What Counts in Paris Property

SIZE COUNTS

Published by the Chambre de Notaires de Paris on July 25, 2017:

According to a study by the Notaries of Paris/Ile-de-France, the median surface of an apartment in Ile-de-France is 56 m² (in 2016) compared to 102 m² for a house. In 20 years, the surface area of apartments offered for sale in the region has not changed, while that of houses has increased by 6%, from 96 m² in 1996 to 102 m² in 2016.

In 2016, the median surface of an apartment was 46 m² in Paris compared to 61 m² in the Grande Couronne and up to 64 m² in the department of Yvelines. In the Petite Couronne surface measurements are close to the Grande Couronne; in particular in the Hauts-de-Seine (59 m²). Outside of Paris, the median area the smallest is in Seine-Saint-Denis (54 m²).

In 2016, the median surface of a house was 100 m² in the Petite Couronne compared to 103 m² in the Grande Couronne, so the gap is minimal. It is not the distance from Paris that determines the surface but rather the location of the house.

The biggest houses are located in the west of Paris. In addition to the anecdotal case of Paris and its 130 m² of median surface for a house, it is in the Hauts-de-Seine, the most expensive department outside Paris, that the surface of the houses is the largest (115 m2) and has risen sharply since 1996. The department of Yvelines (112 m2) is also on the rise, for a market that is by far the most expensive of the Grande Couronne. The Seine-Saint-Denis is particular with a median surface of the houses below the other departments (92 m²), despite an increase in 20 years.

The median areas of houses according to the number of rooms are fairly homogeneous from one sector to another, except for large houses with seven rooms: 147 m² in suburbs compared to 165 m² in Paris.

The Paris market shows again its specificity for the apartments: if the median surfaces are less than in the rest of the region for studios and two-room apartments, which represent almost 60% of the capital market, the apartments of four and five rooms are few, but much larger (113 m² compared to 97 m² in the Grande Couronne). Except for large houses with seven rooms: 147 m² in the suburbs compared to 165 m² in Paris.

PRICE COUNTS

Published by the Chambre de Notaires de Paris on July 24, 2017

According to the latest real estate data from the Notaries of Paris-Ile-de-France, the real estate market in the region is marked in the first half of 2017 by a record volume of sales and by housing prices that continue to rise throughout the region, particularly in Paris.
 
In line with the two preceding months, at the end of May 2017, the annual increase in the price of resale housing is 3.6% in the Ile-de-France. Progress remained stronger for apartments (+4.1%, 5,510€/m²), driven by prices in Paris, than for houses (+2.5%, to 294,600€).
 
Thus, at the end of May 2017, the price of an apartment is 4,370€/m² in the Petite Couronne and 2,920€/m² in the Grande Couronne. A house costs 343,800€ in the Petite Couronne and 273,800€ in the Grande Couronne.
 
Outside the Capital, the annual increase in resale house prices should continue to be moderate: it is expected be limited to 2% in the Petite Couronne and 1.1% in the Grande Couronne, and would be even more limited for houses (+0,9%) than for apartments (+2.1%).

The increase in Parisian prices is still strongly driven by prices in the Capital, where the annual increase reached 5.9%. In Paris, the price per square meter of the resale apartments reached a new record at 8,580€ in May 2017. After two more months of sharp rise in the capital, the price per square meter of the apartments is expected to stabilize around €8,900 in September 2017. The annual increase is expected to be even higher, on the order of 7.5%.

From March to May 2017, a new record of activity was reached in the Ile-de-France for the period observed over the past 20 years, with 46,250 dwellings sold in the region. The increase in sales of existing homes reached 32% compared to March through May 2016, 45% compared to the last 10 years and above 23% compared to the average of the 1999 to 2007 period where activity had long maintained at very high level.
 
This dynamism is observed in all the departments of Ile-de-France. It benefits both apartments (+31% in one year) and houses (+32%). A succession of very active months since mid-2016 led to a record activity over 12 months, with nearly 174,000 resale housing sales from June 2016 to May 2017.

 
The activity of June and July, the most active months usually, will be decisive to consider “2017 a record year.” According to the first results of the Notaries in Paris, the high level of sales volumes continued in June 2017.

Read the entire report by downloading the PDF.

A bientôt!

Adrian Leeds
The Adrian Leeds Group

(By Erica Simone)

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P.S. I’m writing you from Nice, France. Note: French Property Insider will not be published on August 10th while on vacation. You still get 50 great issues a year!