Can we say that renovation has become a habit rooted in the routine of owners? SeLoger's scientific team deciphers these new behaviors through a study* on owners' renovation habits and measures the impact of work on the value of properties.
Renovation, a trend acclaimed by the French
Renovating your property means rehabilitating living spaces by carrying out major or smaller works, but always with one objective: to maintain and improve your home.
This renovation trend, propelled during the pandemic, is widespread among owners who say 2/3 prefer to renovate their apartment rather than buy or sell. A choice to be highlighted with the average amortization period since it now takes 8 years to make the purchase of your property in France profitable.
Faced with inflation, many of them also favor the economy since 32% of them plan to do their work alone or with friends.
For Barbara Castillo Rico, head of economic studies at SeLoger: "We note that the French like to renovate, of course, but only when they consider that it is the right time for them: when they have the time (for 35% of respondents) and when they have the means (for 26 % of them). The renovations are, unsurprisingly, carried out to improve the aesthetics of the dwellings (in 68% of cases), but also to reinforce the insulation in nearly 1 in 2 cases (45%). This last choice seems particularly interesting in the current context of seeking energy savings and reducing the carbon footprint. »
Renovation and the French: when betting on the present is a winning bet on the future
Property renovations, beyond an improvement in daily comfort, are also motivated by potential real estate added value. Indeed, on average, in Paris, buying a renovated apartment increases the price of this property by +6,1% (compared to a property with equivalent characteristics and standard condition) and by +11,6% for the 10 largest French cities.
For Barbara Castillo Rico: “Renovating a property is a bet on the present which can have a major impact on the future. This reality is visible on all properties, regardless of their location. In 2022, we see that the price of a standard apartment in Paris is €10.312/m² on average, compared to €10.941/m² for a renovated property and €9.624/m² for an apartment to be renovated. Thus, for a 40m²** apartment, there is a price difference of €25.000 between a renovated apartment and an equivalent standard apartment. Renovating therefore allows a nice added value on the value of the property and it is also an undeniable asset to facilitate resale. Be careful, however, to take into account all the expenses related to the work, which can sometimes exceed the added value. »
Renovation, a trend that will continue in 2023
Renovating is a habit now rooted in the daily life of the French and it is a routine that is intended to be part of the long term. Indeed, 63% of owners plan to carry out work in 2023.
Prioritized spaces: the bathroom holds its own (32% of work), followed closely by the kitchen (28%), the bedroom (26%), the living room (24%) and, more surprisingly , the garden / balcony (22%). The works remain targeted since only 17% of the works concern the whole of the dwelling.
For Barbara Castillo Rico, head of economic studies at SeLoger: “A room such as the bathroom, which is often used, sometimes abused by water damage, humidity, etc., must be maintained on a regular basis and the owners have understood this. It is moreover a room much watched during visits and renovating it is a real asset. The surprise comes from the garden / balcony. Indeed, confinement has awakened among the French the desire to be outside more often or at least in a more comfortable way. We also know that an exterior is a real "plus" to trigger the crush. »
In terms of the budget spent on their renovations, the resources of the French are disparate: if 25% of the owners foresee a budget beyond 10.000€, more than half of the French (53%) nevertheless foresee a budget of less than 5.000€. €, and 16% below €1.000.
For Barbara Castillo Rico: “With the transformations that are taking place and in particular the energy challenges that we are and will be facing in the future, we can consider that a good number of owners will have to go through the works in 2023. Sometimes to embellish, sometimes to maintain and sometimes out of necessity. This trend has therefore become a habit for the French, motivated by the desire and the need to improve their living conditions. In 2023 it could become an imperative in order to overcome the major socio-economic changes that we are going through and which will have a considerable impact on the daily lives of the French. »
* OpinionWay survey carried out on 1000 owners from December 2 to 8, 2022.
** Median ad surface in 2021 in Paris
The study is based on more than 3 million apartment and house ads published on the SeLoger site between January 1, 2018 and September 1, 2022.
SeLoger price - December 2022
The calculation of these impacts is based on an econometric approach: the hedonic method which makes it possible to "erase" the effects of other specificities of the dwellings.
A property is considered renovated if this is indicated in the details of the advertisement (dedicated and/or descriptive field).