| Are
you looking for a solid investment property? Then French Leasebacks
are for you! This a 20 year investment in holiday accommodation
in France with tax incentives and guaranteed rental incomes.
This type of investment is a product of the
French Government looking for a solution to holiday accommodation
shortages in tourist areas. The French Government's initiative
has produced a large market for this type of property with
developments in many areas of France including Paris, Brittany,
the Mediterranean coast and ski resorts.
The French have been significant investors
and the market has been open to international investors for
many years. The success can be measured by the increasing
number of developments coming to the market. Some ski resorts
have been sold out within a week of launch.
How does it work? There are two elements -
the purchase and the lease for rental. To encourage the purchase
of these properties, the French government will refund the
19.6% TVA (tax) - so you are effectively buying at a discount
from day 1. On the rental side, you are agreeing to lease
the property back for rental.
The management company will offer you a guaranteed
rental on the property for typically a 9 or 11 year period
- after the initial period you can re-negotiate the rental
terms. Usually, the guaranteed rental incomes are between
4 and 6% of the purchase price per annum. Often the rental
company will let you occupy the property for 2 to 6 weeks
per annum as well.
The personal use varies according to each
development. Properties are sold furnished and maintained
in excellent condition by a management company during the
lease term.
Does this sound attractive? Well, the financing
is also exceptional. On some developments there are 100% mortgages
available depending on your personal circumstances. We have
many mortgage brokers offering 80% financing on French Leasebacks.
With Euro mortgage rates at around 3% - although there is
a current upward trend - your rental income will cover the
mortgage payments.
And there is more.....there are tax advantages
and reduced notary fees for new property. Most of the leasebacks
offer high quality services and are ranked from one to four
stars - the higher rank the better the services offered in
the resort.
On 1st-for-French-Leasebacks.co.uk we have
over 100 developments across France. In particular, we would
recommend Provence leasebacks, and the Ski Resorts but we
have developments in many major centres including Paris, Bordeaux,
and somewhat further afield the beautiful island of Corsica.
There is a complete explanation on our web site including
a breakdown of costs and payment schedules.
In summary, a government backed initiative
with 19.6% TVA refund and guaranteed rental income. At this
stage it is impossible to predict capital growth on the property
price - suffice to say, many of these developments are in
prime locations.
The
attractions of owning property in Provence |
Buying
a property in France |
France's
hidden northern delight
| Buy
to let French property |
Herault
property in France |
Property
for sale in Paris |
Property
for sale in Languedoc-Roussillon
| France
investment property |
Property
to buy in France | Property
investment in France | Buying
Property In France |
French
Leaseback Properties are a Safe Investment |
French
Leasebacks as an Investment |
