Good news comes early this year for future buyers in France: mortgage rates should remain low, with very little increase!
Feb 2018. Although minimum French mortgage rates were achieved in 2017 and the current rates show higher, it is very unlikely that we will see a significant rise in borrowing rates this year. There are several possible explanations to add to its current stability. In the geopolitical sphere, on one hand and post recent US elections; uncertainty and various tensions of several places of the globe, only confirm the interest of investors in safe havens. Nationally, recalling that the price of goods increased in some places, especially in some popular areas of the hexagon (see also Rising prices in major French cities) and a significant increase in rates of this context, coupled with the inherently competitive nature of the banking sector, could result in dangerous game play; something the banks do not wish to indulge in. This makes the current time attractive for international buyers seeking to buy a second home in France. So, even if the French banks are right now, pens poised and in the waiting position with an increase looming, it should only be a moderate one. Borrower’s profile, “Premium” in particular, still see the rates currently offered to them, decrease. How nice it is to be able to enjoy these buying opportunities at the beginning of this year, again!