French property – the most popular in the world?

Photo credit: Sharon.Schneider

French property is the most popular in the world, according to mortgage firm Conti.

The company's hotspots report, released every year, reveals that France is the most in-demand destination for those looking to finance their overseas property investment, accounting for almost half of the enquiries received in 2012.

Nearly 45 per cent of the year's enquiries related to French property, followed by houses in Spain,w which accounted for one-third. Portugal (10%), Turkey (6%), Italy (3%), USA (1%), Australia (0.5%), Canada, (0.5%), New Zealand (0.5%), and Ireland (0.5%) completed the top 10.

"The availability of mortgages in France is one of the main reasons the destination is so popular," explains Conti. With interest-only mortgages making it easy to borrow up to 70 per cent of a property's value - up to 85 per cent with a repayment mortgage - it is easy to fund a property transaction. Favourable rates - from around 2.79 per cent - help too.

Operations Director Clare Nessling comments: "Buyers have increasingly been sticking to locations they know and trust, which is why France and Spain are out on their own at the moment and Portugal is starting to rise in popularity again too. The euro zone crisis continues, but the growing strength of the pound against the euro is boosting the budgets of people in the UK who are looking to buy property in these locations.

"This together with some bargain property prices and low interest rates, are making it even more affordable. It also helps that these countries offer easy access from the UK, and rental opportunities are good too." she added