The French real estate sector is undergoing a structural transformation: the workforce is increasing while the number of companies is decreasing.

The study conducted by eXp France analyzed Eurostat data on the number of companies operating in the French real estate sector, as well as overall employment levels, in order to understand the evolution of the market since 2021.

The study shows that on average, the number of real estate companies operating in France has increased by 1,4% per year since 2021, while employment levels have increased by only 0,4% per year over the same period.

However, the annual figures present a different picture. More recently, the number of real estate professionals has increased by 8% year-on-year, while the number of businesses has decreased by 2%, highlighting a clear divergence in market trends.

This development suggests that growth is no longer driven by the creation of new businesses, but rather by an expansion of activity within existing structures, as the sector adapts to changing operating conditions.

Historically, the growth of the real estate sector has been closely linked to the expansion of individual businesses, often supported by physical office networks and multi-level management structures. However, this model is becoming increasingly difficult to sustain in a more competitive and technology-driven environment.

In contrast, new brokerage models allow agents to develop their business without needing a traditional infrastructure, enabling growth without a corresponding increase in the number of companies.

This contributes to a broader structural change across the sector, where efficiency, flexibility and agent-driven growth are becoming increasingly important.

According to Samuel Caux, director of eXp France: “The data highlights a clear shift in how the real estate sector is developing in France. While the number of companies has remained relatively stable over time, we are now seeing a divergence: the number of professionals is increasing, even as the number of agencies is beginning to decrease. This tells us that growth is no longer dependent on opening new agencies or creating more traditional agency structures. At eXp, we have contributed to this evolution from day one. Our cloud-based model allows agents to grow their business without needing physical infrastructure, meaning growth can be much more efficient and flexible. As a result, we are seeing the rest of the sector begin to evolve. We are now seeing our competitors relying on consolidation as a path to innovation, rather than developing it internally, as they seek to adapt to a changing market and remain competitive.”

Data tables and sources

• Data on real estate companies and employment from Eurostat.

• The analysis is based on the average annual variation and the most recent annual evolution within the French real estate sector since 2021.

• View all data tables and online sources here.

Illustrative image of the article via Depositphotos.com.