Rental shortage: agents have stopped publishing listings!

The rental housing market is in dire straits

Some agents have even stopped listing. The fall in real estate transactions is making it much harder for the private rental sector to move and is completely overwhelming the market.

A unique situation with economic and social implications

The president of Century 21 Group, speaking on the Capital program, describes the unique situation with economic and social consequences seen in stressed metropolitan areas.

Why is finding housing becoming impossible in some cities?

President of Century 21, a national network of real estate agents, Charles Marinakis, speaking on the Capital program, reveals the lock-in situation facing the rental market. France has never been so poor at renting, with real estate experts, among others, explaining the situation as a "housing crisis, not a real estate crisis".

Factors powering the private rented sector

To understand the worsening factors of the nation's unique situation, the network's president returns to three factors that are fueling the private rental sector: rental investors, new residential construction, and renters who are leaving their homes to become owners. It is these three components that underpin the amount of rental housing on the market.

Higher interest rates and other issues

It is these three segments that are frontally affected by rising interest rates, expected falling sales prices and government measures that "discourage" private investors. Heat losses are disappearing from the rental market, lease expiration dates are being cut by half or three times in some metropolitan areas due to people not being able to leave their homes to become owners, not to mention the fiscal benefits of owners who prefer to rent furnished apartments on rental platforms.

The inability to find an apartment.

The private rental market is dying to the point where it is now almost impossible to find an apartment in some metropolitan areas. The president of Century 21 warns and insists that this is an unprecedented phenomenon previously unseen in the profession. We sometimes get 600 to 700 rental inquiries per day.

The situation is tense for professionals.

On the other hand, Charles Marinakis describes an extremely tense situation for professionals. In some agencies, supply has dried up so much that agents are choosing not to answer calls or post rental listings on their website. Some agencies are getting so many inquiries that it's becoming unbearable.

Where is the rental market gridlocked?

The largest cities in France have been hardest hit by the drying up of the rental market, including cities such as Toulouse, Bordeaux, Lyon and Paris, where the number of available properties is being stranded. Century 21 president emphasizes the challenges of the "student" market.

The consequences of the rental housing shortage.

Former Housing Minister Olivier Klein has warned of the consequences of the housing crisis, calling it a 'social bomb'. But what a journalist from the Capital program highlights seems to confirm the former minister's prediction and explains it. The lack of rent in France causes 12% of students to drop out of continuing their studies due to the inability to find housing in the busiest metropolitan areas. While students are often cited as victims of the housing crisis, they are not the only ones suffering from this period of drought.

The impact on the economy and social system.

Young, active people employed by companies that are located in rent-stressed areas are not left out either. And it's no surprise that 17% of employment contracts in France are not concluded because of the difficulties young recruits face in finding accommodation. Given the talent shortage and the real problems companies have in hiring qualified people, the lack of rentals in the country really affects the overall economic and social system.

Closure

The housing crisis, with some cities no longer having rental offerings, is a unique situation, according to the president of Century 21. The largest metropolitan areas and college towns were the hardest hit by the shortage of housing in the rental market. Student enrollment and contracts are declining in the busiest cities due to a lack of affordable housing for job seekers.