Why real estate prices are rising in Caen but falling elsewhere - France Bleu

Why does this trend continue to grow in Caen while it declines in other major French cities? It is due to two main factors.

Firstly, before the Covid period, which triggered exceptional activity, the so-called Lower Normandy was a bit behind compared to some national averages. So, ultimately, this period allowed us to level off, to orient ourselves to those averages. And, of course, because of that, the decline is a little bit less pronounced.

The second reason is statistical, that is, we're operating between May 2022 and May 2023. We're still active, and it's still a fairly prosperous period. So we will need a few more months of statistics inthe following months to perhaps have a better idea of price reductions.

Are there any properties still available in Caen?

Yes, there are still some left, but to find them you have to move a bit away from the hypercenter, which remains very expensive. The price reductions we just talked about are not yet being felt there. So you have to move away a little bit, go to the outskirts, even to the first neighborhood. Or even get out of Cana.

And are there neighborhoods that have been losing a little bit of popularity in recent years, a little bit neglected, but have become much more sought after because of the price increases downtown.

The hypercenter has unfortunately become unaffordable for many buyers, and we've stepped back and looked at some very nice neighborhoods again.For example, I can mention Saint-Ouen, not far from Zenith, near the Meadowlands. The E La Vigne neighborhood, which is also not far away. If you backtrack a bit more, the Venoix neighborhood (near the Ornano stadium), which is a very family-oriented neighborhood. We have a nice preponderance of residential uses. Also the Beaulieu neighborhood. All of these neighborhoods have really overcome the difficulties of the past through this period.

What is the situation in the redeveloped downtown, which also tended to be neglected before Covid came along? "

Has it revitalized and regained its appeal? It has regained its appeal as we used to be able to choose some properties. Today, given the rise in prices and the fact that for two years demand far exceeded supply, people arewon't be so picky anymore. Remodeling is not a problem, take it anyway!

Even if they are apartments that are often poorly insulated and noisy?

Yes, of course. They unfortunately have some disadvantages, particularly insulation problems.

When it comes to insulation, regulations are getting tighter and tighter. Could this slow down the market for some properties?

This could slow down the market, especially the rental housing market, because today we are paying particular attention to the outcome of the passportenergy efficiency. And depending on the outcome of the energy label, some properties will no longer be able to be rented out. This has already started with energy insecure homes, the most energy intensive homes (classified as G+). But we will have other deadlines - 2028, 2034. It will be necessary to insulate your housing, otherwise you can't rent it out. So we will have this hurdle. Today, when we sell a house or an apartment to an investor, he takes it and rents it out. There is no problem. But because of the energy efficiency of his housing, we may face a problem and of course we will have to negotiate the price.

Another phenomenon applies to the suburbs of Kahn. We are nearing the end of large housing estates. In a few years there will beit is impossible to artificially develop land and that will also incline prices upwards?

This is indeed a goal that is set by public authorities, it is a public policy called ZAN. It's an acronym that stands for "no net development". This goal is aimed at stopping land development. Today, when we want to create development, we take away some agricultural land. In 2050, that will not be possible. So if you want to buy land and build in a cottage community, you need to do it now, otherwise it will be too late.