Since the beginning of the year, the creation of new collective housing has continued to decline and their selling prices are still on the rise in the regional cities, according to this quarterly report.
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‘No prospect of improvement’. The results for the first quarter of 2023 from the New Real Estate Observatory are pessimistic. The statistical tool of the Federation of Real Estate Developers (FPI) publishes Thursday, May 25 its latest figures. For professionals in the sector, the new housing market is sinking into a dead end. The reason: a supply and demand crisis.
In the first quarter of 2023, the sale of new collective housing fell by almost a quarter compared to the end of 2022, while the needs of the French are glaring. The FPI estimates the need for housing at 450,000 new constructions per year. Selling prices continue to rise in regional cities.
Awaiting government response
The Federation of Real Estate Developers explains this crisis by an increase in construction costs, “a lesser offer”but above all by regulations that are too strict and “technocratic decisions that block the act of purchase”. Signatory of an open letter to Emmanuel Macron at the beginning of the month, the organization is getting impatient.
The organization calls for emergency measures of immediate application, to avoid a lasting crisis, which risks mutating into an economic, social and societal crisis. Proposals from the Housing CNR, organized as part of the National Refoundation Council from November 28, 2022, are expected on June 5.
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