“Au revoir ” is what many wealthy French property owners are saying to France as they flee to avoid the government’s proposed 2013 revenue squeeze on the wealthy. With a possible 75% tax rate on salaries above $1.3 million, plus increases on capital gains, many affluent are selling their French residences and moving to tax friendlier locales. Others are poised to s ell if the tax hikes take effect as expected. As a result, inventory in the high-end of France’s housing market is increasing. For buyers who are not primary residents of France, this is a boom. They won’t be subject to the punishing taxes, have more residences to choose from, and growing inventory levels may cause prices to soften. If you have affluent clients who dream of a French chateau or an apartment overlooking the rooftops of Paris, now may be the time to suggest they shop for a second home in France. Can you say “bargain price” in French? Try “prix d'occasion.”
Need to refer a client to France? Remember that you can network with agents around the world on Proxio, the international MLS. If you haven’t taken advantage of the free membership which The Institute provides, find the details in the members’ only section of our website.