From +12% to -9.8%: how property prices in France have changed over the year

Many regions have faced a decline in real estate prices, while southern areas continue to show positive dynamics, according to a recent report by notaries. In Corsica, price fluctuations depend on the specific location and type of property. Currently, there is a stagnation in the real estate market in France; however, some areas, especially in the south, are still recording price increases. These findings are presented in the latest report by notaries, published last week, which covers all real estate sales in metropolitan France. The report offers the most comprehensive overview of the market situation, based on actual transactions up to the end of the second quarter (April-June) of 2023. In addition to important trends, it also includes price changes for both houses and apartments. Let's take a look at the key points of this report.

Is a housing market crash coming?

The data covers changes in median prices from April to June 2022 and the same period in 2023. This means that more recent reports after June are not included. Information on new sales will be presented in the next quarterly report. However, in the existing data, we can see a decrease in housing prices compared to last year, with some regions showing a decline of nearly 10%.

The largest price decrease has been recorded in the following areas:

• Amiens:-9.8%
• Oh course:-8.8%
• Chartres:-8.1%

Strong positions in the Mediterranean

Only in three regions of mainland France did price indicators increase by more than 2% compared to last year. Half of them are located in the south, highlighting the enduring appeal of Mediterranean real estate. The three areas with the highest increases in housing prices compared to the previous year are as follows:

• Kanye:+2.4%
• Toulouse:+5.6%
• Corsica's South:+7.5%

This is also confirmed by data on the highest median housing prices, among which four out of five cities are located on the southern coast:

• Corsica's South:484,000 €
• Toulouse:475,300 €
• Lion:430,500 €
• Montpellier:405 100 €
• Marseille/Aix-en-Provence:398,500 €

Please note that the report does not break down housing prices in Paris and its suburbs, which affects the overall median cost in this region. The least expensive areas turned out to be:

• Shatodru:€136,500
• Amiens:171,400 €
• Limoges:177,200 €

What changes have occurred in housing prices across France?

We remind you that housing prices also include data from the suburbs, which can lead to a decrease in figures in major cities.

The prices of apartments have a more stable trend.

The data also covers apartment prices, providing the median price per square meter in several cities. Compared to house prices, a more significant number of locations showed slight price increases from April to June 2022 compared to the same period in 2023. However, in several areas, decreases are also observed, with the largest being:

• Burzh:-5.2%
• Paris:-4.4%
• Nantes:-4.3%

Despite Paris recording one of the largest drops in price per square meter, it remains the most expensive city to buy an apartment, as prices here are twice as high as in any other location. Notaries have confirmed that the cost of housing in Paris has fallen below €10,000 per m²; however, this level had not yet been reached in the second quarter of 2023, so this information is not included in the current sample.

The three most expensive areas to buy an apartment in France:

• Paris:10,130 € per m²
• Lion:4,920 € per m²
• Nice:4,760 € per m²

Other apartments in the Mediterranean also showed good results. The map confirms that apartments in the south of the country are performing much better than those in the north. With the exception of Bordeaux, in all other areas south of the Bourges-Clermont-Ferrand-Lyon line, apartment prices have been increasing, with some even showing double-digit growth. Meanwhile, in the north, most major cities have only seen slight price increases or, more commonly, declines.

Three regions with the best dynamics:

• Corsica's South:+12.2% per square meter
• Nim:+10.4%
• Nice:+9.9%

The lowest prices are recorded in the central and eastern parts of France:

• Saint-Étienne:1,230 € per m²
• Mulhouse:1,280 € per m²
• Burzh:1,410 € per m²

Thus, the report concludes that the real estate market in France is in a complex situation, where the southern regions still have chances for growth.