Long-term fixed-rate French euro mortgages fallen in price again, which creates opportunities for foreign buyers, specialist euro mortgages broker offshoreonline.org says.
The broker has announced another round of rate cuts for buyers looking to purchase French property, whether as a main or holiday home.
Buyers with a 15 per cent deposit can now lock in to 15 or 20 year deals at rates from 2.9 per cent. Variable rate euro mortgages for French properties meanwhile can widely be obtained at rates below 2 per cent.
Combined with the growing strength of the British pound, this presents good opportunities to UK buyers, who can get around 12 per cent discount on equivalent prices compared to 12 months ago. It can be seen why both banks and brokers in the sector are reporting significant increases in both enquires and business written.
Guy Stephenson, a spokesman for offshoreonline.org said:
“Recent falls in mortgage costs not just in France, but also for buyers in Spain, Italy and Portugal have meant this is increasingly a buyers’ market, particularly for those looking at larger purchases.”
European banks have long offered buyers a far wider choice of product, including long term 20 and 25 year fixed-rate mortgages, capped, variable rate and interest only options. A loan of over €500,000 with a 40 per cent deposit in France can now be secured at a rate of 3.10 per cent, for example.
