Non-French buy EUR 6 billion of French property
PARIS, Oct 16, 2006 (AFP) - The French real-estate sector attracted EUR 6 billion in investment by non-residents last year, with Europeans, and Britons in particular, the biggest buyers, a study showed Monday.
The amount was up from 2004, when EUR 5.5 billion was spent on French property, and a far cry from the 1994-2000 average of EUR 2 billion, the study by Foncier Expertise showed.
The unit of French bank Credit Foncier said a key reason was that increases in French prices had been smaller than those in several other European states.
While French prices rose by 55 percent between 1970-2003, they leapt by 151 percent in Britain and the Netherlands, by 184 percent in Ireland and by 218 percent in Spain.
The eurozone’s creation also lead to a surge in cross-border transactions, the bank noted.
Europeans accounted for 90 percent of the foreigners that purchased French property, with Britons, Swiss, Italians, Germans and Belgians leading the pack.
Almost one-quarter of all second homes in France owned by foreigners in 2003 belonged to Britons, and the trend was increasing since they represented half of the transactions by non-residents last year.
Subject: French news