The real estate crisis: government announcements.

The situation on the real estate market in France has become a serious problem, and the government has introduced the first package of measures in response. The crisis began months ago, but industry participants still refused to recognize it. Sales are declining across the country, prices are falling even in the most sought-after markets, and almost half of loan applications are rejected.

Faced with a situation that is only exacerbating the housing crisis, the government has recently made several announcements. The PTZ program - "zero rate loan" - will be extended. It was originally supposed to end on December 31, 2023, but after deliberation, the decision was made to extend it to 2024. However, there is one big "but": this program will only be used to finance "new housing in multifamily developments." And that's only in stressed areas that include more than a hundred new cities. So the PTZ program is excluded for private homes or older housing in less stressed markets.

Another measure to overcome the housing crisis. To help the housing industry, additional measures have also been announced to speed up the entry of residential properties onto the market. Another measure that could help revitalize the market is a change to the well-known "measure of depreciation" (taux d'usure). It is expected to be updated monthly until 2023 instead of 2023. This could have a positive impact on the lending market. In the same direction, although lending rates are not expected to be reduced, there may be a reduction in lending terms. Again, this could have a positive impact on the number of loans approved.