Living in Paris is a dream for many people, but a dream financially unattainable. It may also be that the vagaries of foreign property ownership and the added wrinkle of currency fluctuations are simply not for you. I mean, while a property may appreciate, if the currency tumbles, appreciation can quickly turn to loss. For example, in late 2008 the Euro was pushing $1.60. Today it’s nearer $1.05 … essentially erasing a third of its value in nine years. As recently as the autumn of 2014, the Euro was hovering around $1.40, making for a precipitous loss is a short time … simply from currency. I can tell you that any Parisian market gains in no way offset the currency declines.
You want a second home, not a tax write-off.
While I was in Paris last month, I had a perfect confluence of the stars. CandysDirt.com friend and HGTV hostess Adrian Leeds was on hand to give a sampling of rental units. Also scoping out the market was Dave Perry-Miller agent Sharon Quist who was in town with a friend selling her Paris home.