SALES REACH NEW HIGH
Interest in the French property market is continuing to rise, with sales reaching a 10-year high according to the latest report from Notaires de France. A total of 867,000 properties were sold in the last 12 months, up 7.7% year-on-year and topping the peak figure of 837,000 that was recorded in May 2006.
However the report notes that the increase should be put into perspective with the rise in the number of properties in France. Although total sales rose by 19% between 2000 and 2016, sales of older properties over the same period only rose by 7%.
The report suggests that the property market is benefitting from various factors. Low mortgage rates, continuing tax breaks and easier terms for obtaining interest-free loans are sustaining a stable and attractive market.
Property prices are also continuing their upward trend with a year-on-year increase of 1.7% in the fourth quarter of 2016 on resale properties (older homes rather than new-builds). The report also revealed that apartments rose in price by 1.9% and houses by 1.5%.
Only three major French cities saw a decrease in apartment prices over the year – St-Étienne, Toulouse and Marseille. Bordeaux has seen a 11.2% rise in prices over 2016, thanks in part to its impending launch of a new high-speed rail link with the French capital. Sharp rises were also recorded in Strasbourg (6.8%) ( pictured above) and in Lyon (6.2%). notaires.fr