Property prices in Paris break through the €10,000 per square metre barrier

Never before has the average price of property in Paris been so high.

The body of Notaires in Paris confirmed on Thursday that the average square metre price of property in the capital had broken through the €10,000 barrier.

Over the previous 10 years, the price of buying in Paris has risen by 62.5 per cent.

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The €10,000 average masks a huge variation in prices, with properties in the greater Ile-de-France region coming in at just over half the cost of central Paris properties.

According to the estate agents MeilleursAgents, 13 of the capital's 20 arrondissements now have average prices over €10,000 per square metre.

Official figures covering the year of 2018 show that the cheapest area to buy in Paris is La Chapelle in the 18th arrondissement at €7,460 per square metre, while the most expensive is Odéon in the 6th arrondissement at an incredible €17,410 per metre.

Perhaps unsurprisingly at those prices, there has been a fall in the number of people buying properties - 2.6 percent fewer contracts were signed in the first quarter of 2019 than the same period in 2018. 

Average prices in Paris remain well below those in London and New York however where the price per square metre is €14,500 and €13,5000 respectively, according to figures quoted in Le Parisien newspaper.

 

But prices are set to rise further mainly due to the fact that demand outweighs supply and low interest rates makes mortgages more affordable.

The average time for selling a property in Paris is 42 days but it's only a week for the most in-demand apartments.

The shortage of new housing in Paris has been blamed for the rise, although some say that Brexit is also a factor as wealthy individuals seek an alternative base to London.

Prices are also on the rise in suburbs surrounding Paris including the wealthier areas of Levallois and Boulogne-Billancourt as well as in towns such as Bagnolet in the east and Saint-Ouen in the north.

In February a Paris record was broken with the purchase of an apartment in the 7th arrondissement for €39 million.

The buyer of the 16-room, 1,000 square-metre flat was described as a wealthy individual who wanted to leave the UK because of the uncertainty caused by Brexit.