Why summer 2023 could be a good time to buy property in France
It's not good news for everyone, but certain types of buyers are likely to find this summer a particularly good time to purchase that dream house in France.
A report from Banque de France predicts that the property market in France in summer 2023 will be as flat as it was in 2020 - the pandemic year when for obvious reasons few people were moving house - due to a combination of stagnating property prices and rising interest rates.
This sounds like bad news - and clearly it is if you're looking to sell your property.
READ ALSO: What you need to think about before buying that dream house in France
Likewise, the rising interest rates mean it will be more difficult to get a French mortgage, which is further depressing the market. Rates are rising from around one percent last year and are predicted to hit four percent in the summer - which can make a big difference to your monthly mortgage repayments.
If, however, you are looking to buy and you're either a cash buyer or you already have financing in place, then the stagnating market means that there are bargains to be had.
The biggest price falls are being seen in the big cities, and even Paris, which has for years seen ever-climbing prices, has registered a fall of 1.5 percent.
But it's not just Paris, prices have fallen by 3.3 percent in Lyon, 2 percent in Toulouse, 1.8 percent in Marseille and 1.3 percent in Bordeaux. Only Nice, Lille and Strasbourg resisted this trend, with all three showing a very slight increase in prices.
READ MORE: Reader question: Can I find a US-style real estate agent in France?
Outside the cities, prices have tended to plateau rather than fall, however you may still be able to find a bargain, especially if the property has been on the market for some time when the seller may accept a reduced offer.
Since April 1st, sellers of properties with the lowest energy ratings - F and G - are obliged to conduct a full energy audit when selling their property - which is another thing you can use to negotiate the price down if you are buying an older property with a low energy efficiency rating.
You can find a full guide to the process of buying in France, the legal and tax implications for foreigners wanting to buy in France, and some handy vocab in our property section HERE. Subscribers to The Local can also sign up to receive regular newsletters on property-related matters HERE.
Listen to our Talking France podcast for more tips on buying a property in France
READ MORE: Everything you need to know about having a second home in France
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A report from Banque de France predicts that the property market in France in summer 2023 will be as flat as it was in 2020 - the pandemic year when for obvious reasons few people were moving house - due to a combination of stagnating property prices and rising interest rates.
This sounds like bad news - and clearly it is if you're looking to sell your property.
READ ALSO: What you need to think about before buying that dream house in France
Likewise, the rising interest rates mean it will be more difficult to get a French mortgage, which is further depressing the market. Rates are rising from around one percent last year and are predicted to hit four percent in the summer - which can make a big difference to your monthly mortgage repayments.
If, however, you are looking to buy and you're either a cash buyer or you already have financing in place, then the stagnating market means that there are bargains to be had.
The biggest price falls are being seen in the big cities, and even Paris, which has for years seen ever-climbing prices, has registered a fall of 1.5 percent.
But it's not just Paris, prices have fallen by 3.3 percent in Lyon, 2 percent in Toulouse, 1.8 percent in Marseille and 1.3 percent in Bordeaux. Only Nice, Lille and Strasbourg resisted this trend, with all three showing a very slight increase in prices.
READ MORE: Reader question: Can I find a US-style real estate agent in France?
Outside the cities, prices have tended to plateau rather than fall, however you may still be able to find a bargain, especially if the property has been on the market for some time when the seller may accept a reduced offer.
Since April 1st, sellers of properties with the lowest energy ratings - F and G - are obliged to conduct a full energy audit when selling their property - which is another thing you can use to negotiate the price down if you are buying an older property with a low energy efficiency rating.
You can find a full guide to the process of buying in France, the legal and tax implications for foreigners wanting to buy in France, and some handy vocab in our property section HERE. Subscribers to The Local can also sign up to receive regular newsletters on property-related matters HERE.
Listen to our Talking France podcast for more tips on buying a property in France
READ MORE: Everything you need to know about having a second home in France
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