Summer Property Market - post confinement

A little early for a blog about the Summer market expectations, but in view of the changing situation in many French departments regarding de-confinement, it seems appropriate to assess the market as it stands now and look at how it may unfold in light of the Covid 19 pandemic.

Buyers have been spending their confinement time, making decisions on which areas they would like to purchase a home and there is no doubt that the confinement conditions in different areas – rural, town, city and by departments will now be a significant factor in deciding on their chosen areas.

Additionally, many have been making advance enquiries on properties of interest and are planning viewings just as soon as their, and the vendors situation will permit.

There is a consensus among immobilier specialists that the property searches will change in all areas.

Cities and large towns:

1. Where possible, should working from home, or commuting allow, many will want to leave the cities and large towns to take advantage of countryside properties, with some land and more comfortable conditions experienced throughout the pandemic. An acceptance that working from home can be widely achieved and is no longer frowned upon as a ‘lazy option’ or ‘non-productive’ will encourage this.

2. Properties in the cities and towns will still be required, but more so as:

- weekly accommodation for a commuter – a small flat as a secondary residence, which could be locked and left at weekends and in the event of a need to repeat confinement.

- a higher value will be placed on private outside spaces of city and town residences – a small garden, or simply a balcony or courtyard will be regarded as a premium asset.

- Suburb properties will be in higher demand, allowing dwellers to take advantage of city/town facilities and social life, but retreat to a safe space if needed. Property construction/renovation will have an emphasis on private outdoor space – with no doubt a price tag to match.

Countryside property:

1. Within commuting distance (and with the high-speed TGV this is feasible at some distance from Paris) city dwellers will turn to country living, searching for properties in areas which have so far proved to have been impacted less by the pandemic. Fresh air, gardens, outdoor space and the possibility of enjoying the countryside, within the rules of a repeated confinement, will be a big pull.

2. Many buyers will hale from cities/towns where prices of properties are higher, there may well be an increase in the number of country properties sold in higher price brackets, offering substantial space and a degree of self-isolation.

3. Obviously, there will be a need to sell the city/town residences to facilitate this, but that will be possible, offering investors the chance to redesign them, to attract those needing city/town living, but requiring the added asset of private outdoor space.

4. Those already living in the countryside who have been considering a ‘downsize’ will almost certainly be less likely to consider the city living, even if was their original plan. A suburban, or more rural property may well prove more appealing.

Summary:

Sellers:

- Buyers are still out there and always will be, but their criteria for their home may well have changed to put more importance on the possibility of enjoying private outdoor living, be that in the countryside, or a city/town.

- Now is the time to make sure your property remains on the market, with good images, if possible providing a professional ‘vitual tour’/video of your property and an emphasis on advantages of your outdoor space, possibility of commuting and working via the internet. Revise your property description to ensure it gives a clear message to potential buyers, that throughout the pandemic you have been able to take advantage of these property assets, to remain as comfortable as possible.

- Even if you are selling a property with little outdoor space, those with the advantage of being to take exercise in the surrounding countryside have an added asset.

- Be prepared to provide as much information as possible to potential buyers about your property and the area, including local facilities, in advance of any viewing.

Buyers:

- Revise the needs of your property purchase, to consider your real requirements from a perspective of working conditions (can you work remotely, or would it really be impossible?); family health in the event of a resurgence of the pandemic; how confinement has affected you and your family and whether the social aspects of living in cities/towns outweigh the advantages of more personal freedom to enjoy the outdoors, in whatever way possible, throughout the pandemic.

- Be prepared to do more research remotely, and be structured and consistent in the questions you ask of sellers, gathering as much information as possible before viewing.

- Be prepared to respect social distancing rules throughout viewings and have less ‘free’ access to properties you are viewing.

The property market will still be moving, but changes are on the horizon, regarding both the needs of potential buyers and the way in which property marketing needs to be addressed by sellers.

Adapt, change and you will be ready to take advantage of whatever situation you are in and make the move you need to make.

EDIT ON 1st JUNE

From 1 June Telegraph for anyone thinking of buying or selling a property in France:

Earlier this year, estate agents in France were expecting a rush of property hunters from Britain who wanted to snap up a holiday home.

Joanna Leggett, of the eponymous French estate agency, said: “This was going to be a massive year for British buyers.” Agents were expecting a rush before new visa requirements come in when the Brexit transition period ends in January 2021.

Then came coronavirus lockdown, creating an added time pressure for Britons who wanted to get in before the deadline.

The French property market reopened two days before England’s on May 11, but international travel restrictions still apply. When they lift, buyers will still need to allow for the fact that sales can take several months. “Britons will literally have a three month window to buy between July and October,” said Mrs Leggett. “The phone has been going completely mad,” she added. She is booking Britons in for viewings from July 1.

But when these British buyers do arrive, they will find coronavirus has made the French property market a different place, especially the rural regions where they normally have free rein.

As in the UK, French estate agents have reported a surge in demand since the market reopened. Marie-Hélène Lundgreen, of Daniel Feau estate agency, said: “We expected it to be active, but not like this.” In the three days after the market opened on May 11, Daniel Feau’s clients made 42 offers on properties, 36 of which have closed, said Ms Lundgreen.

Transactions to French buyers are already higher than this time last year, said Mrs Leggett. But the sales are not spread equally. “There’s been a massive drop in interest for apartments in Paris,” said Mrs Leggett. “And a huge influx of French people into the second home market.” She noted a 47pc year-on-year jump in the number of Parisians looking for countryside property. “We have never had that before.”

Jelena Cvjetkovic, of Savills estate agents, said: “We’re seeing a lot of interest south of the Loire to Languedoc-Roussillon to Provence, and particularly St Tropez. It’s all about country properties, terraces, outdoor space, green space.”

Link to the article:

https://www.telegraph.co.uk/property/abroad/want-buy-french-holiday-home-british-property-hunters-face-tight/