Signs of the Times
French Property News|April 2017

With this year promising to be as dramatic as the last, Simon Smallwood looks at how upcoming political and economic changes might affect your mortgage across the Channel

Simon Smallwood
Signs of the Times

This year has the potential to be just as unpredictable as last year: the winner of the French presidential elections will be anyone’s guess, while in the UK, Article 50 is on the brink of being triggered although we remain in the dark as to what our ongoing relationship with the EU will be.

With all of this going on it would have been simple to have missed some significant changes relating to how French mortgages are regulated in the UK and across the Eurozone.

Here, we will look at the changes that have taken place, and the impact this had on how borrowers sourced their mortgages when similar changes came into effect in the UK in April 2014.

Improved regulations

On 21 March last year the European Mortgage Credit Directive (EMCD) came into force aiming to create consistent standard guidelines regarding lending in Europe. The aim of EMCD implementation is to standardise the process of obtaining a first-charge mortgage secured against properties in the European Economic Area. Prior to the directive, French mortgages were not regulated by the Financial Conduct Authority (FCA) in the UK, in much the same way as how buy-to-let mortgages were historically viewed.

However, arranging French mortgages is now considered to be a regulated activity by the FCA and, as such, brokers and lenders carrying out this activity need to be FCA authorised if they are based in the UK. This is a good thing for consumers and ensures that borrowers are treated fairly and provided with the most relevant and transparent information when it comes to choosing the most suitable French mortgage for them.

Esta historia es de la edición April 2017 de French Property News.

Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.

Esta historia es de la edición April 2017 de French Property News.

Comience su prueba gratuita de Magzter GOLD de 7 días para acceder a miles de historias premium seleccionadas y a más de 9,000 revistas y periódicos.

MÁS HISTORIAS DE FRENCH PROPERTY NEWSVer todo
Bond With France
French Property News

Bond With France

With a licence to thrill James Bond fans, Chloe Govan goes househunting in the film locations immortalised by the spy who loved France

time-read
8 minutos  |
November 2020
Sarlat stardust
French Property News

Sarlat stardust

Just 20 minutes from Sarlat-la-Caneda, this tastefully restored home reflects the glory of the Périgord Noir capital, says Ruth Wood

time-read
1 min  |
November 2020
The money column
French Property News

The money column

The ‘B’ word is back! Laura Parsons explains how to protect your money as we near the end of Brexit transition

time-read
5 minutos  |
November 2020
Nature's harmony
French Property News

Nature's harmony

A renovated farmhouse in Lot-et-Garonne could be perfect for those hearing the call of the wild, discovers Brigitte Nicolas

time-read
2 minutos  |
November 2020
Main event
French Property News

Main event

Buying a holiday home near a popular annual event could guarantee you a beautiful setting and some extra cash, finds Hannah Evans

time-read
7 minutos  |
November 2020
Hauss style
French Property News

Hauss style

Joanna Leggett learns all about Georges-Eugène Haussmann – the man who designed the Paris that we know and love

time-read
7 minutos  |
November 2020
Architect's diary
French Property News

Architect's diary

It’s all in a week’s work for France-based Neil Vesma

time-read
4 minutos  |
November 2020
Write on the edge
French Property News

Write on the edge

When it comes to life in west Brittany, author Wendy Mewes has been there, done that, written the guidebook

time-read
5 minutos  |
November 2020
A year like no other
French Property News

A year like no other

So much for spring cleaning — property manager Mary Hall explains how 2020 has thrown a spanner in the works for second home owners

time-read
5 minutos  |
November 2020
A law unto themselves
French Property News

A law unto themselves

Why is French law so different to the law in England and Wales? It all goes back to William, Henry and Napoleon, explains Alan Field

time-read
4 minutos  |
November 2020