There is a strong appeal amongst property purchasers for French investment properties and France’s proximity to the UK allows buyers to enjoy their properties as well as cashing in eventual investment returns, while not having to travel as far as to other popular emerging markets.

Constant and sustainable growth in the region of 10% per annum and strong rental yields of around 7% gross make France a stable arena for those looking for a profitable investment within a market that has a buoyant sales market and a constant demand for residential and tourist rentals.

Despite growth being slower than in other emerging markets, investors choose France as a far lower risk for more cautious investment. French property has historically increased in value and generated a sustainable rental income. In addition, the absence of political instability or potential economic volatility makes France an ever attractive investment option. New-build and off-plan investment is now accounting for around one third of sales to the British.

Meanwhile, demand is high from the French local population for rentals. Investors can take advantage of a booming tourist and residential rental market in key locations or buy and resell to investors or holiday homebuyers. Meanwhile there is also a strong demand for property from those foreign purchasers looking to permanently relocate or to simply invest abroad. "Pure investment" strategies are viable options in many areas, enabling off-plan purchase in France at the best possible prices. Investors purchasing as early as possible with a minimum "money-down" payment, then selling prior to completion are gaining substantial profits.

Today some half a million British people own property in France and these buyers often enjoy using their properties during unoccupied periods as well as cashing in on stable capital returns when they finally sell up. France is not only a highly popular holiday destination, but ever increasing numbers of British citizens are moving to France to retire or simply relocate and enjoy a slower pace of life. France is the third most popular retirement destination for British expatriates and figures from Alliance & Leicester indicate that some 21,000 British retirees are currently residing in France.

Key facts

• Strong, stable property market
  
• Favourable investment environment with attractive tax breaks
  
• Within a short distance of the main countries of Europe
  
• Ever increasing inward and overseas investment
  
• Varied climate, ideal for your chosen activity
  
• Long term residential property price growth of circa 10% p.a.
  
• Net rental yields in the region of 7% - 10%
  
• Capital gains tax on property now halved to 16% to encourage foreign investment
  
• Strong tourist market as France is one of the World’s most visited country
  
• Excellent, modern transportation infrastructure and links with mainland Europe