French Property for Renovation

Explains why renovating a property can be very lucrative and warns investors of the many pitfalls involved with expensive DIY projects.

Part of the charm of European real estate is its old world style. However, some may find the older amenities of a French establishment to be less than desirable. Even more so, an investor knows that buying cheap property and renovating for a larger return is a classic way to earn some serious profit. Luckily, there is a lot of French property for sale that is waiting for a good renovation.

Buying French property for renovation should begin with a trip to France. Those who live out of country should realize that several trips might be required for purchase of the property and overseeing the renovation process. Although a lot of business can be conducted long distance thanks to modern technology, being there in person is the best way to ensure that nothing goes wrong. Another thing for foreigners to keep in mind is that the further out in the country they are, the less likely they are of finding someone who speaks English.

The cheapest property that one can buy for renovation in France will be away from the coast and away from tourist attractions. Major cities like Paris, although brimming with older constructions, will be selling expensive real estate. The purpose of buying French property for renovation is so an investor can make a large return on his/her money. Although the bigger cities properties will appreciate faster, the overhead will be too much in the long run.

Many local real estate agents will work with someone who is looking for something specific, like property for renovation. Telling a reputable agent what one is looking for will make the decision-making process much easier. The agent should know where the best places for the investors needs are located. The agent should also be able to determine whether the property is priced to meet its fair market value.

Older apartments and homes in France may have major problems involving the foundation, roof or suffer from extensive plumbing issues. The investor that is looking to renovate should try to estimate how much repairs will be and weigh that against the cost of the property. One should ask him/herself, Will it be worth it? After all, a home that is in dire need of renovation may just become a money pit for a well-intentioned buyer.

When renovating for increasing a properties value or desirability for tenants, it is probably more cost-efficient to stick with necessary improvements. For example, decking out a small apartment with crown molding isn’t as practical as just a fresh coat of paint and a new carpet. However, it is up to the investors discretion when deciding what needs improvement and what looks fine the way it is. On average, a modest property bought for renovation in France is usually a safe investment. Given the popularity of the country and the outrageous prices found in many areas, it is hard to find any place that can’t be rented out to someone for a fair price.

Written by Amy Cottrell for

Sunday 23rd July 2006

Copyright © 2006, - All Rights Reserved.