Rural real estate market: Nothing like this has been seen in 25 years

There is a dual phenomenon: high real estate prices and rising interest rates. This is leading to more difficult access to mortgages. In October 2023, the average interest rate on a mortgage loan exceeded 4%, while from 2016 to 2022 it fluctuated between 1 and 2% according to the Crédit Logement Observatory.

The latest statistics from Crédit Logement CSA:

• The average mortgage interest rate for loans originated in October 2023 is 4.12%
• This is another 14 points'. 'more than in September
• This is 177 points more than in January 2023 and 306 points more than in February 2022.

For Nicolas Agresti, this is approaching the value for money before the economic crisis of 2008. "In recent years, the rise in real estate prices was feasible, also thanks to the extension of borrowing terms," he analyzes. - Today, borrowing levels are much more restricted. Banks are already much more demanding with regard to debt levels. "

Besides private buyers, rental investors have also been affected.