Saturday, 23 October 2010

Great business opportunities

With the summer season now past, there are a number of gîte complexes out there for sale, some are good and some are quite frankly bad.
I have chosen to highlight a couple, coming in just below 500,000 Euros, which is around £445,000 at today's exchange rates.
Both are located in South Deux Sèvres, well-known as the 2nd sunniest region of France. There are good road, rail and air connections to this area, and attractions such as La Rochelle, Cognac & Futuroscope are within an easy drive.
The 1st complex is made up of a 4 bed Maison de Maître with 4 cottages to let, (proven track record), and has 2 swimming pools. Priced only 495,000 Euros.
The 2nd complex is a large French farmhouse with 4 beds, plus 2 gites, 2 chambre d'hotes rooms, a large bar, plus a mill to restore in a riverside setting. Price 495,850 Euros.
Do get in touch for full details of these special properties.
Peter Elias (Agent Commercial)

Sunday, 10 October 2010

Currency volatility back in the news

Once again the GBP/Euro pairing was volatile this week with highs reaching 1.1807, lows of 1.1509 and an average exchange rate of 1.1686. This equates to a difference of 2.59% between high and low leading to a difference of 6,475€ on an exchange worth 250,000€. Last week saw the publication of UK GDP data which temporarily caused a positive shift in the value of Sterling. This was short lived and the value of the Pound against the Euro dropped off towards the end of the week. Sterling has been relatively strong against the other major currencies this week leading analysts to speculate that it is primarily Euro strength which is causing the movement. The value of the Euro has managed to rise even in the wake of the increased bailout of Anglo Irish Bank and the downgrading of Spain’s credit rating. Looking to the week ahead the Euro could strengthen further on the back of the announcement of Germany’s Purchasing Manager Index (Manufacturing) which is expected to be bullish. The PMIM measures the level of goods manufactured in the Eurozone’s strongest economy and therefore indicates consumer purchases and German trade levels. On Thursday the BoE announces its interest rate decision. A hawkish outlook from the Bank and a rate rise would be positive for the value of Sterling. However it is important to note that the BoE have not indicated a rate rise and dovish comments could see GBP lose more ground to the Euro. Both of these announcements could mean it is the ideal time for Euro buyers to capitalise. The points raised emphasise the volatility of the market and the necessity to remain in close contact with specialist currency exchange dealer, perhaps about the benefits of forward contracts as a way of safeguarding a rate of exchange. Small changes in exchange rates can lead to large differences in transactions so utilising the expert knowledge and professionalism of a dedicated trader can help you save thousands of pounds. Peter Elias