How and why to invest in real estate in Saint-Etienne and the Loire: tips and advice.

Investing in real estate today is becoming increasingly difficult, especially due to financing problems. However, the price level in the Loire region allows the market to remain active. Whether it is new builds or older apartments, the rental housing market in the Loire region is mainly concentrated in Saint-Etienne and Rouen. The market in Saint-Étienne is the most dynamic due to the city's student population and economic attractiveness.

Saint-Etienne is considered the cheapest city in France and offers excellent opportunities for investors. Here, as in Rouen, new buildings cost around €3,000 per square meter, while older apartments, according to Fnaim data as of July 2023, are selling at''an average of €1,301 per square meter. In comparison, in Clermont-Ferrand prices exceed 2,300 euros per square meter. Prices have, of course, risen significantly in five years (+29.2%, Fnaim data), but this increase is comparable to price rises in other French metropolitan areas.

In Rouen, investors from the region, as well as from Lyon, for example, may also consider investment opportunities. However, there are not many real estate programs here. In addition to construction costs, developers often have difficulty finding a suitable and well-located site. In addition, projects often face increasingly stringent city policy guidelines. However, older housing also offers opportunities for investors. Small-sized apartments (studios and 2-bedroom apartments) are rare on''market in Rouen and are often sold above the average cost in the city center, exceeding 1,500 euros per square meter.

Investors who are not afraid of renovation work and have the financial ability can find small apartment buildings for less than €200,000. They can create three or four apartments there, providing a good return on investment. They can also track down properties considered to be energy "leaks" that owners, unable to carry out the necessary work, put up for sale. Such properties are currently being discounted the most.

The Feurs and Montbrison markets are on a slightly higher level. Here, older apartments average around €2,000 per square meter. And in these less stressed areas''Rents are usually lower than in Rouen or Saint-Etienne, around 9 euros per square meter per month. Therefore, when choosing an object for investment, you should pay attention to its attractiveness, good location, good soundproofing and modern design.

Opinion of an expert: Olga Deville, Financial Director of Créa Drôme

How are things going with real estate investment in the Loire region?

What types of real estate are most in demand?

The 2-bedroom and 3-bedroom apartments are most sought after by investors. In St. Etienne, for example, there is a demand for studios because of the large number of students. But this is less true in Rouen, where there are fewer students.

Do you have any current programs?

Yes, we currently have two sales programs going on. One in Rouen and the other in Saint-Etienne. For the latter, we have managed to get enough reservations to start construction. The project in Rouen was launched this year and is still in''stages of selling in a more complex situation. This editorial content is offered by one of our partners. The editorial staff of Centre France was not involved in its creation.