Investing in PROPERTY
Investing in Property - the different strategies
Property has a unique appeal to investors, as a safe haven from the next financial crisis. Unlike shares and markets, in times of crisis a property provides you residual value and potential use of a "roof on your head" !
1. Buy-to-let investments
Pros: Large choice of suitable rental apartments and houses on the Cote d'azur, Var and Provence, and high demand for both short or long term rentals, as it is hugely popular destination.
Returns: For villas 3-6% gross and apartments 4-8% gross depending on the location.
Risks: On long term rentals the risk of tenants not paying and overstaying due to highly protective French laws in favour of tenants, but not an issue for short term holiday rentals.
2. "Pleasure" investments/second homes
Pros: Benefit personally from your investment, by staying part of the year in the property that provides also a good rental return, depending on how long you rent the property in the high season.
Returns: Assuming you spend between 20%-50% of the time in the property in the high season, you diminish the buy-to-let returns stated above to the same extent, so as a rough guide villas 2-4% gross and apartments 3-6%.
Risks: Not getting enough rentals if your property or location is not attractive enough, or your price too high.
3. NEW- fixed interest loans guaranteed by properties
Pros: Get a fixed and regular interest via a secured loan that you provide to a homeowner. This new form of peer-to-peer lending that Smartfinder Home is facilitating, allows you to offer selected home owners a loan guaranteed against their property. Get more information through our "investment club".
Returns: Stable and fixed 3% to 4,5% gross return
Risks: Delay in getting funds back in the unlikely event the home owner stops repayments
For each of these strategies, Smartfinder Home has assisted clients invest successfully in the South of France.
Our track record has been recognized and rewarded through the repeat business we receive from our faithful investors.
Contact us now and we will dedicate all our resources to find you the most suitable opportunity !
Property has a unique appeal to investors, as a safe haven from the next financial crisis. Unlike shares and markets, in times of crisis a property provides you residual value and potential use of a "roof on your head" !
1. Buy-to-let investments
Pros: Large choice of suitable rental apartments and houses on the Cote d'azur, Var and Provence, and high demand for both short or long term rentals, as it is hugely popular destination.
Returns: For villas 3-6% gross and apartments 4-8% gross depending on the location.
Risks: On long term rentals the risk of tenants not paying and overstaying due to highly protective French laws in favour of tenants, but not an issue for short term holiday rentals.
2. "Pleasure" investments/second homes
Pros: Benefit personally from your investment, by staying part of the year in the property that provides also a good rental return, depending on how long you rent the property in the high season.
Returns: Assuming you spend between 20%-50% of the time in the property in the high season, you diminish the buy-to-let returns stated above to the same extent, so as a rough guide villas 2-4% gross and apartments 3-6%.
Risks: Not getting enough rentals if your property or location is not attractive enough, or your price too high.
3. NEW- fixed interest loans guaranteed by properties
Pros: Get a fixed and regular interest via a secured loan that you provide to a homeowner. This new form of peer-to-peer lending that Smartfinder Home is facilitating, allows you to offer selected home owners a loan guaranteed against their property. Get more information through our "investment club".
Returns: Stable and fixed 3% to 4,5% gross return
Risks: Delay in getting funds back in the unlikely event the home owner stops repayments
For each of these strategies, Smartfinder Home has assisted clients invest successfully in the South of France.
Our track record has been recognized and rewarded through the repeat business we receive from our faithful investors.
Contact us now and we will dedicate all our resources to find you the most suitable opportunity !