The French government has introduced
"Residence de Tourisme", or "Leaseback" plans
to increase the quantity of holiday accommodation available in
popular regions to provide accommodation for more tourists and
to increase the tourist revenues for France.
The leaseback scheme in France enables
people to buy their holiday home or an investment property in
France and to finance most of the mortgage costs with a guaranteed
rental income (typically yielding 3-7% of your initial investment)
from a secure management company who then rent out your property
for the period of the lease, typically 9 years.
Rare in our region
you find now this unique leaseback opportunity in the heart of
the French Riviera. Please see below.
The big advantage is that the French
government give you back the VAT which is paid on the new development,
this is currently 19.6% of the price. But do your sums correctly,
if the selling price is 100,000 euro then the price on which
the VAT was calculated is 83,600 euro. You will get back 16,400
euro which is 16.4% of the price you paid. In other words you
get back about one sixth of the total VAT inclusive price not
one fifth. In some cases the buying price you are quoted is with
the tax already recovered by the contractor.
You are the freehold owner of the property
and you can have use of the property for holidays for selected
weeks of the year, this depends on each specific leaseback scheme.
The property is purchased furnished and fitted with kitchen and
bathroom. Your property is fully managed and serviced by a property
company who lease from you and you have no further costs or charges
for the period of the leaseback.
You own the freehold. Most leaseback
plans give you the use for several weeks of the year and you
receive a fixed rental income guaranteed for the rest of the
year. The VAT tax incentive is a real discount off the market
value of the property giving a VAT refund on the whole property
from the French government. The current rate of VAT on all new
property is 19.6%.(this refund represents a 16.4% discount of
the market value normal selling price)
We give help and advice. But keep in
mind that leasebacks are for a long term investment and not a
way to get a free "holiday home".
Rare are these leaseback plans on
the French Riviera, but now you find one opportunity in the heart
of our region, not far from Antibes and this directly on a golf
course (see drawing on the top of this page):
Studios: €111.831 and upwards plus V.A.T.
2 rooms (1 bedroom): €130.608 and upwards plus V.A.T.
Please contact us here without
further delay for more information
