have french houses gone up in value?

[Blade]

we've owned a property in france now in the lot for just over a year . i got one estate agent to come round to have a look when we were in the uk she seemed to say that prices had not gone up but then again  was not around to give all the info and ideas we have / had on the property etc and not sure that she realised that we had a separate piece of land with well which will be used to supply the house. what are people's opinion? thanks in advance!

[Val_2]

From what I get in the post week after week advertising property for sale I think its a safe bet to say that all property has increased in value BUT by how much depends on the type and popularity of certain houses and the areas in which they are situated and the condition that they are in. People are tending to veer away from huge renovation projects these days I feel to find something a little more expensive to purchase and with no huge future outlay which has been the downfall of many over the years. You mention you have land, land is not expensive here and in many rural parts, hardly worth anything to anyone but a farmer anyway so you cannot factor in land values unless it is in a very desirable location or in a built up residential area. If you are thinking of selling up, remember the 15 year CGT charges if you are not resident here and filing tax returns.

[Athene]

What would the tax implications be if you own a 'Maison secondaire' house and decide to sell it to build another house on some land you own that you has building permission on?

[Gastines]

Renovation projects seem to be the properties that are sticking at the moment.If you were in the building trade in UK, buying a place to renovate was a good investment a few years back. If you did the work you were allowed 3 times the value of materials against your CGT, even if they were bought in UK. Now it is a different kettle of fish, only french labour with TVA and only french bought materials, are allowed against tax. OK if you are not intending to move for about 15 years+ but who knows what the future holds? Still perhaps one of the UK's MEP's will take up the point?

Regards. St.Malo.

[WJT]

We bought our property in July 04 and have been told that property prices have come down. So I am surprised to hear that people think that any property has gone up in value in the past year.

[moon]

At the end of the day it would depend on a lot of things whether the price has gone up or not in the past couple of years. Remember the agents fees you paid are not part of its new value to you and if you paid english agents finders fees on top well!!!

A couple bought a property near us through an english agent and paid £41,000. The seller a friend got £31,000 for the property the rest was agents fees. Now if that property was valued today the owner would probably be told I can get you £33,000 for this. On the one hand the value has gone up from £31,000 to £33,000 so prices are going up. Try telling that to the couple who paid £41,000 and are being offered £33,000.

Bob

[Ron Avery]

With any maison secondaire or part of your property that is not your principal residence (for example a barn),  you will pay Capital Gains Tax in France.  As I seem to recall  Blade says that she does not  live in France,[;)] the sale of her house would also be subject to CGT, which the Notaire  handling the sale will kindly deduct and pay for you without even being asked[:D].

[Alexis]

People might say that prices have gone up but it depends where they live.  Perhaps they are just being hopefull when they think of an asking price?  A real slump.

Why oh why didn't I sell sooner?[:'(]

Mind, for the first seven or so years, the prices stayed firmly the same.

[Mpprh]

Hi

 

the rules of supply & demand don't change ?

The very cheap property was only cheap for a reason.

Worth reading this : http://www.the-languedoc-page.com/articles/languedoc-articles43.htm

 

Peter

 

 

[Grays]

[quote user="Blade"]we've owned a property in france now in the lot for just over a year . i got one estate agent to come round to have a look when we were in the uk she seemed to say that prices had not gone up but then again  was not around to give all the info and ideas we have / had on the property etc and not sure that she realised that we had a separate piece of land with well which will be used to supply the house. what are people's opinion? thanks in advance![/quote]

 

maybe i'm being too rude, but anyway

is it a quick return you're after, why buy in France then, in such a short time shouldn't you be happy to realise what you paid out for a property in the French market.

why have an agent look at the property without being there and expect her to be able to give an accurate price when you haven't told her about the extent of the land and any improvements you may have made.  Did you pay her for the valuation, or as i suspect didn't and therfore it doesn't matter if you waste her time with your unsupervised request.

 

p.s  were you in Eater

[Brilec]

You don't say why you are selling after such a short time.

If you are just a property speculator, then tough as far as I am concerned, you take a chance to make money out of others and sometimes it doesn't work out.

On the other hand, if your personal situation has changed, forcing this on you, then I have some sympathy, but it certainly would appear that you will not show a profit by the time you have taken the costs of the purchase into account. And remember that if you have not lived there full time, CGT will not take into account these purchasing costs, they will just want 16% of the difference between the price you paid net vendeur, and the price you actually receive.

Also be aware that "ideas" you might have about the property will make s*d all difference to the value.

Sorry if this is not what you wanted to hear, but it just happens to be my personal point of view.

[Poppy]

Have lived in the Lot area for sixteen years. For the first 10 years prices remained the same, the french just bought houses to live in not for investment. Then because of economic factors in England and Holland  in my opinion the English and Dutch were offering well over the odds for houses in France. French neighbours were anxious to find an english buyer. As in the UK house prices in France appear to have reached a peak and I know several people who have had houses on the market for over twelve months and are now reducing the price.

The french seem to be having houses built, new houses are popping up everywhere possibly with the help of interest free mortgages.

Jan

Lost in the Lot

[Debra]

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[BJSLIV]

Fees are included along with any allowable improvements so reduce any taxable profit.