Put a Little France Into Your Life in 2013

Yes, it’s true. The French are fleeing their own country. At least the well-heeled French who have nothing to lose except a large portion of their wealth if they don’t leave.

Recent reforms in the tax laws are doing a good job of taking from the rich to give to the poor, but I’m not sure that the officials who thought up these Socialist ideas realized how their fellow countrymen would react. Did they think they would gladly pay up and shut up? Did they not realize that there are lots of other countries within the E.U. or elsewhere who would welcome new taxpayers with open arms?

In order to ‘get out of Dodge,’ they must sell their assets and take whatever wealth they can with them. That means assets, such as their homes, are going on to the market, and a big bargain. This, my friends, is an opportunity for foreign investors to buy a “pied-a-terre” in Paris or country château at a time when the choice will be plentiful and the price akin to a steal.

Expensive properties are beginning to flood the market. Luxury agency Daniel Féau reports that more than half of their listed properties are between $6.4 million and $19.2 million — when in past years properties of that range only accounted for about 10% of their listings.

The media has openly reported on some of the high-profile business people and celebrities who are leaving France behind for greener pastures — such as actor Gérard Depardieu, Amaury de Sèze of Carrefour, Lindsay Owen-Jones of L’Oréal and Nicolas Chanut of Exane. They now reside in neighboring countries Belgium, Switzerland and England.

The new tax rate of 75% on salaries over $1.3 million only affects French residents, not those who own a vacation property. And with prices flat or down, and with some sellers needing to sell quickly thereby reducing their prices, this can be a very attractive proposition for a foreign buyer who spends less than half a year in France.

Experts in the field are predicting that the number of luxury properties on the market will greatly increase once the year comes to a close and the final tax increases are determined — forcing potential sellers to make a decision to relocate or ‘ride out the tax storm.’ Still, many are not waiting around for the bad news. They are fed up with the new governments’ negative outlook on business, entrepreneurship and wealth in general.

According
to the press, those who are leaving now do not have the same profile as in the past. Today the new expats are younger and still in the throws of earning their fortunes. They have children and family-size apartments or homes that make good fodder for the foreign investor.

Interested? Make 2013 your year to put a little France into your life.

Happy New Year!

A bientôt,

Adrian Leeds
Editor, French Property Insider

Email: [email protected]

(in Los Angeles, CA)

 P.S. If you wish to make an investment in France one of your New Year’s Resolutions, of course we can help you. Remember that when you are a guest in any of our Parler Paris or Parler Nice Apartments, you have a complimentary one-hour consultation with me to discuss your goals. Or if you wish to just learn more about how we can help you make your dreams to live in France come true, simply tell us more and arrange a time when we can speak: French Property Consultation