PARISIAN REAL ESTATE
Evolution and
perspective of the market
According to the figures of notaries council,
there is a high activity and prices are still rising in PARIS and Ile de France
This increase in sales is also due to
historically low interest rate
 |
| RUE ELZEVIR APARTMENT SOLD BY SAINTE CATHERINE AGENCY |
The low rates * loan motivate also the
aspirants to property, we notice a real craze for real estate investing of the
French with two years: 2016 and 2017 showing very positive results
* 15 years loan : 1.15 / 20 years loan : 1.35 / 25 years
loan : 1.55 / 30 years loan : 1.95
According to a recent survey, the Y Generation
is willing to own property: among young tenants: 69% want to become landlord in
the next 5 years
 |
| SAINTE CATHERINE AGENCY PLACE SAINTE CATHERINE 75004 |
The price of old housing has risen to an
average of 3.8% (Average price in Ile de France 5460 € per m²) in
Ile-de-France, the number of sales of old housing in Q2 2017 has increased by
20 % compared to the same period in 2016
Paris is experiencing faster price increases
In the capital, the price per square meter was
8 430 € in February 2017 with an average increase of 5.2% over one year, in the
second quarter, of 8 670 € which will approach 8 900 € at the end of the year
For 25 years, the prices of Paris have not
stopped becoming homogenized (only 3 districts cost less than 8 000 € per square
meter: 18, 19 and 20 districts against 6 a year ago)
The former affordable
neighborhoods of the capital get valued more and more rapidly
As for the Marais district, the prices are in
constant progression, exceeding the average price of 11 000€ / square meter:
Paris 3rd: 11 030€ + 5.3% with an
evolution of 14% over one year in the sector Enfants Rouges)
PARIS 4t: € 11,520€ + 2.9% with an
increase of 10% over one year in specific sub districts: Arsenal and Ile St
Louis
 |
| THE MAJESTIC PLACE DES VOSGES |
No deceleration is expected because the effect
of tight stocks prevails on this very desirable district of the City of Light
In luxury real estate, Paris remains very attractive compared
to other cities in the world: with an average price per square meter between
12,000 and 18,000 euros, Paris ranks 8th, behind San Francisco, Singapore,
Shanghai and New York. Hong Kong reaches the top (not far from 40,000 euros per
m² on average), followed by Tokyo (about 30,000 euros per square meter) and
London (about 15,000 euros per m2), as the site Les Echos reminds us.
This study underlines that the prices recorded in the
1st, 4th and 5th arrondissements have already exceeded their 2012 peak.
 |
| THE REPUBLICAN GUARD HOUSE BD HENRI IV |
Buyers' confidence is also boosted by a new political
regime (President Emmanuel Macron was elected in May 2017) and increased
consumer confidence.
But also with the return of international
buyers: 1 in 10 in the luxury segment with nationalities mainly American,
Swiss, Belgian and European
 |
| MAGICAL VIEW OVERLOOKING THE BASTILLE COLUMN 75004 |
How to explain this improvement? the
exceptionally low interest rates and the tense real estate market, but also the
financial markets on the rise, with growth underpinned by the improvement in
the global economy stronger than expected, with an acceleration of the US
economy and growth of the euro zone to more than 2%
Perspective: stabilization of the market no
bubble burst expected since the evolution has been smooth
The chamber of notaries indicates in particular
that the current situation is not a "bubble" transient, but a
catch-up effect after several years of wait-and-see attitude among buyers.
This exceptional activity could be confirmed,
with the future Olympics Games in 2024 …
For any project of selling or buying contact me : + (33) 6 60 69 77 67
