As we approach the end of the year, activity in the French mortgage market is picking up as many buyers get their mortgage applications in and approved at the current ultra-low rates. This week alone we have sent quotes out over €15M of new purchases in the Alps at all different price points with viewings all confirmed. It is easy to understand why the Alpine property market is holding up well (see article below) and if this week is anything to go by.
Now certainly is a good time to be buying with French mortgage rates at their all-time historic lows and with loan to values of 80% of the purchase price and effective interest rates from 2.40% over 25 years.
Looking forward to the New Year, it certainly seems as though we will keep the low interest rates for the year with no indications that we will see any increases. French banks continue to be interested by lending to non-residents and we are not anticipating any further changes to underwriting criteria. There have been some positive noises about Europe recently with consumer confidence increasing so we can’t be sure these low mortgage rates will be around forever.