Paris. You’ll be able to explore the neighborhood in which you’re interested…virtually — though you’ll still need to actually visit the particular apartments!

This is a bit different than Google Earth, which is a satellite program you need to download first. With Google Maps Street View, there is nothing to download.

Here’s what you do to explore virtual Paris:

1. Go to

2. Search for your favorite address (or city)

3. Click on "Steet View" at the top of the map. An orange body appears on the map

4. Click on the body and a small screen opens up with a photo of the street.

5. You can move up or down the street, rotate the view around or up and down, and zoom in and out by using your mouse on the photo

The little orange man may not always land exactly on the address you want, but it’s easy enough to get there by simpling dragging him with your cursor to the location you want.

"Au Secours! Au Secours!" Dial 18!
By Adrian Leeds

An Excerpt from Parler Paris
Wednesday October 22, 2008

There I was propped up in bed watching "The Godfather" on cable TV, my laptop on my "lap desk" working away to build the Web pages for our newest Fractional Ownership property, "La Rsidence Luxembourg" in the Latin Quarter, when an email popped in that took my breath away.

It was from Steve Navaro, developer of several Fractional Ownership properties  Fractional Ownership properties, and in particular, "Le Petit Trsor," the newest of his projects on the lovely pedestrian street just off rue Vieille du Temple in the 4th Arrondissement, rue Trsor. We signed the "Acte de Vente" (title deed) on his behalf only a couple of weeks ago and the renovation on it began immediately following, supervised by the contractor, Rich Brown.

It read:

"Perhaps you heard the news. Around 7:30 a.m. yesterday Paris time, our workers were busy getting ready for work at the apartment. Rich happened to glance out the living room window and saw smoke and flames billowing from the 4th floor of the apartment building across the street. Within minutes, it appeared that the entire floor was engulfed in flames. One of the occupants had to scramble to her balcony in her nightclothes because of the ferocity of the flames. This particular woman actually was hanging from the balcony by her hands. Rich scrambled downstairs and along with several others, started to line up the plastic dumpsters under her to break her fall should she be unable to hold on. In the meantime, Derrick Evans, our painter, was the first to call the local "pompiers" (firemen)."

"Shortly thereafter, residents of the neighborhood were seen dragging mattresses out onto the street to somehow help this lady. After approximately 10 minutes, six fire trucks arrived and were able to rescue the lady, who miraculously hung on for dear life. Derrick was the hero of the day."

"I do not know the status of the other occupants of the building, or if there were any additional injuries. However, the front apartments on the 4th floor of this beautiful building appear to be completely destroyed by the flames."

Steve’s first reaction was to consider the issue of fire evacuation for the apartment, should a similar event occur, as the apartment is on a high level. Fire escapes are not the norm in Paris, and in the rue Trsor building, the only the elevator is adjacent to the stairwell for a means of escape. If these are blocked, the only other exit is via the front balcony, and it is approximately 50 to 60 feet to the ground below.

Steve wrote, "Honestly, this is not something I had given serious thought to, as none of our other apartments are located at this height. However, we do provide a small fire extinguisher in every apartment." That reminded me that of course, we require a fire extinguisher be in every rental apartment we represent and whenever I greet a new renter at "Le Provenal,"  I point it out, but never think it will be needed really.

He then informed all the owners that they will be installing battery operated smoke detectors in both the living room and bedroom of "Le Petit Trsor" and will be installing some sort of rope/chain evacuation ladders that can be attached to the balcony railing so as to provide an alternative means of escape should a fire occur. In French they are called "Echelles de Secours" and can be found online to purchase by Safelincs for 62.90 at

nt size=
"2" face="Verdana, Arial, Helvetica, sans-serif">He added, "The safety of our Owners and Guests is paramount, even though the likelihood of an event like this is minimal."

There aren’t the usual newspaper reports of events such as this in Paris — at least not unless lives are lost and the news is of utmost importance, so I’ve yet to find the outcome of the fire. I went there today to see it for myself. Looking up you can see the blackened windows and the burned remnants of personal belongings sit piled on the edge of the street.

The news is sad, but poignant and awakening for all of us who might not have thought previously of the danger of fire and how we can be better prepared to deal with it. There are dozens of Web sites one can visit to learn about preparedness, and there is much one can do, but Steve’s solution to having the basics is well noted.

The Paris Fire Brigade (French Brigade des Sapeurs-Pompiers de Paris, BSPP), is a French Army unit which serves as the fire service for Paris and certain sites of national strategic importance. The unit is one of the most highly respected of the army and without a doubt, the young handsome, muscular men of the Brigade make the ‘hearts sing’ of many a young ‘lass’ (and often ‘lad!). The official Web site of the BSPP is in French only at, but note that when in France, you need only dial 18 on your phone to reach them for any fire or health emergency.

Fractional Property Offerings from French Property Fractional

If you are interested in traditional fractional ownership properties currently offered by our Fractional Ownership partners, see below:


Paris: La Rsidence Luxembourg


Place des Vosges


Le Petit Tresor Paris: LE PETIT TRESOR
Chez la Tour Paris: CHEZ LA TOUR
Maison Bleue Languedoc-Roussillon: MAISON BLEUE
Chateau Living Meaux: CHTEAU LIVING FRANCE



Visit the FPI Web site and click on the link on the left panel or click here for Currency Convertor by Moneycorp:


for up to the minute conversions of all major currencies.

Compare currency values easily and quickly by visiting:

The charts below are updated every ten seconds.

The prices shown are "inter bank" exchange rates and are not the rates that you will be offered by Moneycorp. Your rate will be determined by the amount of currency that you are buying. Please speak with an Moneycorp dealer or your consultant for a live quotation.

HOT PROPERTY PICKS: Affordable One-bedrooms in Paris

Each week French Property Insider features a range of properties which we believe are on the market at the time of writing. These properties are featured in order to give readers a sample of what is currently available and a working example of prices being asked in various regions of France and districts of Paris.

As we are not a real estate agency. These properties do not constitute a sales listing. For those readers seriously interested in finding property in Paris or France, you can retain our services to do the whole thing for you. For more information, visit

Napoleonic 9th***Paris, 9th arrondissement: 1-bedroom, approx. 46m

This beautiful apartment is in the centre of Paris, walking or short metro to all the major sights. Set in an ancient Napoleonic building, working marble fire places in the rooms with over mantle mirrors, oak flooring, high decorative ceilings, crystal chandeliers, modern bathroom and kitchen, concierge digit entry, cave, also small storage. This is a well maintained building with responsible management.

Asking Price: 395,000 + 2.5% Finder’s Fee

Adorable 3rd***Paris, 3rd arrondissement: 1-bedroom approx. 38m

Discover this adorable apartment in Paris 3rd arrondissement–prime location for Parisians at heart! Located just a few steps away from the rue de Bretagne and its famous fine food shops and traditional restaurants. The 3rd arrondissement is also known to be a very fashionable area, full of art galleries, fashion shops and markets. Close by and 15 minutes on foot from the apartment is the centre Beaubourg with its reputable exhibitions. The apartment is comprised of a large living area, open kitchen and separate bathroom. This little haven in the centre of Paris is tastefully decorated and awaiting your move-in date! Orientation is south facing and therefore very bright and sunny.

Asking Price: 355,000 + 2.5% Finder’s Fee

Duplex in 4th***Paris, 4th arrondissement: 2-bedroom duplex, approx. 48m

Discover this adorable apartment in the trendy 4th arrondissement. Located on the rue Saint Croix de la Bretonnerie. The 4th arrondissement is full of art galleries, fashion shops and markets as well as trendy restaurants. Close to Place du Bourg Tibourg. With a typically Parisian terrace for an early evening aperitif and dining out, the apartment is comprised of a large living area with open kitchen, 2 mezzanines with bed rooms, and a bathroom. This very quiet apartment is ideal for a pied a terre or to rent out.

Asking Price: 505,000 + 2.5% Finder’s Fee


French leaseback

France, Center / South, Bessy sur Cure


Three Bedrooms 175m 139,100


The perfect get away, escape to the Burgundy countryside and discover this quaint 3-bed cottage in excellent condition. Relax in the sunny garden while barbecuing with friends and family, and unwind in one of the comfortable and beautiful living room or bedrooms.

The house contains one double bedroom, one split level bedroom with twin beds on the upper level and a single bed wit

h a TV room on the low
er level. Additionally there is an equipped kitchen with breakfast bar, a salon, and dining room.

French leasebackSituated on the banks of the River Cure, Bessy is a traditional Burgundian village within 15 min from the renowned vineyards of Chablis and medieval Vezelay; 25 minutes south of Auxerre and north of Avallon. The natural park of the Morvan is close by where many water activities are available. Bessy itself enjoys the best swimming facilities in the locality with its natural Jacuzzi and sand bedded swimming area in the Cure. Other pursuits include fishing, cycling and extensive forest walks or abundant restaurants to suit all tastes, ranging from family run traditional cuisine to 3 star Michelin.

Key Investment Points:

- Inexpensive getaway cottage ready to move into!
– Perfect country home or rental property
– Stunning contrast of medieval stone exterior with modern and comfortable interior


French Propety LoanWhen you make a purchase as important as a piece of real estate in a foreign country, you want to know that you can trust the people you are dealing with. Adrian Leeds has developed a network of professionals that meet only the highest of standards. With the expertise and experience of Adrian and her team, you can depend on getting the best advice and support to feel completely confident that you are making an informed investment decision.

Let us help you secure a mortgage in France at a competitive interest rate. Visit for more information or contact [email protected]


1 square meter = 10.7639104 square feet

1 hectare = 2.4710538 acres

For more conversions, refer to:

Email: [email protected]/parlerparis

Parler Paris ApartmentsWelcome to your home in Paris. Home is how you will feel in a private apartment in Paris that has the "seal of approval" from Parler Paris Apartments and me, Adrian Leeds.

Parler Paris Apartments offers high quality accommodations to make your stay in the City of Light as enjoyable and memorable as possible. We at Parler Paris know each and every apartment owner or manager personally, and stand behind the quality of those we represent. We understand your needs and desires, all the small details that make a rental apartment a warm and welcoming home – and a much better alternative to an impersonal hotel!

Parler Paris Apartments is administered and serviced by the same great team as Parler Paris, French Property Insider and French Property Consultation. You can trust that Parler Paris Apartments and all those with whom it is associated will do their best for your 100% guaranteed satisfaction.

La Rose du Marais

La Rose du Marais is a beautiful and spacious home away from home in the heart of Paris’ oldest district — Le Marais. Professionally renovated and redecorated, this charming apartment is in a stately and quiet building just a few blocks away from Place des Vosges.

On the third floor with an elevator, you may enter the building from both boulevard Beaumarchais and rue des Arquebusiers in the 3rd Arrondissement, making it convenient to Mtro lines, buses and all of central Paris.


Rue des Arquebusiers is an oasis in the bustling Marais. The street hosts a small, elegant hotel, Villa Beaumarchais, featured prominently in the 2001 French film, Va Savoir, by the famous film director, Jacques Rivette, and a magnificent jewel of a rose garden, Jardin Saint-Gilles-Grand-Veneur adjacent to the grounds of Saint Denis du Saint Sacrement and its abbey.

Reserve now! Visit
or email: [email protected] 

/> >

Parler Paris Après Midi

Parler Paris Apres Midi

Come for a drink and to meet and chat with other readers in Paris…

The next gathering is November 4, 2008 and every second Tuesday of the month.



Managing Your French Property Insider Subscription is Easy!

French Property InsiderWe receive many emails from French Property Insider Subscribers who want to change their email address, or update personal information. But did you know that you can make these changes yourself?

It’s easy…

1. Go to

2. Click on "Manage Subscription." You’ll find it under the "Subscribers Only" section in the sidebar.

3. Enter your username and password.

4. On the Welcome Page, go to "Manage Your Account" and click on "Change Password/Edit Profile"

5. Once you’ve made the changes, scroll down to the bottom of the page and click on "Save Profile."


Of course, we’re always happy to help, so if you do need assistance, send an email to [email protected]


To access password protected pages: click on any of the links on the left panel of the home page of under "Subscriber’s Only," then type in your personal username and password.

Past issues of FPI are available on the website. You will find the
"Past Issues" link on the left under "Subscribers Only" or by going to

To receive your free French Leaseback Report or the Paris Property
Report, click on

We wanted better guides,
So we wrote them!

insider paris guidesInsider Paris Guides are written for people who love the City of Light. You’ll get a Paris insider perspective on Restaurants… Making a Life… Black Culture… Expat Writers…and the newest guide, Practical Paris!

French Property Insider subscribers receive a discount of 10% off any guide and up to 25% off the entire purchase (if two or more guides are purchased at the same time). Here’s how it works:

1. Click on special Web link we give you just for FPI subscribers.

2. Then order one or more guide(s) and use the promotion
code "ED762." This promotion code gives you 10% off your total

3. If you order two or more guides, then an additional 15% will be
taken off automatically. There is no promotion code needed.

Here is the special "coupon" Web link just for you:


If you’re not a regular reader of the Parler Paris daily e-letter, and would like to be, simply enter your e-mail address here (it’s free!):

Copyright 2010, Adrian Leeds®
Adrian Leeds Group, LLC,


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