French mortgages are still proving to be historiclly cheap which has meant the French property market is in good shape. For the yeat to May 2017, 900,000 transactions were recorded across France with price rises ranging from 5.5% in Paris to 15% in Bordeaux.

Many people thought the strength of the Euro would be a break on the market. Whilst there is an element of truth in that, it's still not deterring non-resident buyers in France. The drop in French mortgage rates over the past five years is the main reason for the consistent appetite.

The drop is so big that buyers of a €500,000 property are almost €80,000 better off over the term of a 80% LTV mortgage. Buyers who still have the required capital for a deposit know that whilst currency values may change over time, a mortgage rate fixed for 20 years will not.

For British buyers, the low French mortgage rates offsets the change in exchange rate with today's GBP/EUR rate only circa 8% below that of two years ago. Mortgage rates have dropped from 3.10% in September 2014 to 1.90% today.

French Mortgage Best Buys

Repayment

Rate	Term	LTV	Description
1.90%	20 years	80%	Tracker mortgage 3m euribor +1.9%
1.95%	15 years	80%	Fixed rate for the term
2.15%	20 years	80%	Fixed rate for the term
2.05%	25 years	85%	Rate capped +1.5% for 13 years
2.45%	25 years	80%	Rate fixed for the term
2.55%	25 years	85%	Rate fixed for the term

Interest Only

Rate	Term	LTV	Description
2.50%	14 years	75%	Tracker 3m Euribor capped +2.80%
2.75%	7 years	75%	Fixed rate
3.20%	14 years	75%	Fixed rate