New housing: +33,1% building permits in March, a technical rebound that is not yet enough to revive the construction sector.

A spectacular rebound… in a still deteriorating market

March marked an apparent break with +33,1% in building permits, after a decline of -1,0% in February, but also after limited increases in January (+3,8%) and in December 2025 (+5,5%).

In total, 43.144 housing units were authorized during the month, a level which temporarily brings the activity closer to that observed in the first half of 2022.

In the first quarter, the dynamic also appears favorable with approximately 285.000 housing units authorized, representing a 21% increase compared to the same period in 2025.

But this monthly reading masks a more structural reality: over 12 months, 395.427 housing units were authorized, which is -2,0% compared to the average of the last five years.

→ In other words, despite the rebound, the sector remains below its cruising speed.

A catch-up effect rather than a cycle reversal

The magnitude of the +33,1% should be analyzed with caution.

This rebound can be partly explained by:

• a low basis of comparison in February (-1,0%)
• the high monthly volatility of authorizations
• possible effects of administrative catch-up

→ For professionals, this confirms a well-known reality:
Monthly variations remain erratic and do not, on their own, reflect a lasting recovery.

The collective drives the recovery, the individual remains under pressure

In detail, the increase is largely due to collective housing, with +49% and 30.013 authorized housing units.

Conversely, detached houses are progressing more modestly, with +6,7% and 13.131 dwellings.

→ This dynamic confirms a restructuring of the market:

• the collective now concentrates the bulk of the production
• Individual borrowers remain penalized by costs, interest rates, and solvency.

For construction companies, this implies:

• an activity more focused on large-scale operations
• increased dependence on developers
• and a lasting contraction of the diffuse market

Construction starts are still too weak to trigger the recovery

The positive signal continues partially on the housing starts side, with 29.854 homes launched in March, representing a 19,2% increase over one month.

But here again, the annual trend remains worrying:

• 279.832 housing units started over 12 months
• that is -17,5% compared to the average of the last five years

→ This is the central point for the sector: the actual level of activity remains historically low.

The real challenge: turning permits into construction projects.

For construction companies, the question is no longer about permits, but about their implementation.

Between the 43.144 permits issued in March and the construction projects actually underway, several obstacles remain:

• high construction costs
• financing conditions still restrictive
• weakened real estate demand

→ Result:
a lasting gap between authorizations and actual activity, which directly impacts order books.

A further delayed recovery for businesses

In reality, even if the permits are confirmed, the impact on the business will remain gradual.

Since the average time between obtaining a permit and starting work is generally between 6 and 12 months, the effects of the March rebound could not materialize until the end of 2026, or even 2027.

→ Until then, the sector is expected to remain tense, with limited visibility and fluctuating activity.

An encouraging sign, but still insufficient.

This rebound of +33,1% is undeniably a positive signal for the sector.

But at this stage:

• volumes remain below historical standards
• Construction starts remain insufficient
• and the transformation into actual business activity remains uncertain

→ The rebound in permits is real, but it remains primarily statistical. At this stage, the recovery of the construction sector remains largely delayed, contingent on one key condition: the actual conversion of these permits into construction projects.

Illustrative image of the article via Depositphotos.com.