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IN an interview with Capital.fr, the French equivalent of The Economist, Alexandre Mirlicourtois from the research group Xerfi insists that the french housing market is not likely to crash.

According to Mr. Mirlicourtois, a senior economist at Xerfi, the property market in France will finish the year down two to three percent.

He predicts that it prices will drop a further 5% in 2009.

Certain commentators have said that the market will drop a further 30 to 40% over the next five to seven years.

Asked is he agreed with this Mr Mirlicourtois said that "to me this view seems a little too pessimistic. I envisage a drop of 15% over the next few years with a return to an increase in house prices in 2011".

Mr. Mirlicourtoisis is optimistic. "I don't believe there will be a french housing market crash. We are seeing a considerable drop in house prices at the moment. The volume of house sales is down significantly so the current drop in prices is what the market needs to give it a boost."

He goes on to say that "vendors needing to sell now are helping to stimulate the market by dropping their asking prices. Others who are prepared to wait are less inclined to drop the price of their property".

He believes that a drop of 15% will be sufficient to restimulate the market because other market fundamentals remain strong.

So, what are these fundamentals that he refers to? He goes on to explain why the French property market remains stronger than some of its European neighbours.

"The real estate market in France is much healthier than in Spain or the UK . For ten years, we were lagging behind those countries that have experienced strong growth, particularly in construction. But now we realize that there were many excesses associated with such huge growth: there are now a million unsold new homes in Spain, ten times more than in France. In addition, we have a population unparalleled in Europe which will support demand for new housing for many years. Finally, the situation of French banks still acceptable".

EARLIER today, French president Nicolas Sarkozy congratulated Barak Obama on his "brilliant victory" in the US presidential elections.

In a letter made public by the French presidency, Mr Sarkozy wrote "I give you my warmest
congratulations and, through me, those of all French people," 

"Your brilliant victory rewards a tireless commitment to serve the American people."

NEXT week in Sarlat in the Dordogne the Rex cinema will screen a documentary directed by Jean-Paul Jaud.

The film, entitled "Our children will blame us" features the village of Barjac, a small commune in the Gard department, where the Mayor of the village has successfully introduced organic food into the school canteen.

The film will run from today until Monday next.

Jean-Paul Jaud pulls no punches in painting a portrait of the
environmental tragedy that threatens children in France today.

For the
director, the point of the film is not simply to bring any environmental devastation to light, but to immediately
find ways to deal with the problem so that our children don't hold their parents accountable for their ill health and damage to the environment they live in after we're long gone.

"We are the only cinema in the Dordogne to show this enlightening documentary, says Arnaud Vialle, director of the Rex cinema and Premier French Property partner in Sarlat. I encourage representatives
of all communities and communes throughout the Black Perigord to
see this documentary. Be inspired by the actions of the Mayor of Barjac. "

AT A PRESS conference fittingly held at an Irish pub in Perigeux in the Dordogne yesterday, the chairman of ICC announced that Belfast will join the list of destinations from Bergerac airport.

Starting next Tuesday Flybe will fly twice a week to Belfast from Bergerac via Exeter and Southhampton.

Arguably the Belfast route is not a new one in that it's effectively a connection from the two UK airports but the route came about due to a large increase in demand from people in Northern Ireland.

Most are said to own second homes or are looking for property in Dordogne. The point is that for the first time ever the Dordogne is accessible to people in Northern Ireland.

Depending on connections in the UK a one way trip is likely to take four or five hours. The cost is expected to be around 200 euros.

This Belfast link brings to 14 the number of routes from Bergerac airport with demand increasing all the time from countries such as Spain, Italy, Germany and Poland.

More than 300,000 passengers are expected to pass through Bergerac airport this year. 

Bergerac is a departmental airport. This means that is belongs to the Dordogne and the department foots 49% of the cost of running the airport.

Last year the department took over 14 million euros in revenues from duties and airport taxes.

THE property market in France is picking up again according to some analyst reports released earlier this week.

That should mean that we have seen an end to further drops in prices for property in Dordogne.

It has been generally accepted for a number of years now that the bargains have long gone. And that was true until this bargain came along.

The correction in property prices in the Dordogne since January has allowed buyers to acquire their dream home at much lower prices than they have been in the past ten years.

But this property is exceptional. Although we are obliged to market it at the asking price, the owners have made it known that they will take very low offers to keep it out of the hands of the bank.

Because it is less than five years old, notaire fees are 3.5% as opposed to 7%.

The situation of the property is absolutely breathtaking with fabulous views and it is possible to buy an additional 7,000 m2 (almost two acres), if required.

If you're one of the many people who have had their Dordogne property budget dramatically reduced  because of the credit crunch then this could well be your chance to realise your dream.

Contact us for more details.