France: Real estate prices go upwards in many cities

Real estate resumes colors. After a long period of wait -and -see, prices go upwards in many French cities, which signals an unexpected market on the market. This thrill, which began at the start of the year, intensifies with the effect of more attractive borrowing rate and a gradual return of buyers. Professionals and individuals scrutinize this nascent dynamic, which rebels cards after months of stagnation. Faced with this revival of activity, observers wonder: a simple cyclical burst or a real cycle reversal?

A prices outbreak per square meter in several cities

The month of March confirms a widespread recovery in real estate prices in France. Of the 29 main agglomerations analyzed, 17 display a monthly price increase per square meter.

The medium -sized cities record the most notable progress. Even the capital is no exception to this dynamic with a measured progression.

This movement fits into a climate more favorable to purchase. The financing conditions in France have improved, which relaunches the interest of buyers.

Here are some key figures extracted from this trend:

• Calais: +5.9 % in one month;
• Colmar: +5 %;
• Pau: +4.2 %;
• Saint-Nazaire: +3.8 %;
• Paris: +0.2 %, a sign of a thrill in the heart of the capital;
• Toulon and Nantes are also among the notable increases.

This recovery is closely linked to Relaxation of credit rates. In addition, some profiles are now getting real estate loans at less than 3 %, which restores breath on demand.

Sales times also shorten, and several professionals speak of a “Palpable warming of the market”which illustrates the return of activity in segments hitherto in withdrawal. Thus, the accumulation of these signals translates a cycle reversal that the sector observes with attention.

Wider consolidation in medium -sized cities

Beyond the occasional increases observed in certain metropolises, a global dynamic has been emerging for several months. The proportion of cities with more than 40,000 inhabitants which recorded an increase in prices increased from 16 % in June 2024 to 42 % today, noted Better.

This figure shows that the recovery is not isolated, but well rooted in a national trend. The average price signed by the square meter, all goods combined, now reaches 3,254 euros.

This consolidation is part of a context where buyers anticipate a gradual rise in prices and seek to secure still favorable financing conditions.

According to better experts, “The slow but regular rise in prices could extend to the second half, subject to the stability of the rates and the maintained confidence of households”. The medium -sized cities in France seem to be doing well thanks to a reinforced attractiveness from the pandemic and price levels still accessible to large metropolises.

If this recovery offers a positive signal to the sector, it also imposes vigilance and lucidity. Restarting prices could accentuate territorial inequalities, especially between growing cities and those still difficult. In addition, any sudden variation in rates or degradation of economic conditions could quickly reverse the trend. The actors will have to closely monitor these parameters to adapt their strategies to a transitional market in France.