Old real estate more and more expensive, driven by houses

What confirms the desire for green and space that arose among the French after the confinements of 2020. In 2021, the price of houses in France rose by 9%, while that of apartments increased "only "by 4,6%.

"2021 was an exceptional year, it is confirmed", declared in a press conference Thierry Delesalle, president of the Real estate commission of the Notaries of Greater Paris.

The number of sales has reached a record level since 2000, with 1.178.000 transactions in 2021.

Year-on-year over 12 months, the absolute record was reached in the third quarter of 2021, with 1.212.000 transactions throughout France, a period which took into account the last months of 2020, when many sales following the end of confinements have been concluded.

David Ambrosiano, president of the Superior Council of Notaries, sees in this trend “a post-lockdown catch-up in the first months and an anticipation effect for 2022”. He expects a volume of transactions that "could stabilize in 2022 at a still high level".

Paris, "phew, we blow!"

An exception to this general increase in prices: Paris. The capital is the only territory where prices fell in 2021, by 1,6%. They nevertheless remain at stratospheric levels, with an average price per square meter of 10.550 euros.

"It's + phew, we blow! +", commented Me Delesalle.

And the further you get from Paris, the more apartment prices increase. +2,3% for the inner suburbs, +3,8% for the outer suburbs, +8% in mainland France outside Île-de-France.

"The Covid has made an impression, because by being confined to apartments without a terrace, without a balcony, without being able to go out, I think people have become aware of the fact that Paris does not do everything," said AFP. Guillaume Martinaud, president of the Orpi agency network.

The capital has not, however, become a foil: the number of sales is increasing, without this being reflected for the moment in prices, noted Me Delesalle.

"Paris is regaining real competitiveness, especially compared to other capitals abroad, which are increasing a lot," he said.

Because where housing is soaring in several countries (Australia, Turkey, Northern Europe...), in France, the rise in prices, although significant, is "equal to inflation" in the last quarters of the year, note Me Delesalle.

A key fact, while the question of purchasing power is increasingly significant in the public debate, and housing is the first item of household expenditure in France.

“There is still as much desire to move, to have space, but people still pay attention to purchasing power,” says Guillaume Martinaud of the Orpi network.

So, in 2022, if fuels continue to be very expensive, it could have an impact on the attractiveness of the countryside and "all the areas where you need cars to get around".