Higher house prices accelerate across France
With 867,000 annual sales recorded at the end of February, the property market in France is now at it’s busiest ever level, even more so than the previous high of 837,000 in May 2006.
A lot of this is to do with the domestic market, where motivated buyers, backed by zero-rate loans for some and the favourable Pinel tax system, combine with a backdrop of favourable interest rates, has enabled the market to gain much fluidity.
Prices are now responding to this positivity. It’s worth noting that the notaries remain cautious by recalling that “unlike the volume of transactions, prices in the 4th quarter of 2016 have not totally recovered those of the years 2011-2012 nor those of the years 2006-2007.” (+ 1.5% for resale houses and 1.9% for resale apartments) and some cities continue to decline: Saint-Étienne (-5%), Toulouse (-1.5%) and Marseilles (-1.3%) for old apartments and Nancy (-6.9%), Valenciennes (-4.3%) and Béthune (-3.6%) for the houses.