It’s a Downhill Price Slide in Paris and Most French Cities

After months of endless decline, Parisian property prices averaged €9,944 per square meter as of September 1st, below the symbolic bar of €10,000 per square meter.

In Paris, real estate prices fell by 4.5% in one year. In the East (Paris), nothing is going well anymore…Bordeaux and Lyon, are the flops of the year 2023.

The milestone is symbolic. But it says a lot about the state of the French real estate market. For months now, Parisian real estate prices have been flirting with the threshold of €10,000 per square meter. Remember, at the start of the summer, Paris was still clinging to a thin safety net by posting, on July 1, €10,072 per square meter.

The vacations have had their way with France’s most expensive market: as of September 1, property in the capital was trading at an average of €9,944 per square meter*, according to the indexes unveiled by Meilleurs Agents. This latest fall in prices (-0.2% in one month) continues a long trend. In one year, Parisian prices have fallen by 4.5%. Thomas Lefebvre, Scientific Director of Meilleurs Agents, even describes it as “the sharpest fall of the century.”

By way of comparison, French property prices have fallen by an average of just 0.4% over the last twelve months. In France’s ten largest cities, excluding Paris, prices fell by 1.1%. Of course, this is an average. If you take a closer look, you’ll see that some Parisian neighborhoods are still managing to hold their own. The center of the capital still boasts prices in excess of €10,000 per square meter, while the West is hovering around this threshold.

In the East, on the other hand, the situation has deteriorated. In three years, prices have fallen by almost 15%. This is the case, for example, in La Chapelle and Goutte d’Or (18th arrondissement) and Pont de Flandres (19th arrondissement), where prices have fallen by 14.6% since July 2020. Charonne (20th) and Hôpital Saint-Louis (10th) are also seeing their prices fall: -14.2% and -13.4%. “It’s interesting to note that these are also the neighborhoods where prices had risen the most in recent years,” adds Thomas Lefebvre.

Between February 2015 and September 2020, Meilleurs Agents recorded price rises of around 40% in these neighborhoods. And even 45.9% in Charonne! Despite its long slide, it’s not Paris that has seen the biggest drop in prices over the past year. Instead, Bordeaux and Lyon have snatched the record. Over the same period, these two cities posted price falls of 8.6% and 8.1% respectively. The former powerhouses of the French real estate market have run out of steam since the start of the year. Nantes (-5.2% year-on-year), Rennes (-3.9%), Montpellier (-3.1%) and, to a lesser extent, Strasbourg (-0.3%) have also stalled.

On the other side of the spectrum, Lille and Toulouse are clinging on (+0.7% each), while Marseille is beginning a landing phase (+2.2%). Completely against the tide, Nice is soaring. Literally. After rising by 6.5% between September 2021 and September 2022, property prices in Nice have jumped by a further 7.9% over the last twelve months. The reason? The market in the capital of the French Riviera is mainly driven by second-time buyers, who are less dependent on credit. And in the current climate, that helps.

If you really want to have fun, click here and you can select a specific building to know the current price per square meter!

(Source)

The bottom line…NOW’S THE TIME TO BUY!

A bientôt,