on the market, sales are falling… and so are prices

The number of real estate transactions at the national level fell by 14% compared to last year, at the same time, according to the Laforêt network. It is even 16% in Île-de-France. This means that a new cycle begins, after the Covid-19 in particular, where properties with gardens or exteriors were snapped up. Sometimes buyers and sellers even agreed in just 24 hours. Now everyone takes their time.

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Buyers have less borrowing capacity, because of interest rates which have risen significantly. Households therefore often postpone their purchase plans. IDemand slows: minus 18% for houses on 1^er half of 2022, and minus 10% for apartments.

Supply increases, prices decrease

On the supply side, there are many more products on the market than last year, in particular because the insulation rules for rentals have tightened. Unable to do the work and bring their properties up to standard, the owners sell them.

Regarding the evolution of real estate prices, the trend is downward. PFor example, in Paris, the price per m2 on average goes to 9,989 euros, a loss of 4.5% in one year. In Île-de-France, it is -5%. For the rest, theAgents note stagnation, even a very slight rise in prices, +0.8%. Ithe average being 2,500 euros per m2, but it all depends on the location. Corsica, Brittany, the Basque Country are the most attractive areas.

What to expect for the rest of the year?

The fall in prices will continue, while the rates continue to rise, at 4% on average, and they could climb up to 5% at the end of the year. Credit access conditions remain very tight, especially for first-time buyers.

According to Laforêt immobilier, mutual banks – such as Crédit Agricole, Crédit Mutuel, etc. – follow buyers much more than the big banks, such as BNP or Société Générale. So much so that the network intends to alert Bercy and the banking authorities.