So, France is cool again. Phew!
There’s no doubt about it ; optimism is in, and a decade of ‘France-bashing’ has come to a welcome halt.
Negative rhetoric has been replaced by phrases such as ‘nation of entrepreneurs’, ‘land of innovation’, ‘job creation’, ‘the place of choice for startups’, and ‘attractive to global talent’….
We live in France, and we know that it’s about time.
Our youthful President Macron has changed the conversation, and the perception of France around the world in seven short months. But to be fair, the country was eagerly waiting for him, and ready for his reforms, as shown by the unheard-of majority of ordinary French men and women who voted for him. Tired of aimless leadership and stagnant policies, they are now (cautiously) embracing labour, tax and many other positive changes.
According to a recent survey by Agence France Presse, ninety five percent of executives of multinational companies based in France, whose ranks are swelling by the day, agree that the new government’s trajectory is the right one.
At his inauguration he promised that France is “on the verge of a great renaissance”.
His “Make our Planet Great Again” call, with generous grants to climate scientists, has already lured top talent to France.
It’s looking good.
Real estate has not gone unaffected by all this either;
The Taxe d’habitation (one of two annual property taxes) is to be phased out for 80% of French residents from this year, and the pervasive feeling of confidence and positivity has brought both local and non-resident French buyers back to the market. Why? Because loans are being granted at astonishingly low rates (We have a client who recently obtained a 25 year fixed term loan of 1.1%!), properties are freeing-up as people upsize/downsize and make the most of good opportunities, stock is great, and buyers from France and abroad are revelling in the excitement. Prices remain low, but our prediction is that they will creep up in 2018.
That’s the confidence the market has been missing – and the confidence that is so very welcome.
The graph below (courtesy of MeilleursAgents.com) shows what happened in the Cannes market over the last 10 years – a long 10 years, and other centres look the same. It has been sluggish to say the least. As we enter 2018 however, we are seeing movement again, and not a moment too soon.
So just how did France become cool again? Macron came onto the scene, and the country rallied behind him, and that was the catalyst. But bottom line; the people wanted France to be France again, they craved positives, and now we are seeing a country whose people, with the same principal sentiment towards a head for reform, are actively “reclaiming their cool” – it’s working.
If you are ready to “jump on the French bandwagon” (as it were), here is just a taste of some of our latest listings, there’s something for everyone, and if what you are looking for isn’t here, please contact us cannes@fineandcountry.com
