Real Estate Crisis 2023: Shocking Figures - Magnolia.fr

real estateis facing disaster unless urgent action is taken. Housing Minister Olivier Klein has even declared a “social bomb” for next fall.

On Tuesday May 9, the government will unveil twenty plans, stemming from the National Reform Council, to contain the crisis in the real estate market and ease access to property and renting. Here are 8 key figures illustrating the scale of the crisis ahead.

3.15%: the average mortgage rate in April 2023.

• According to the Home Loan Observatory/CSA, the average rate on interims of all terms was 3.15% last April (without mortgage insurance and collateral value), up from 3.04% the previous month.
• Rates are at their highest level in a decade in May 2023.

Decrease in prices forreal estate0.6% for the year.

• This figure is cited by Meilleurs Agents, a real estate valuation specialist.
• For the year to the end of April, older home prices are down 0.6 percent nationwide and 0.9 percent in the nation's 10 largest cities.

A 15% reduction in sales volume.

• According to Meilleurs Agents, sales were down 15% in March compared to last year.
• The site predicts an acceleration of the decline in activity by the end of 2023.

67 days on average to sell a home.

• Demand is being hampered by mortgage access issues and sales timelines are up 10% year over year.
• On average, it takes 67 days to finalize a transaction.

A 26.7% drop in the issuance of building permits.

• The market for new buildings is also suffering.
• The number of building permits issued decreased by almost 27% compared to the same trimester in 2021/2022.

2.3 million households are waiting for housing under the social program.

• That's 100,000 more households than a year ago, according to the Social Housing Alliance (USH).
• The rental market is strained, those who could afford thebuyare forced to stay on the lease.

A 10% increase in non-payment of rent.

• Almost half of social landlords saw a 10% increase in non-payment of rent for more than three months.
• Households can no longer cope with paying their gas and electricity bills.

330,000 homeless.

• According to the Abbé Pierre Foundation's annual report, 330,000 people sleep on the street or in immediate dwellings, a number that has more than doubled in ten years (143,000 in 2012).
• More than 4 million people live in inadequate housing.