Flat is the best way to describe the property market in France at the moment, which means it’s a buyer’s market with low house prices. For British buyers though, during the first half of 2014 conditions have swung even more in your favour, thanks to the stronger pound.

Article written by Smart Currency Exchange

Since the start of the year, the value of the pound has risen against both the euro and dollar, with the odd bump along the way. For anyone who is buying a French property and has their funds in pounds still, this is welcome news.

Rewind a year, and a €200,000 property in France would have cost approximately £7,000 more to a UK buyer than it would today. Why? Back in May 2013, the exchange rate fluctuated between £1/€1.16 and £1/€1.18, while today the rate is hovering around £1/€1.22.

But that’s not all – there is a way to increase your buying power in the French property market even more, which is to use Smart Currency Exchange to exchange your pounds into euros and send them to France, rather than simply asking your UK bank to make the euro transfer. FCA-authorised Smart Currency Exchange typically offers exchange rates that can be up to 4 per cent better than those your bank would give you, knocking even more off the price of your French home.

Here’s a real example. This beautifully restored watermill in France’s Dordogne is on the market for €698,000. Its value in pounds in May last year was in the region of £590,000 (assuming the asking price hasn’t changed). However, today’s value to a UK buyer is around £565,000, depending on the exact exchange rate you were offered. And, using Smart Currency Exchange, rather than your bank, to buy the required amount of euros to purchase this property could feasibly save you around £16,000.

The stronger pound has also been welcomed by expats in France whose income is Sterling based, requiring them to transfer it to euros each month. Said Alexis Goldberg, a resident of the Languedoc and author of the France Buying Guide: “For expats who rely on UK pensions or other sources of Sterling income, a movement in the exchange rate really can affect how much cash is left over at the end of each month. This year has been great, as we’re getting more euros in our French bank account each month for the same amount of Sterling – it means we can enjoy a few extra meals out without feeling guilty!”

If you are on the verge of buying property in France or moving there, a simple way to save money is to use a currency exchange specialist when transferring your pounds into euros. For more information on this, download Smart Currency Exchange’s free report or visit the Currency Zone.

For more information on buying property successfully in France download the Overseas Guides Company’s free France Buying Guide – and start receiving free news updates by email. Or to see property for sale all over France visit Rightmove’s France listings.