International investors in the French real estate market may find there are more opportunities to enter the sector following Francois Hollande's victory in the country's presidential elections.

Mr Hollande beat incumbent president Nicolas Sarkozy in the polls and has pledged to focus on growth, rather than spending cuts, in a bid to improve France's and the eurozone's economic position.

Managing director of estate agency Leggett Immobilier Trevor Leggett said the new direction set to be taken by the French president will lead to opportunities for real estate investors.

"We are already seeing the euro/sterling rate hitting the 1.25 mark and with French mortgages already among the cheapest in Europe, it looks like there will be plenty of people looking to both buy and sell," he asserted.

However, Danny Silver, managing director of The Villages Group, pointed out that, as the vote was only for the president and not the entire government, there will be very little fundamental change for the French property sector.

The level of finance available for property purchases in France makes the market very attractive to British purchasers.

Writing for My Introducer, Clare Nessling explained the nation's banking system has not been hit as hard as those in other countries, because its financial institutions exercised more caution than some of their counterparts elsewhere on the continent.

She stated the French market "currently offers the widest range of finance options and best available rates in Europe for UK buyers, and it's in a relatively secure situation".

It is also possible to take out a high loan-to-value mortgage on a property in France, with some providers continuing to lend up to 90 per cent of the purchase price.

A recent survey by HiFX revealed France is a top choice for British buyers overseas, with 35 per cent of people seeking foreign real estate hoping to buy in the country. This was more than double the number of purchasers considering Spain - which attracted 16 per cent of those surveyed - making it the second most popular destination for property deals, the Press Association reported.

Brittany is a good option for buyers seeking real estate in France due to the current pricing in the region.

This is the assertion of Town & Country Property France, with Richard Dannreuther, a spokesperson from the firm, explaining the value of homes in the area has stabilised recently, with "plenty of bargains to be had".

"The lower end of the market is very buoyant and those who don't have a restricted budget can make the most of a huge selection of Brittany properties," he concluded.

In a recent blog post, the company highlighted some other parts of France that real estate investors may want to consider.

Paris and the Cote d'Azur were named as relatively expensive locations in which to buy property, but demand for rental homes in both destinations is strong, making them a good option for those who can afford the initial outlay.

Bordeaux was singled out as another area to consider, with its reputation as a world-class wine making centre helping boost its appeal among those seeking a vineyard with their home.
 

People whose retirement is not too far off may be increasingly considering buying property in France after the recent controversy over tax allowances for pensioners.

Chancellor George Osborne's Budget 'granny tax' announcement last month on personal allowances will see pensioners having their tax allowances frozen from 2013, bad news for those approaching their 60s.

French real estate expert and MD of The Villages Group Danny Silver suggested this could be a factor in persuading older people not to hold pensions in the UK.

"This so-called 'granny bashing' has generated a lot of controversy over the last month and it is likely that the bad feeling amongst UK pensioners could well spark British retirees to flock overseas," he remarked.

It may soon be cheaper to buy in France as the Global Property Guide report recently suggested the market in the country is slowing down.

The guide based this projection on figures from the National Association of Real Estate Agents in France, which showed growth in the final quarter of 2011 was substantially lower than in the three months to October.
 

There are indications the French property market may slowdown as the year progresses, with a number of factors helping to cool the sector.

According to a Global Property Guide report, the threat of a recession in the eurozone and the forthcoming presidential elections - which are due to be held in April and May - have made purchasers "more cautious".

The publication cited figures from the National Association of Real Estate Agents in France, which revealed price growth in the final quarter of 2011 was considerably weaker than the previous three-month period.

Between October and December last year, the value of property climbed by 1.04 per cent annually, while in the third quarter, prices rose by 7.1 per cent compared to the same period in 2010.

Last month, Clare Nessling, director at Conti, revealed the French mortgage market offers the most attractive rates in Europe for British buyers. She explained it is "in a relatively secure situation and loan-to-value ratios are still high".

British buyers are able to get a more favourable mortgage rate in France than in any other European country.

This is the assertion of Clare Nessling, director at Conti, who explained purchasing real estate in France and elsewhere overseas has become "much more affordable" due to the predominantly low interest rate environment in Europe and the falling value of property in many nations.

She went on to point out that the French mortgage market has fared better than the majority of its counterparts in Europe because it has historically taken a more cautious approach to lending.

"It currently offers the widest range of finance options and best-available rates in Europe for UK buyers. It is in a relatively secure situation and loan-to-value ratios are still high," Ms Nessling stated.

The attractive mortgage terms provided in France may be one reason behind its popularity as a retirement destination.

Earlier this month, managing director of The Villages Group Danny Silver drew attention to a survey by the National Association of Pension Funds, which found 34 per cent of people nearing retirement age would consider moving abroad to enjoy a lower cost of living. Mr Silver highlighted France as the ideal country to choose due to its food, culture and proximity to the UK.
 

A new report looking at the performance of pan-European property funds has revealed assets in France are among those supporting returns from these investment vehicles.

The IPD study pointed out the stability of the German and French real estate markets, which together account for nearly half of the assets held by the funds surveyed, "supported the continuing recovery in returns".

According to the organisation, these investment vehicles have greater exposure to France, with 29 per cent of the funds' collective holdings in the nation, compared to 19 per cent in Germany.

In 2011, French real estate delivered returns of seven per cent, 1.4 per cent less than the earnings generated by properties in Germany.

A survey published by CB Richard Ellis earlier this month found that France - and in particular Paris - will continue to be on the radar of real estate investors in 2012.

The firm noted Paris is the third most-attractive city in Europe for property purchasers, with nine per cent of respondents describing the French capital as the best place to buy this year.
 

Brits are increasingly considering purchasing a property overseas when they retire due to the high living costs in the UK.

Managing director of The Villages Group Danny Silver cited figures from the National Association of Pensions Funds, which revealed around one-third of retirees would prefer to move abroad to locations such as France.

Mr Silver described the European nation as "the ultimate retirement destination" thanks to its culture, food and proximity to the UK.

"As more and more people in their third age see their living costs rise and their standard of living drop, it is hardly surprising that they are looking for better deals overseas," he asserted.

The Knight Frank Global House Price Index published earlier this month revealed that France's residential real estate market is holding up relatively well in comparison to its eurozone counterparts.

French property values climbed by 4.3 per cent over the course of 2011, indicating the sector has greater stability than other popular European retirement destinations, such as Spain and Portugal.
 

Paris has been named as the most expensive city in the world for those seeking rental accommodation.

According to figures published by Savills, Paris is now marginally ahead of London in terms of how much it costs to rent a property, while it is also the third most expensive location in which to purchase a home.

Yolande Barnes, head of the firm's residential research division, highlighted "strong occupier demand" and "relatively low capital values" as the two main reasons why investors are attracted to the French real estate market.

The average yield for rental properties in Paris currently stands at around 4.5 per cent, which is lower than the return achieved on assets in New York, Moscow, London and Sydney.

A recent CB Richard Ellis survey revealed the French capital is also the location of choice for commercial property investors, with the city attracting more funds in the second half of 2011 than its nearest rival London.

Paris is the most popular city in Europe among those seeking commercial property investments.

This is the finding of a new survey from CB Richard Ellis (CBRE), which revealed the French capital overtook London as the top investment choice in the second half of last year.

In the final six months of 2011, the amount of money spent on commercial real estate in Paris hit €7.9 billion (£6.6 billion), up significantly from the €3.6 billion registered in the previous half.

Central London wasn't far behind, attracting €7.8 billion in funds during the same period.

President of CBRE capital markets in France Antoine Derville commented: "Paris is attracting investment because of the depth of the market. With 54.5 million sq m of offices and a very low vacancy rate [...], take-up in 2011 was close to 2.5 million sq m."

Mr Derville added the boost to Paris's investment market at the end of 2011 was partially a result of new properties coming on to the market, noting there is still strong demand from buyers for prime assets.

Last month, managing director of the Villages Group Danny Silver highlighted France's status as a safe haven for real estate investment, pointing to its strong economy and the 0.2 per cent growth in gross domestic product recorded in the final quarter of 2011 as reasons why it remains attractive.