Best cities, loan rates, price drops - 5 real estate news stories this week - Meilleurtaux.com

Real estate buyers are in a powerful position. In the current real estate market, buyers have significant influence, especially in price negotiations, with national differences of up to 10%. However, this situation varies from region to region, showing significant differences. For example, in Languedoc-Roussillon, house price negotiations exceed 10%, while Ile-de-France shows challenges with price reductions of around 5%. These regional differences offer unique negotiation opportunities that require appropriate strategies to maximize advantage in this ever-evolving real estate market. See full article.

The best cities to move to in France.

In light of the market crisis''real estate and rising unemployment Meilleurtaux and Meteojob have documented that cities such as Orléans and Rouen offer better employment opportunities and lucrative real estate opportunities than metropolitan areas such as Paris, Marseille and Nice. The study, which compares permanent employment opportunities and real estate opportunities in major French cities, shows that secondary cities such as Moulouse, Orleans and Rouen manage to strike a better balance between wages, real estate values and employment opportunities, while high real estate prices in major metropolitan areas reduce purchasing power. The study emphasizes the importance of considering these factors for those who''Plans to relocate for business or life reasons. See full survey.

Rise in mortgage interest limit.

On December 1, the interest rate cap on mortgages over 20 years reaches a historic high and exceeds 6% for the first time since 2010. This increase comes in the context of frequent revisions to the interest limit, the maximum allowed by law for loans. Loans with terms between 10 and 20 years have an interest rate cap of 5.8%, while loans with terms less than 10 years have an interest rate cap of 4.4%. The change from quarterly to monthly interest limit revisions is intended to more closely match the rapid changes in interest rates. Despite these changes, rising interest rates still limit lending opportunities,''Although there has been some stabilization recently.

The fall in mortgage interest rates is ahead.

After a long period marked by rising interest rates on loans and making it harder to access mortgage credit, a downward trend is beginning. Banks, by restricting lending deemed unprofitable, are again engaging customers with messages of lower interest rates. This reduction in interest rates is affecting all borrowers, not just the most affluent. Rates are now available from 4.1% to 4.4% on a 20-year loan with the option of additional negotiation. However, borrowers remain cautious and are expected to be in 2024''year will see more substantial rate cuts. That caution may limit the scope for negotiations in the spring, when demand increases. Further information can be found in this article.

The price of new-build homes has fallen.

The French new-build sector is seeing a rare trend of significant price reductions in several major cities. Lyon reduces prices by 3%, while Nice sees a larger drop of 8%. Nantes and Montpellier follow with price drops of 6% and 2% respectively. Despite these declines, they do not fully compensate for the losses associated with rising mortgage interest rates, which is having a negative impact on purchasing power. Construction companies are also facing''problems, and some are being forced to sell at a discount to meet new bank requirements. Further information on the price decline in the new-build sector and its implications can be found here.