A lazy Sunday in the Charente

 It was back in 2003 that we upped sticks and moved into a gite in the middle of a vineyard in a tiny hamlet called Mainxe.

We soon made friends with the headmaster of the small local school and learned that he was also President of the aero-modelisme club.  He led us behind the school playing fields into the vines.

Lo and behold there was a 200m tarmac runway, with wind sock where, each Sunday, he (and other enthusiasts) fly their model planes. 

Every summer they have a big show where hundreds of people gather to watch a day long display - as well as to eat, drink and generally have a good time.  The highlight for us has always been when they load up the planes with sweets attached to parachutes and the local kids stand on the runway and try to grab the bon bons as they fall to earth.

This year they had the champion of France give an acrobatics demonstration which was, even to my untrained eye, pretty impressive. 

My two girls have now outgrown the sweetie grab but we did all enjoy the egg chasing.

The organisers loaded half a dozen eggs into the planes and then dropped them in by parachute.  A motley crew of spectators were given frying pans and set off chasing them through the vines (it was a windy day).

It was the kind of afternoon that Peter Mayle would have written about and people would have thought he was making it up.  It was simply delightful and the perfect way to spend a lazy Sunday afternoon.

Vive la France....

www.cognacproperty.com

Looking for gardening services in Charente?

Here is a 100% biased critique of a job recently undertaken by the friendliest and most professional gardening services in the Charente.

I recently helped some Australian clients buy a beautiful old townhouse not far from me here.  The house is wonderful but the gardens are something else indeed - simply spectacular.

They're also lacking in TLC (overgrown and in a right old state might be a better way of putting it).

My clients asked my wife (you see, we're fans of full disclosure on this blog) to help and they agreed that she would tackle the lower level "rose garden" first.  They dug out the beds and the cracked crazy paving, put down weed matting and imported stones from a local quarry.

I went back to see them last week and they had been transformed.  I know that I am biased but seriously she (and her two helpers) did the most amazing job as you can see from the "before & after " pics below.

 So, if you're looking for gardening/property management services in Cognac, Jarnac, Segonzac or any other town around here then you could do a lot worse than calling 05 45 32 46 41 during office hours and asking for Juli-Anne.

Gardening - it begins with day break and ends with back ache...


www.cognacproperty.com

Don't move - the baguette is fully loaded

I read this interesting report from Agent Genius earlier this week.

Entitled "One in four male realtors are packing heat while on the job" it highlighted the light years that separate life in Urban USA and life in deepest rural Charente.

If the research is to be believed then 15% of male estate agents in the US carry a gun and 10% carry a knife for protection. I'm guessing that the stats are a bit distorted but even so it makes me grateful for the life we have out here.

I'm not naive and understand the risks that (particularly female) agents take - I was at Savills when Suzy Lamplugh went missing in 1986 and fully support the brilliant work done in her name by the Suzy Lamplugh Trust.

Life is, thankfully, slower & safer here.

I did a quick straw poll of some of the local agents I deal with in and around Jarnac.  All carried a mobile phone with them but the most dangerous weapon that anyone admitted to was "yesterday's baguette which I left in the car by mistake"....

www.cognacproperty.com 

French house prices rise for 5th quarter running

The latest French house price figures are out from the FNAIM and they show a further rise in prices this quarter of 3.3%.  The "year-on-year" rate of house price inflation currently stands at 6.8%.

You can see a snapshot of these figures from FrenchEntrée here or you can see the FNAIM report (in French) here.

I'm guessing that these figures actually come as a surprise to those of us on the ground who still consider that we're in a buyers market.  Of course, the FNAIM stats are only taken from their members - they don't include transactions from immobiliers who are not members, nor do they take into account private sales which count for as much as 50% of the market over here.

What we do know for sure is that  the French property market is historically robust and not inclined to great shifts in value either way.

If you're looking to buy property over here you should view it as a long term commitment, undertake plenty of research and not see it as a way of making a quick buck....no matter how attractive the headlines (or view from the bedroom window).

www.cognacproperty.com

£77,000 premium to live near the best schools!

Fascinating article in The Independent today which you can read here.

Primelocation.com argue that people pay a £77,000 premium if a house is in the catchment area for a decent school: 

"For many years now the challenges of the catchment area-based lottery for state schools have vexed millions of parents across the UK," says Nigel Lewis, a property analyst at PrimeLocation.com. "Our research highlights how much it can cost to get your child into the ideal school".

My old friend from our days at Savills, Henry Pryor, says: 

"In some parts of the country the premium could be more than the £77,000. For example, in parts of Camden where I have a client looking to spend up to £1m, one side of the road can be as much as £100,000 more valuable because it is in the prescribed area for a good school".

Staggering isn't it and a sad indictment of modern life in London.

"The average cost of a house near one of Britain's top 50 state schools is £298,378 – 35 per cent above the UK average asking price of £221,110".

Just a cheeky thought but this is what that £298,378 would buy you in the catchment area of the terrific school in Gondeville (pictured above):

www.cognacproperty.com

20 top property blogs from "Quick Move Now"....

 ....another day another spot of recognition for A little drop of Cognac.

This time it's from UK company Quick Move Now who are the UK's leading home purchase specialists.

They kindly told me that this was "one of the first websites to be featured on the list – we recognise its position as an industry leading property-related website".

Praise indeed, perhaps even a tad over the top.... but, hey, who's complaining?

You can see the full listing of 20 blogs featured on the Quick Move website here.

My personal list would also have included:

www.propertynewshound.com

www.hclp.co.uk

www.privatefinance.co.uk/mepasite/24/Blog.aspx

www.rightmove.co.uk/overseas-magazine

If you have any others to add to the list do please let me know. 

www.cognacproperty.com

Property Week - Twitter top 100

I was thrilled to see that I have made the Property Week Twitter "Top 100".

It's a listing of the 100 most influential property folk online and includes agents, developers, journalists, public bodies and other luminaries.

I'm particularly flattered as I'm the only nominee from France....and a small town in the rural south west to boot!

Recognition like this (and the prestigious Primelocation blog awards I received in 2009 & 2010) are important to my business.

You see, trust is a major issue for any international purchaser of property in France.  The laws are different, the language is different, market data is difficult to come by and finding the "right" house on the internet is nigh on impossible.

Magazines and websites are flooded with people offering a "free" property finding service....hmm, let me think, will they show you everything that's on the market or just the tiny percentage of houses that they have been promised a commission from?

Awards like this - alongside high profile individuals such as Graham Norwood, Giles Barrie, Peter Bill and Andrew Waller and blue chip names such as Jones Lang Lasalle, Cushman & Wakefield, CBRE and the RICS - go a long way to establishing that trust.

Of course, 25 years property experience and eight years local knowledge of the prettiest villages and the best houses, restaurants, schools, notaires, agents and builders helps too.

So, merci beaucoup Property Week and keep up the good work. 

www.cognacproperty.com

Win a house worth €200,000 in the Martell promotion

 I have just read this article in Harpers Wine & Spirits review saying that this month Martell are launching an on-pack promotion offering consumers the chance to win a "luxury" home in the Cognac region. 



"Special promotional packs of 35cl, 70cl and 1L Martell VS will be available in off-trade channels offering consumers the chance to win a property worth over £200,000.

Senior brand manager for Martell, Pernod Ricard UK, James Robinson, says: "This neck tag promotion offers a truly unique prize that will drive rate of sale by creating increased stand out on shelf, while also reinforcing Martell's French heritage and quality credentials."

I went on to www.martell.com to try and find out some more info about the competition but got bored trying to navigate around (yes I watched the compulsory video and "found" the access code).

I know I'm knocking on a bit but it seems to me that their Marketing Director is more interested in winning awards for creativity than actually providing information for his customers.  It reminds me of the "Toucan" Guinness ads which won loads of awards but were dropped after sales fell substantially....it's probably the same guy who has created the Martell site.

Anyway, best of luck with the competition if you decide to enter.... 

www.cognacproperty.com

Looking for property on the Ile de Ré?

If you love France but have never been to the Ile de Ré then you have missed a trick.  It's a pretty island linked by a bridge to La Rochelle and a favourite haunt of wealthy Parisiennes.  Many of our French friends also like to spend their summer holidays there...despite the fact that it's less than two hours away.

I had the pleasure of meeting Jacqueline & Brian Miller recently and they reminded me how much I like this area known as "the French Hamptons".  They have just joined the FrenchEntrée property finder network and know all the best spots on the island.

If you go to their excellent blog "Ma maison parfait" you can see this post which spills a few of the islands many secrets.  I particularly like this quote:


There are cycle routes throughout the island, miles of sandy beaches and pine forests for when you would prefer a shady place to enjoy a baguette, cheese and a bottle of the local wine. The island has strict planning regulations so the tallest buildings you will find here are lighthouses with the other buildings being mainly white-washed fishermen’s cottages with white, grey or green shutters.

If you'd like to know more about buying property in La Rochelle or on the Ile de Ré then you can contact Jacqueline and Brian here.

Just don't forget to invite me over to share the local wine and baguette in the sunshine....




www.cognacproperty.com

How to buy a vineyard....

There's an excellent article in Country Life this week about how to buy a vineyard, you can read it in full here.

They identify two types of purchase - the full time commercial venture and the hobby.

The choice between commercial and hobby winemaking boils down to how much risk you're willing to take (it's very difficult to make money from a vineyard, warns Jo Leverett of Savills), how much time you have (hobbyists can outsource virtually all production, says Andrew Thomas of Strutt & Parker), and how much money you can spend (equipment and staff costs need to be factored in, among others). It will also dictate which type of property you need to buy.

Some of you may remember that last year I was mandated to find a chateau & vineyard around Bordeaux and I wrote about the difficulty of valuing a vineyard, including this summary:

I have a very good friend who is cellar master at Polignac which is one of the leading brands of Cognac. For ten years he was also the cellar master at one of the leading Bordeaux producers in the Medoc. He tells me that while he is perfectly capable of tasting and testing the existing wine stock he would not be able to give an accurate forecast as to its worth - that's a different job entirely.

Similarly, one of the chateau's that we visited is the former home of one of the world's most famous post impressionist painters. What kind of value does this add to the property?

So, at the end of our lunch we decided that any valuation has to include a combination of balance sheet analysis, collective expertise and comparable evidence...but it's also going to include plenty of shoulder shrugging and a dash of "je ne sais quoi".

With plenty of interest from Russia and Asia as well it seems that country estates, fisheries and vineyards could retain their values as well as any other property sector over the coming years.

www.cognacproperty.com

EU forces "U turn" on French health ban

So runs the front page headline in the latest issue of The Connexion newspaper. 

The story kicked off back in 2007 when the French government suddenly decided that it no longer wanted to pay for health care for pre-retirement expats from other EU Member States.  This had a huge impact on thousands of people and the resultant media storm was quite some thing.

This weeks U turn means that early retirees will now get access to the CMU although full details still seem unclear.

In an email today staff at The Connexion said:

More details are emerging about how early retirees can regain access to state health cover in France.  The French government has published a circular with guidelines applying to expats who move here before state pension age and are not in work.

It clarifies the different ways in which an inactive EU citizen can legally live in France through French state health insurance "in certain situations".

The circular explains that access to the CMU (couverture maladie universelle) will be studied on a "case by case" basis and applicants will have to satisfy the authorities that they have sufficient income.

France was forced to change its policy of denying state healthcare rights to early retirees after the European Commission intervened. The commission is keeping a close eye on how the new rules are applied.

We will have a full analysis of what the new rules mean in the next issue of The Connexion, out on August 1.

This is not a subject that I'm expert in (nor do I ever want to be as it seems ultra complicated and specialised) but if you think it affects you then the one thing I would say is for goodness sake make sure you seek the advice of a professional.

www.cognacproperty.com

Conquering the infamous Col du Tourmalet

 "Vous êtes des assassins! Oui, des assassins!'

So said Octave Lapiz when he won the Tour de France in 1910 after staggering up the Tourmalet.

It's a ridiculously hard climb as, at 2115m, it's the highest road in the central Pyrenees and the most famous mountain in the history of "Le Tour".

So it's hard to explain why, last Saturday, I set off from Lourdes on my tatty old mountain bike to tackle this monster.  Accompanied by a group of friends who had cycled with me down from Bordeaux I had no idea what was in store.

The previous night we had all talked about the need to be mentally strong .  One of our party asked how much - on a scale of 1 to 10 - we "wanted it".

My companions all said 10 without hesitation but I gave it a half-hearted 6.  The truth is that I'd achieved my objective already (getting half fit and reaching the Pyrenees in the first place).

We left Lourdes along a stupidly pretty cycle track with the mountains in the distance.  By the time we reached the foot of the Tourmalet in Luz St Sauveur I was already sweating hard. 

Just the 19km's to go then at an average slope of 7.5%.

Two of our party shot off - these were the serious cyclists on proper road bikes who wanted to beat the clock.

This left Paddy and I.  We have been friends since meeting up at Portsmouth Poly in 1981 and he's the strongest guy I know - both physically & mentally.

My old bike is a disgrace, but his is worse.  Better still he was dressed for a swift jaunt along the side of the river Charente.  Every cyclist we saw (and there were plenty of them) was slim, wiry and dressed head to toe in Lycra, with matching helmets, gloves and backpacks stuffed with energy bars.

Paddy was in his football shorts and tee shirt (which he took off halfway up declaring the 33 degree heat as "getting warm") - his pockets would have carried some kind of sustenance if they hadn't had holes in them.

I surely would have quit halfway up but for the fact that he'd cycle ahead for a few minutes then turn and come back down the mountain for a chat and some encouraging words.

Three quarters of the way up and I'd run out of water and steam was coming from my ears.  I collapsed in the shade of a tree and confirmed that I was ready to die. 

"Don't be stupid" said Paddy and he cycled off to fill up my water bottle from a mountain stream, what's more he was whistling when he came back....damn him.

Three km's from the top and Chris arrived with the back up car to say that the others had reached the top and were cheering us on.  How can you quit when you have friends like this?

So.... I picked up my broken, 6'2", fifteen stone, body and re-mounted my bike. 

"Oh yeah" chortled Chris "They told me to tell you that it gets steeper at the end, up to 10.2% for the last 500 metres".

Thanks.

The rest is a blur....pretty much the only thing I remember is the photographer at the top of the mountain who almost fell off the edge when he clocked Paddy coming up, still whistling, in third gear and looking for the world as if he could do it again without breaking sweat.

There's a big monument at the top and there were a hundred or so people milling around.  A few came over to examine our decrepit old bikes and my father-in-law (who has been training me for the last year) shed a discrete tear or two, while simultaneously trying to revive me.

It was, without doubt, the biggest achievement of my life.  My thanks go to David Battersby, Chris Stacey, Steve Heywood-Jones and Paddy McMahon - it was an honour to share this moment with you.

“Endurance is one of the most difficult disciplines, but it is to the one who endures that the final victory comes.”

www.cognacproperty.com

Living in (or moving to) France - some tax tips to consider

French taxation policies seem to dominate headlines at home and abroad lately.  Thankfully President Sarkozy has scrapped his daft idea of taxing second homes but nobody really knows what he will come up with next.

Meanwhile there are certain steps you can take to minimise liability.

The team at FrenchEntrée have put together a whole host of useful articles and briefing papers in their tax zone and I've taken the liberty of recreating this article by the excellent Duncan Camppbell of Siddalls.

Tax tips for UK residents moving to France:

1. Before you leave, make sure you complete the Inland Revenue Form P85 to inform them of the date you leave the UK. They will finalise your tax affairs.

2. Obtain a forecast from the Department of Work and Pensions of your entitlement to a state pension and if you need to make additional class 3 contributions to obtain your full entitlement. Note, however, that anyone retiring after 2010 may get a surprise. The qualification for a maximum pension reduces from 40 years full NI contributions to 30 years. Do not overpay!

3. Consider taking any tax free cash commutation from your pensions whilst a UK resident. Since the start of 2011 lump sums taken from a UK pension scheme are taxable in France.

4. The tax benefits of holding stocks & shares ISAs and cash ISAs will no longer be available to you once you are French resident. You should therefore consider realising any gains, free of UK income or capital gains tax, before you make your move. There are re-investment options available through other deposit and investment products which are more tax-efficient for French residents.

5. There is no substitute for taking advice from qualified advisers who are regulated in the UK by the Financial Services Authority and are familiar with taxation and investments in France and the EU. This is to ensure you are taking advantage of all windows of opportunity, i.e. maximising your French IHT exemption limits whilst still a UK resident.

Tax Tips for UK tax residents in France:

1. On becoming a French tax resident it is your responsibility to make yourself known to the tax authorities and to declare fully your income, capital gains and wealth. Once you have made your first return they should automatically send you a form in future years.

2. Ensure you each top up to the maximum your tax free accounts which are Livret A (€15,300) and a Livret de Développement Durable account (€6,000).

3. Take steps to keep your taxable income to the minimum by placing surplus funds in tax efficient investments. Investment income is liable to income tax, social charges and if you do not qualify may also be liable to contributions to the French healthcare system.

4. French inheritance tax may not be as bad as you fear. The allowances for assets passing to children may be lower than the UK but so are the rates. There are ways of reducing and possibly removing any liability to French gifts tax and inheritance tax on assets passing to children.

5. "Do as the French do". They take active and sensible steps to avoid unnecessary taxation. Seek advice from persons authorized in France who have access to a variety of solutions and not just one product.

Like anything else in life you should take professional advice - it will save you time and money and give you peace of mind.

www.cognacproperty.com

From Bordeaux to the Pyrenees - cycling through SW France

As regular readers will know four friends and I have spent the last few days in the summer sunshine, cycling down through SW France from the centre of Bordeaux to the dizzy heights of the Pyrenees.

In itself this isn't an especially great achievement - particularly as there's a few hundred people spending the next month covering far greater distances at a much higher speed in pursuit of a single yellow jersey.

However, I'd be grateful if you could make some allowance for the fact that we're not really cycling afficionados, or even halfway fit...we just fancied a challenge for my forthcoming 50th birthday.

We set off on Wednesday from the centre of Bordeaux and took the excellent cycle track "Route Roger Lapebie" to get us into the countryside before turning south to the famous town of Cadillac.

The next couple of days took us down through Mont de Marsan and on to Lourdes.  En route we found a whole host of outstanding bars & cafes serving some seriously good food.  We also had a rather childish (but fun) game where we'd sprint for all the town signs that we happened upon.

On the second day we somehow found ourselves entangled with three local riders, beautifully bedecked in club colours and bowling along at high speed.

We tagged on to the back of them and, of course, eventually came across a sign.  With about 400 metres to go I pulled out of the peloton, went round the three lycra clad locals and made a mad dash for the line.

To say that these young guns were not happy to be overtaken by a chunky, middle aged man on a thirty year old mountain bike is a gross understatement.

With a roar of "merde alors" the three of them set off after me, closely followed by two of our party who also wanted the glory of our "stage win".

This meant that six of us were line abreast, roaring down a country lane, with the three locals bewildered as to what was going on but going hell for leather as they feared their pride was under attack.

As it happens I was soon over-run and it was my father-in-law who grabbed the glory....we skidded to a halt at the first cafe and left the three club cyclists scratching their heads as to what had just happened, while pedalling furiously in case we tried to catch up with them again.

The countryside through Aquitaine and the Midi Pyrenees was glorious with a wonderful contrast between the blazing yellow of the sunflowers and the succulent green vines.

On Saturday morning we set off from Lourdes for the infamous Col du Tourmalet, all 2115 metres of it.

It was such an adventure that I'm going to write a separate post about it but suffice to say that we weren't disappointed by the challenge it posed.

All in all it was a terrific way to celebrate my 50th and it only re-emphasised to me what a wonderful country France is and how many hidden gems there are in even the tiniest villages.

www.cognacproperty.com

French X Factor - Brit makes the final two

I'd wager a good deal of money that you've never heard of Matthew Raymond-Barker.

Yet last night he made it through to the final of X Factor 2011.

He's a 21 year old student from Mitcham and he's going to get my vote in next Tuesday's final, live on M6.

There's something delicious about X Factor in France.  It's not as glitzy as the UK version and the singing & choreography is often naive but at least it's honest. 

No clearly scripted spats between Louis & Cheryl.

No hyperbole from Simon ("in anybodys money that was a world class vocal.....better than the original").

They've had some decent guests this series too, from Lady GaGa and James Blunt to The Black Eyed Peas and, of course, Johnny Hallyday.

Next week the invitees are Beyoncé and Bruno Mars but I hope that they are upstaged by M Raymond-Barker.  My guess is that you never will get to buy his records outside of France but his story is still quite remarkable. He's conquered the nation and millions of teenage girls think he's more hip than Justin Bieber.

Bravo Matthieu et bon chance......

www.cognacproperty.com

Charente - the second sunniest part of France

A few years ago I wrote an article for French Property News saying that I lived in the second sunniest part of France.

Since then I have taken huge amounts of stick every time a little, white, fluffy cloud has the temerity to tiptoe into view.  Clients, friends and neighbours all take great delight in reminding me of my words.

Well, after the hottest spring since 1900 they're all changing their tune now and begging for their sun baked potagers to be watered.

Recently their collective rain dance bore fruit and the photo above was taken in his garden by my good friend, and ex client, Andy and stolen from his excellent blog "Prunings from the vines". 

Just to rub salt into the would I've found a map showing sunshine levels across France which prove, once and for all, that a career in the met office beckons if ever I decide to quit the world of international property.

As Steve Martin so famously said:

"A day without sunshine is like....you know....night".

www.cognacproperty.com

France expects an increase of 31% more UK tourists this year

There was an interesting piece in The Observer last Sunday about the further rise in popularity of France as a tourist destination from the UK. 

The (incredibly clumsy) headline was "Families rediscover French holidays as Arab spring and taxes take their toll" - you can see the full article here.  It goes on to say:

The average price of a holiday in France this year is £554 a head, compared with £978 for Italy, which has seen a 15% rise in bookings. The steepest falls in bookings have been in Tunisia and Egypt, by 16% and 30% respectively because of the political uncertainty. More expensive destinations, such as the Caribbean and the US, at an average cost of more than £1,200, have also proved a turn-off in straitened economic times.

France is the world's number one tourist destination, with almost 80 million visitors last year – more than 10 million of whom were British. Philip Westerman, 30, from London, who has been to France "more times than I can remember", puts food, culture and identity at the top of the list of reasons why he can't stay away.

These statistics don't come as a surprise to me as there really is something special about this country we now call home.

I shall listen out for more British voices during my weekly visit to the local market and to being accosted in my local bar with the oft asked "On holiday? How long have you got left...."

Hopefully a long time yet.

www.cognacproperty.com

House prices - will Google ruin your dinner party?

Way back in the dark ages, before I "saw the light" and gave up all kinds of power, money and status, I used to host, and be invited to, some excellent dinner parties.

Over a decent rack of lamb and bottle or two of St Emillion the conversation would inevitably turn to house prices.  Of course everyone would have an opinion as to where we were in the property cycle and for how long the boom/crash would go on for (no-one ever talks about periods of stagnation).

Many of my friends were also in the property industry and would be happy to quote figures from one of the myriad conflicting housing reports and indices (government, agents, developers, banks, industry bodies et al).

The historic beauty of these reports is that the analysts and research teams always contradicted each other - leading to an endless supply of data to stimulate debate and conversation.  You could say what you want and always be able to find some obscure stats to back up your argument.

Now though, it looks as though big, bad Google could well end the debate and put all those well paid analysts and researchers out on the street.

No less an authority than the Bank of England has a whole section in their quarterly bulletin about using internet search data as an economic indicator.  You can read the article here.

So...can Google predict house price movement?

Well, the Bank of England are, typically, cautious about giving us a one word "yes" but they do say that search data outperformed other traditional economic indicators.  Their researchers found that searches for "estate agents" tended to peak a month ahead of rises in house prices.

We've been waiting for centuries for a single, authoritative house price index....we still struggle to say with certainty what house prices have done in the past.

Can Google now skip a step and tell us what they're going to do in the future....

www.cognacproperty.com

Proposed tax on French holiday homes

There's been quite a lot written & said about the proposed new tax on French holiday homes.

Last night I read a new "global briefing" from exclusive agents Knight Frank which was so good that I thought it was worth sharing.  You can read the full paper here.

In essence we have two forms of "council tax" in France, taxe fonciere and taxe d'habitation - both of which are calculated on a property's rental value.  Even when taken in combination these are usually well below the equivalent tax you would pay, for example, in the UK.

The proposed tax would equate to 20% of the valeur locative cadastrale (VLC) - a theoretical rental value of the property set by the local tax office - and would apply from January 2012 if approved by the French parliament this summer.

If you read the Knight Frank briefing paper you'll see that, even if approved, the new tax will have a relatively marginal effect.  They give an example of a tax of €280 pa on a property worth €700,000 (well, it is Knight Frank!).

Indeed, with new changes (already ratified) to the wealth tax then France is looking an increasingly tax efficient country to retire to.

It's nice to see that the chap from Knight Frank finishes with this, bullish, sentiment:

"With the anticipated weakening of the exchange rate now more likely than ever, we expect British buyers to return to the market".

I have always liked those nice folk at Knight Frank (even going back to when there was still a Mr Rutley)  - let's hope they're right with that final prediction.

PLEASE NOTE THAT THIS DAFT IDEA OF TAXING SECOND HOMES HAS NOW BEEN SCRAPPED - 20 JUNE 2011

www.cognacproperty.com

Top tips for buying in France

Set out below are my top 10 tips for those looking to buy a house in France this year.

1. Identify your preferred location:
France is a huge country offering seaside resorts, skiing, cheap equestrian property with acres of land, plush penthouses in Paris and much more. Find your ideal area before beginning your house search.

2. Write down your "brief":
If you're vague with agents then don't be surprised if what they show you doesn't take your breath away. The more thought you put into your brief the better the results.

3. Make sure you see a good cross section of the market:
You'll find that some agents are friendlier and more knowledgeable than others but you're buying a house not on a blind date. Agents can only show you what they have on their books. Also, don't forget that every second house purchase in France is actually a private sale but do remember that this route isn't for the faint-hearted and carries plenty of risk if you don't know what you're doing. If possible use a buying agent (see 10).

4. Get your finances in place:
It's pointless finding a little gem if you're not in a position to buy it. This is a simple thing to do and will save masses of heartache.

5. Check out www.immoprix.com:
This site shows average house prices (and price fluctuations) from around the country.

6. Don't deal with an unlicenced agent:
There are still plenty of sharks around. Ask to see their carte professionelle or you could get your fingers burnt.  There are thousands of professional agencies offering an excellent service - make sure you use them.  If in doubt go to http://www.fnaim.fr/ where there are plenty of friendly & efficient immobiliers to choose from.

7. Use a good notaire:
Quality differs among notaires and you 100% have the right to choose (don't be told otherwise), ask around and find one you are comfortable with.

8. Try and collect as much comparable evidence as you can:
Houses are notoriously difficult to value in France and it's often the owner who sets the price. Visit as many "similar" properties as you can and use this comparable evidence to help negotiate a good price.

9. Don't be greedy:
It's tempting to get more land than you need (you'll live to regret it) or to buy a house with masses of barns (roofs cost a lot to repair). If in doubt take your time to really think it all through.

10. Use a buying agent:
Let's face it you may well not be fully conversant with the language, laws, process and local area. Buying a house is a huge commitment and a good buying agent will save you time & money as well as give you peace of mind. Not sure where to look? Try here.

Bon courage....

www.cognacproperty.com

Cognac Gym - Club Championship: And the winner is......

I know that most people read this blog for insights into the French property market but tough - if a father can't take pride in his daughter's achievements then it's a poor show.

It's a bank holiday in France today and I've spent most of it with my family watching my youngest compete in the Cognac Gym club championships.
 
There were four disciplines: Bars, Beam, Vault and Floor.  Her strongest by far are the bars and she was happy that she was drawn to start with these.
 
The Downie family held their collective breath as she started swinging and then disaster struck as she fluffed a hand adjustment and lost both momentum and, surely, her chance of gold.
 
She's a fighter though and the next three disciplines went well with a huge backflip on the vault that Beth Tweddle (her heroine) would have been proud of.
 
We had to hang around for an hour and a half before the Palmares (awards ceremony) and we waited nervously to see if she had clawed her way back onto the podium.
 
The MC took centre stage.
 
"The 2011 club champion of level EG4 is...........DOWNIE Katie".
 
He even pronounced her name properly.
 
The stadium erupted (well there was warm applause anyway) and Katie stood on the podium to receive the gold medal, with the broadest smile imaginable on her face.
 

 
No national anthem I'm afraid.....probably for the best though.
 
Now, if you're reading this Lord Coe (well, you never know) - how about reconsidering my application for those four tickets to the Olympics next year?
 
I'm warning you, if you don't come up trumps then I'll tell her to represent France in 2016 :-)
 
www.cognacproperty.com

Two new French property finders join the team

I've just finished training two new buying agents who have joined the French Entrée Property Finders network.

Jacqueline Miller has set up "Ma maison parfaite" and will be covering the Ile de Ré, La Rochelle and Vendée coast.  It's a simply stunning area that I know well and I'm sure that she will be a real asset to the network. 

Further south, Jacqueline Hanks has set up "Southern Dordogne property finders" and, again, it's an area that I know.  Indeed it was a golf course & chateau for sale just outside Bergerac that first inspired me to think about moving to France.  Jacqueline is a French national and knows the market intimately.

I wish both of them luck.

If you'd like to know more about how you too could join the network then you can get a full prospectus by requesting one from Sian@frenchentree.com

www.cognacproperty.com

Education in France - a teenage perspective

I've just read this excellent blog post from one of me fellow FrenchEntrée property finders.

Val Walmsley runs Poitou Property Services and recounts a conversation she had with a young lady who came to France at 14 and who has now passed her Bac.

I really liked this quote:

“Moving to France…”,she said,“…is the best thing my parents have ever done for me. My life is far richer. I’ve learned a new language,I have great relationships and I love life here. I’ve been pushed to extend my limits and am really proud of what I’ve achieved”.

As regular readers will know, our experiences of the French education system have been largely positive with small class sizes, plenty of discipline and caring teachers.

I say "largely" positive as I wasn't particularly happy last week when our 12 year old came home and said she was going on strike for a day and was going to spend the day listening to Justin Bieber & Katie Perry instead of conjugating verbs and learning about French history.

I've managed 49 years without striking and wasn't too chuffed with her militancy but she explained that the PTA weren't happy that one of the classes was going to be cut and - being France - they had organised a strike to solve the problem.

Ho hum.

www.cognacproperty.com

House prices in Poitou Charentes

I was writing an article for the excellent French magazine (available in all good newsagents) yesterday and spent some time trawling through the house price indices published by the Notaires de France.

It struck me that average house prices fluctuate greatly throughout the region and here's some examples that I thought you may find interesting, drilling down from the region to the area around Cognac itself:

Poitou Charentes - €158,700

Charente - €124,300
Charente Maritime - €197,100
Deux Sevres - €109,800
Vienne - €140,600

Angouleme sector - €125,900
Cognac sector - €124,300
Confolens sector - €113,100

If you have ten minutes to spare and want to interrogate the figures further then go to http://www.immoprix.com/.

Have fun.....

www.cognacproperty.com

UK housing market - excuses, excuses, excuses

Forget the omnipresent "location, location, location" it seems that "excuses, excuses, excuses" is the new catchphrase to describe the slump in the UK housing market.

The Guardian ran a story today entitled "Housing slump? blame the weather" with the subhead of:

"Warm weather, a succession of holidays, plus the royal wedding … they're all getting the blame for the spring housing slump".

Miles Shipside of Rightmove says that transaction volumes will remain low and Martin Ellis of Lloyds says that the underlying trend in house prices continues to be one of modest decline.

Actually I'm not sure that there's any need for excuses at all. 

Property is a cyclical business - I first came into the industry in the early 80's and this is my third period at the bottom of the chart. 

It says something in the Bible about seven year cycles of feast and famine and, whilst it's not an exact art, it's clear that property values follow a cycle too. 

Here's an excellent article from Money Week in 2005 forecasting the latest global economic collapse and saying that the cycle is usually around 18 years.

As it says - house prices can’t rise indefinitely for the simple reason that at some point they become unaffordable.

The author does say:

"There are usually 14 years of rising prices followed by four years of recession across the broader economy".

Hindsight shows the slump starting in 2008 and we're now three years down the line.

So maybe we should just realise that regardless of weddings, sunshine and cheap deals to the USA, property prices are going to remain depressed for a little longer yet.

A brave man would say that now is just about the perfect time to invest.

As sure as anything the roller-coaster will be picking up speed again at some point in the near future.

www.cognacproperty.com

Charente life - time to sniff the flowers

Some of you may know that in my former life I was lucky enough to have two jobs simultaneously. 

First as Group Marketing Director and secondly as the Director in Charge of Chesterton's head office in Brook St, with around 200 people in the building.  I think the latter role was given to me as the Chief Executive knew I had a father from Scotland & mother from Yorkshire and would therefore keep a tight rein on the purse strings.

My office used to look out over Claridges and it was a pretty spoiled life.

I had a PA who used to organise my diary, a team of people making sure the office ran smoothly and an accountant to help me add up the numbers.

If my computer started behaving badly I'd pick up the phone and someone from the IT helpdesk would arrive before I put the phone down.  I could eat in the Excecutive dining room (choose the menu even) or send out for sandwiches.

Life is so, so different now.

I work by myself from an office in my garden - make my own coffee, type my own letters, get my own baguette, install my own ink cartridges and wrestle with my own Livebox.

This morning I have been writing to the Prefecture and photocopying lengthy contracts.  I cursed when I saw it was 11.30am as the post office closes at mid-day and there's no magical "out tray" that empties itself at night anymore.

Wearily I licked the envelopes down, sighed at having to drag myself out of my comfy chair, picked up the dogs lead and set off on the 150 metre trek into the centre of my village.

On the way I bumped into my neighbour Yves and spent time chatting with him about how the lack of rain was affecting his potager.  Three people tooted and waved as they drove by.  In the post office the lady behind the counter spent 10 minutes talking about Sarkozy's new tax plans and the royal wedding (still).

Coming home I wandered into my garden behind the church and sat on the grass eating cherries I'd picked from the tree followed by strawberries, raspberries & redcurrants that were ready in my fruit patch.

The dog sprawled alongside me, hoovering up the cherry stones and letting out a half hearted woof if the birds came too close.

Hmm - I thought. 

London was terrific, it's the greatest city in the world and if you want to forge a career in property there's no place better.

But as Walter Hagen* so famously said:

"You're only here for a short visit. Don't hurry, don't worry. And be sure to smell the flowers along the way.”

And at the grand old age of 49 I've come to the conclusion that he was absolutely right!

www.cognacproperty.com


*Walter Hagen is the world's third greatest ever matchplay golfer.  Bettered only by Seve and my mate Chris.

International buyers return to the Charente

I'm meeting a client tomorrow to hand over the keys to this beautiful old Charentaise masterpiece.

I thought that I had bought some houses with incredible views over the vines before but this one absolutely takes the biscuit.  It's a cracking house in a prime location and I think that we bought it at a bargain price.

Regular readers will know that after the 2008 banking crisis things became tough in the property industry.  International buyers simply dried up and went from plentiful to non existent.

The tap has been turned back on though and the purchase of this house and some of the others featured recently have led to my best Q1 figures since opening up business here back in 2003.

I'm hopeful that this is a "trend" rather than a "blip" but only time will tell. Certainly the house price indices are encouraging as is general press coverage.

According to my colleagues in the FrenchEntrée property finders network transaction volumes across France are still patchy although a couple of them have seen similar starts to the year as myself.

Long may it continue.

www.cognacproperty.com

Cognac Blues Passions confirm 2011 line-up

It's my favourite festival of the year.

The week of Cognac Blues Passions is always terrific fun with artists and visitors from all over the world creating a unique atmosphere in my home town.

I don't care whether it's BB King in the park or an unheard of band in the street there's something about live music that stirs the soul.  Watching The Comittments perform on an island in the middle of the Charente, overlooking the Courvoisier chateau is still the finest concert moment of my life.

This year the festival takes place from the 5-9 July inclusive and acts include ZZ Top (blues?), Jamie Cullum, Texas, Moby and many others.

Book now as it's always popular.

See you there.

www.cognacproperty.com

Britons eyeing up European property bargains....hmmmm

Just seen this article in the Daily Telegraph.  An extract says:

"Eight out of 10 Britons looking to buy a holiday home abroad are interested in those European countries which have been hit worst by the recession.

Portugal, Ireland, Italy, Greece and Spain are now lumped together under the unflattering acronym of the PIIGS. They’re up to their eyes in debt and, in the case of Portugal, Ireland and Greece, they’ve had to be bailed out to keep them afloat.

So 82 per cent of Brits interested in buying abroad in the next 12 months are looking to these countries in the hope that prices have hit rock bottom and they can pick up a bargain".

Sorry but I simply don't believe that.

It might be that people are idly looking at houses in these countries - just as I have spent more time than I should looking at some of the "fire sale" property in the worst hit US states.  http://www.property4peanuts.com/ is a particular favourite.

But just as I wouldn't dream of buying anything in the slums of Detroit, Miami, Baltimore or Atlanta (I've seen The Wire) I tend to endorse the view of Mark Bodega of HIFX:

“The one country they are returning to is France whose property prices were least affected. French property buyers tend to be more affluent, older clients and having held off for the last few years they are beginning to dip their toes back in the water as retirement waits for no man (or woman)".

Ultimately, France has a long and unique relationship with the UK and buyers are comfortable with everything here from the climate & scenery to the decent wine and gentle pace of life.

Buying a home overseas is a major step and both the heart and head should be consulted or you'll end up with a "pig in a poke" that you'll regret buying forever.

Vive la France!

www.cognacproperty.com

Looking for a house to rent in the Charente Maritime?

Talk about organised.

I first spoke to Jason & Jane at the end of last year then met them at the France Show in January.  They had always wanted a second home in France and mandated me to find them something beautiful.

They came across at the start of February to see what I had found and picked up the keys last week to a fantastic house close to the coast (followed by an extremely enjoyable lunch I'm glad to say).

Yesterday I had an email from Jason saying "check this out"

http://www.charentemaritimegite.com/

I can assure you that while it looks good in photos the reality is even better.

So, if you're looking for a holiday home to rent in the Charente Maritime this summer your search could be over!

www.cognacproperty.com

Cycling through the Charente countryside

Regular readers will know that in a couple of months time I am embarking on the longest cycle ride of my life.  Starting in Bordeaux, myself and four friends will journey down to the Pyrenees and then attempt to cycle up the infamous Col du Tourmalet.

I'm currently "in light training" as my father-in-law likes to call it.  As a talented amateur cyclist he has been put in charge of making sure that I don't disgrace myself.

Sadly though there are a few issues:

(i) I have led a sedentary life for 49 years and I'm both overweight & unfit.
(ii) I'm going to be making the journey on my 20 year old "sit up and beg" mountain bike.  The brakes don't work, only one of the three gear rings works and it's still caked in mud from a one off whirl round Richmond Park with my mate Chris in 1992.
(iii) I'm lazy and think that Sunday mornings were made for sleeping in.

So I wasn't impressed to be up at the crack of dawn last Sunday and setting out on a 70km ride.

Father-in-law had broken it down into three stages.

Firstly we set off up into the hills around St Preuil and Bouteville.  Stunning scenery but not easy to climb.

Then came what he calls "speed work" where we kept going back and forth across the river Charente in the beautiful villages of Graves, Vibrac and Bassac.

Finally came "the grind" where we cut through Bourg Charente and up the long hill past Cognac golf course and then back down into Jarnac.

Three hours fifteen minutes later my legs were screaming but I was able to collapse into a heap.  I then spent two hours just watching muscles I didn't know I had dancing around in my thighs.

Town houses in the Charente - such good value

I have posted before that I think the best value for money around here are the town houses in Jarnac, Chateauneuf and Cognac.

It's simple really - international buyers pay premium prices (unless they use me of course) and drive prices upwards.

They also tend to have a similar brief - a house on the edge of a small village (with bar & boulangerie), plenty of land, views over the vines and a short drive to a big town with commerce.

Very few want a "lock up & leave" townhouse with courtyard or garden and right in the heart of the shops and restaurants.  I can't really get my head around this as, for a holiday home, or French living in general, it seems the ideal thing.  Still, it's not my money, nor my dream - I just get paid to turn it into reality.

So it was particularly satisfying that my recent Australian clients fell in love with this magnificent town house which is in the very heart of Chateauneuf.  The split level gardens are pretty spectacular too.

It needs a lot of TLC and we have had an RICS qualified surveyor crawling over every inch of it.  But it came through with flying colours and I think the price we got it for is exceptional value for money.

It's another one where I'm hoping to be invited to share the odd beer or two in one of the many garden areas when they are completed.

Long live the town house!

www.cognacproperty.com

Charente houses: projects that won't ruin you....

Just read this little snippet in the Telegraph about "wrecks that won't ruin you".

It got me thinking about some of the cracking houses that I have seen recently on behalf of clients, some examples pictured below.  I particularly like the top one - it's not a wreck by any means (far from it) but it has some terrific barns to renovate and an old tumbledown house in the 1 ha grounds that's just crying out to be rebuilt.

There still are some excellent bargains to be had around here for those who have an appetite for renovation. 

Be warned though that many bite off more than they can chew.  Make sure that you have funding in place for both the purchase and the restoration and that you have a trustworthy project manager with a little black book full to the brim with good local artisans.

Bon chance.

www.cognacproperty.com