Buying a property in France is similar to those in most of the other countries. Yet many investors are attracted by the fact that property prices in France appear to be much lower than that in the UK. The price of a property is decided with its nearness to Paris. A four bedroom property in the Loire will cost you anywhere near about £ 200,000 whereas a two bedroom apartment in Cannes will cost you the same. The cost depends on your preference for a particular area.

However, prices of the property in France is quiet stable, as compared to English property. You also need to take into consideration the taxes and costs associated before investing in a property in France. The purchasing of a property in France is a regulated process. Once a price has been agreed with the vendor both parties have to sign a preliminary contract and make a deposit of 10 per cent of the purchase price (except in the case of new constructions where this deposit will only be 5 per cent). If your annual income exceeds £720,000 you need to pay wealth tax. You also have to pay residential tax to the properties with the rental value exceeding £4,600. And if you're planning to rent your property in France, you have to pay tax on rental income (revenu foncier). Renting to your friend for few weeks' holiday or 52 weeks commercial rent can’t save you from paying the income tax on the rental income even if you are living abroad.