Should you consider euro-based assets?

a piece of the pie

My guess is that we share a similar goal of socking away enough funds so that when retirement rolls around, we can put our feet up, sleep past the 6 AM alarm clock, or take that long-awaited trip we've pined after. It's just that the equities market has not played into our dream "fairly" and most of us have had to tighten our belt, readjust our sights, or even seriously question our next move.

1.    Diversification-  

While I  certainly agree that investing for long term growth is a prudent goal, so is portfolio diversification. One of my clients from California quietly commented that their investment in a home share in France has been their best performing investment in the last few years. Not only has it not declined in value, it has seen about a 20% appreciation since 2006. Fractionals in Europe not only offer diversity from the equity market, they also offer diversity in the currency market as well.



      2.  Time Value of Money 


Can we really afford to have our money not working hard for us?   As an investment advisor in Portland, Oregon from 1993-2003, our portfolio manager stressed the concept of "the time value of money". Yes, I could leave $50,000 in an equity which had been beaten down and wait for it to come back to break even before I sold it. But, if chances were that my $50,000 was going to languish for an uncertain period of time, not allowing my money to really work for me, we could consider shifting it to an investment with stronger fundatmentals. Euro based real estate has certainly has been a strong investment for us since 1998.



3. Stable real estate investment


 The Financial Times commented on Wednesday ( 10/29/08):  In  France, innovation in housing finance has been slow and French banks' prudence has limited the debt that housebuyers can take on. French mortgage terms are shorter than elsewhere, typically 15 years, and often at fixed interest rates. There was no "subprime" mortgage market, as in the US.

Unlike in the US and UK, the French have not borrowed heavily on the back of the rising value of their houses.



4.   Strenghtening dollar buys more


The dollar is continuing to strengthen against the Euro and is the best it's been in two years.  Whereas one greenback cost a whopping 1.60 euro in mid- July, it has vastly improved today: $1.26 gets you 1.00 euro - more affordable travel again!



5.  Enjoyment


 Have your cake and eat it too!  What could be more fun (and profitable) than investing in an appreciating asset which you can use year after year, in FRANCE?   



5.     Demand vs supply


Someone once explained to me why France continues to be the most sought after of European vacation destinations. Geographically, smack in the middle of the continent, it is reachable by car for virtually all sun seeking European travelers. Additionally, if you throw in the history, culture, food, and prices, it is still a bargain.  My hunch is that price pressure will continue. A recent poll of the British indicated that a full 50% of them would like to own a vacation or retirement home in France. For many in the UK, French prices still seem a huge bargain compared to their home soil.




6.  Demographics influence pricing


Let's face it- demand for affordable elegant vacation homes is not going to decrease but rather increase with our current demographics of 213 million boomers competing for a uniquely similar retirement lifestyle in the next 15 years.



7.     A Fraction of the Price


OK- You've dreamed of having your own place in France ever since that first travel vacation when you and your family rented a house in a small hill town near Avignon. You remember the lazy days exploring pottery in those small Provencal villages, the delight of discovering that meals lasted 2 and hours, the charm of markets where fresh oysters abound for Sunday shoppers.

Whether you are investing in Paris, the Languedoc, or elsewhere, Fractional ownership is the ultimate alternative to sole ownership or seasonal rental. Why pay for more than you can use?





Five shares remain at Maison Bleue at affordable  prices


 Only $58900 for  1/10th share



Ginny Blackwell

French Property Shares

Tel: (001)  585 905-0849 (Click on Maison Bleue for video)







Ginny & Ron toastingGinny & Ron toasting

If you know and love the Languedoc region, its 300 days of sunshine, fine wine and food, and of course, its history, then Quarante ( where our new house is located ) and the region near the Canal du Midi,  is a wonderful place to land. You are only 30 minutes to Narbonne plage and 45 minutes to Carcassonne, with easy connecting flights to London.

Contact Ginny Blackwell at:

French Property Shares
36 Howell St
Canandaigua, New York 14424
(001) 585 905-0849