Overseas buyers thirsty for french vineyards

Bordeaux, France Photo: Paul Tridon

Overseas buyers are thirsty for French vineyards, as agents see sales jump by more than a third. French real estate has always been popular among both investors and holiday home hunters, with vineyards a particular favourite for some. Now, one agent has launched a dedicated Vineyard service to meet growing demand.

Home Hunts saw sales jump 35 per cent in 2014 year-on-year, a trend that the agency's consultant, Rory Ramsden, expects to continue, thanks to the favourable exchange rates with the euro. Indeed, the pound reached a seven-year high against the single currency this month, which has sparked demand for ski property in France and coastal property in Spain, as homes become significantly more affordable than before.

An 80ha vineyard estate overlooking the Luberon National Park in Provence, for example, on the market with Home Hunts for 9 million euros today costs £6,700,000, explains Ramsden, but would have cost £7,900,000 in the summer of 2013 when the pound was worth just €1.14 – a saving of £1,200,000.

Nonetheless, finding a dream vineyard property without specialist guidance can be difficult, explains Ramsden.

"It is commonplace for agents to only have approximately 10% of the vineyard properties that are for sale on their books. Vineyard owners are particularly discreet as they don't want their competitors or staff to know their property is on the open market - as a result buyers have to dig deeper."

Around 70 per cent of enquiries and sales Home Hunts receives are for properties in the €0-1 million bracket, with around 22 per cent looking for properties between €1-5 million and 5 per cent searching in the €5-15 million range.

Ramsden highlights the Péchamant Appelation, a well-known wine in the Dordogne department, as an investment oportunities. This AOP (Appellation d'Origine Protégée) can be found in the hills to the north of Bergerac. 

"It is only 461 hectares, but the wines compare to those from Lalande de Pomerol in price yet the land is only €30,000 per hectare compared to €220,000 per hectare in St Emilion," he adds.