English
FrançaisAs I am new to French Leaseback investment, I did a lot of net research to find out more about this type of investment. However, it seems that a lot of people are not happy with the investment they have made, mainly due to problems with the leasing company, or false promises or taxes. I am a bit converned about this and I hope that I am wrong to think so because the investment seems quite interesting and exciting.
Is it dangerous to purchase a property if you have not seen the place/location? I live in the Middle East and it is not easy for me to travel to France to check the place out.
Also, as a lot of people commented on the 'bad' leasing companies, can anyone suggest a few GOOD leasing companies that I can trust.
Thanks and regards,
Paul
I would like to ask about Mas de Oliviers in Uzes. Are they reliable developers and is the management company sound? I'm also likely to buy through IMOINVEST. Is this a good idea having read some of the posts? Please advise.
Thanks Seamus, It does seem quite attractive. Maybe you could help me with another couple of queries.
I'd like to know if the management rent of say 4.35% increases or decreases in line with any French interest rate fluctuations or whether this remains as a fixed income for the life-span of the agreement?
Also, should I be wary of any hidden extar yearly charges that might not at first seem obvious?
And what about the Tax Foncierre or Proffessionelle? When do these apply and at what cost?
Cheers
Huwcyn
Seamus
Sorry for delay in thanking you for your response to my query. I have been to visit the development in Beausoleil in the meantime and am very happy with all aspects of it. Thanks again for your response.
Amanda
Hi Stephen,
You seem to be a expert on the topic...maybe you can unearth a mystry for me. I have a lease agreement for a leaseback here, signed in Feb2004. The indexation is "at the anniversary date" of the agreement. Does that mean since the agreement was signed 2 years before delivery of the building, rent has been going up all the time? Sounds good to me if this is the case!
Toddy
Hi Seamus,
Apologises about the name error - vino does indeed affect my ability to think straight!
Yes, the deed was signed almost two years prior to taking delivery of the building. I notice in one of your previous posts, you mention that there could be upto 3 increases (i.e. 6%) prior to the first rent. The lease has full indexation as is reviewed annually.
Thanks
Toddy
Seamus
This is an old post that appreared in a search engine.
I am interetsed in two points, the first being that rents have to be index linked by law every 3 years and also somebody elses comment that the banks will only lend to credible management companies. Is this correct?
Hi
For the moment the situation is unclear. "Investing" in a Lease back in Residence de Tourisme please avoid.
In the past the banks could lend up to 90%! that's what CIF Credit immobilier de france or CME (credit mutuel) did.
usually the 3 year indexation is frozen and the managment company asks you to revise down the rent...
Séamus<?:namespace prefix = o ns = "urn:schemas-microsoft-com:office:office" />
I'd like to take you up on your offer of an honest answer regardless. I have bought (from plans) in Le Jardins d'Elisa development (<?:namespace prefix = st1 ns = "urn:schemas-microsoft-com:office:smarttags" />Beausoleil, Cote d'Azur) which is about to be completed building-wise. So far, am happy with how it is turning out. Developer is Sam Serfit/Monaco. Management co. is Etude Accueil Mediterranee. Developer is now promoting another development, Le Jardins d'Estella, (also Beausoleil). Am considering buying also, but 1st development has not got to stage of proving itself as yet. Any opinion?
Many thanks
Amanda
I will add that the french lender will finance only programm with good established management compagny.