Paris could offer buyers from the UK the chance to make a good return on a property investment, it has been suggested.

The French capital has long been a favourite with tourists but according to mortgage specialists French Home Finance and buyers agent Flat Hunter, house prices there are continuing to climb but are still more affordable that properties in other major cities, such as London, New York and Tokyo.

Galenya Dubois, of Flat Hunter, said: "For UK buyers, the sustained housing shortage in Paris represents the opportunity for top returns on real estate investment."

Both firms also pointed out that the French mortgage system is stable, even in the face of the recent global credit crunch, making now a good time for investors to consider exploring their options.

Earlier this month, Liam Bailey, head of residential research at estate agency Knight Frank, said that the new high-speed Eurostar link between London and Paris would have an impact on the number of people looking to buy overseas.

"Paris will become much ''closer'' in most people''s reckoning and becomes a potential commuter location for London," he explained.