Property and real estate in France
France, with its picturesque landscapes, rich history, and delectable cuisine, has always been a dream destination for many. Interestingly, it’s not just tourists who are drawn to this enchanting country; an increasing number of individuals are considering settling in France, and one of the main attractions is the affordability of French houses.Â
French property market in 2023
As of 2023, the French property market exhibits unique characteristics that make it particularly attractive for homebuyers, especially those from abroad. Factors like evolving demographics, shifting population trends and governmental policies play a significant role in influencing property prices.
This is why French houses are cheap
Demographics
France has experienced a distinctive demographic shift in recent years. Like many developed nations, the urban centres have seen significant growth in population due to economic opportunities, better amenities, and a vibrant social scene. This has led to a concentration of demand for housing cities, resulting in higher property prices.
Conversely, rural areas and smaller towns have witnessed a decrease in population. Younger generations, in pursuit of better opportunities, education, and entertainment, tend to migrate to urban areas. This demographic trend leads to an oversupply of housing in the countryside, causing prices to remain lower compared to metropolitan regions.Â
Rural depopulation
Rural depopulation is a broader phenomenon seen across various countries. In France, it’s particularly pronounced in remote regions and small towns. As younger individuals gravitate towards cities for education and career prospects, rural areas face a declining population. This depopulation means that there is often an excess of available housing in these areas, further driving down property prices.
Renovation
One of the distinctive features of the French property market is the prevalence of charming historic properties. These can range from centuries-old stone farmhouses to quaint village cottages. While these homes exude character and charm, they may require renovation or modernisation to meet contemporary living standards.
For some prospective buyers, the prospect of taking on a renovation project can be daunting. This perception can deter demand for such properties, and as a result, they are often priced more competitively. Those with a vision for restoration can find incredible value in these unique homes.
Government incentives
The French government occasionally introduces incentives to stimulate the property market, particularly in rural areas. These can include grands or tax breaks for individuals willing to invest in renovating or restoring older properties. Such incentives aim to revitalise small towns and villages by attracting new residents and preserving cultural heritage.
All these factors contribute to the affordability of property in France, making it an attractive destination for those seeking a blend of culture, natural beauty, and economic viability. Whether you’re drawn to the lively streets of Paris or the tranquility of the French countryside, there’s a wealth of opportunities awaiting those interested in making France their home.Â
Which part of France has the cheapest properties
Saint-Étienne, Auvergne-Rhône-Alpes
Saint-Étienne emerges as the most economical option for property buyers in France. This industrial town in the Auvergne-Rhône-Alpes region offers apartments at an astonishingly low average price of 1,000 € per square meter in the town centre. While property prices in Saint-Étienne have seen a modest rise of +4.8% in the past year, they remain significantly lower compared to neighbouring cities like Lyon, making this town an attractive choice for budget-conscious buyers.
Mulhouse, Grand Est
Located in the Alsace region of Eastern France, Mulhouse offers another affordable option for property seekers. With an average price of 1,120 € per square meter, this town of around 280,000 residents provides an appealing combination of low living costs and a high average wage rate. Its proximity to Germany and Switzerland, along with an international airport, further contribute to Mulhouse’s attractiveness for budget-minded buyers.
Limoges, Nouvelle-Aquitaine
Limoges, situated in the Nouvelle-Aquitaine region of Central France, presents an intriguing mix of affordability and quality of life. With an average house price of 156,000 € and apartment at 2,380 € per square meter, this small city offers a range of advantages. It’s home to major companies like Legrand and Renault Trucks, providing job opportunities, and its rich porcelain industry contributes to a distinctive local culture.Â
Châteauroux, Centre-Val de Loire
The capital of the Indre department, Châteauroux boasts some of the lowest property prices in France. The average house in this town sold for just 130,000 € in 2021. This affordability stems from a combination of factors, including a decline in population since 2012 and an influx of buyers seeking holiday homes. With an average price per meter of 1,250 €, Châteauroux remains one of the most budget-friendly places to buy property in the country.
Bourges, Centre-Val de Loire
Another city in the Centre-Val de Loire region, Bourges offers exceptionally low property prices. The average price per square meter is just 1,250 €, making it an attractive option for budget-conscious buyers. An 80m2 apartment in Bourges costs under 100,000 € on average, reflecting the affordability of real estate in this area. This affordability is linked to factors like a higher proportion of smaller properties and a lower cost of living.Â
Most expensive areas to buy in France
Central Paris, ÃŽle de France
Central Paris stands as the epitome of luxury and opulence in the French real estate landscape. The heart of the city boasts an average price per square meter of 10,640 €. This exorbitant pricing reflects the immense demand for property in this historic and culturally rich region. Apartments in this area often offer unparalleled views of iconic landmarks like the Eiffel Tower, Louvre and Notre-Dame Cathedral. The allure of living amidst such cultural and architectural treasures comes at a premium, attracting high-net-worth individuals from around the world.
> People who read this article also read: Where to live just outside of Paris?
Lyon, Auvergne-Rhône-Alpes
Lyon, France’s third largest city, has witnessed a remarkable surge in property prices over the last five years. In the last years, prices shot up by a notable +8.4%. The average house price in Lyon now stands at 395,000 €, while apartments have reached a staggering 5,000 € per square meter. This growth is attributed to Lyon’s thriving economy, excellent quality of life, and strategic location at the crossroads of Europe. With a rich culinary scene and a thriving cultural calendar, Lyon’s property market continues to be a magnet for investors and those seeking an urban French lifestyle.
Bordeaux, Gironde
Bordeaux, renowned for its world-class vineyards and elegant architecture, maintains an average house price of 359,400 €. This city, steeped in history and surrounded by picturesque vineyards, has become an international hub for wine enthusiasts and connoisseurs. The demand for property here is driven by a unique blend of old-world charm and a burgeoning tech sector, making it an appealing option for high-end buyers.
Nice, Provence Côte d'Azur
The French Riviera gem of Nice is another city where property prices reflect its prime coastal location. With an average price per square meter of 3,910 €, nice offers Mediterranean living at its finest. The city’s stunning beaches, virant markets, and bustling promenades create an idyllic setting for those seeking a luxurious coastal lifestyle. The demand for property in Nice remains robust, attracting both international investors and those looking for a glamorous retreat.Â
Nantes, Brittany
Nantes, often referred to as the ‘Green City’ due to its abundance of parks and gardens, is a thriving urban center in Western France. The city’s property market has seen impressive growth, with an average house price of 332,500 € and apartments priced at 3,720 € per square meter. Its excellent quality of life, booming tech sector, and vibrant cultural scene make Nantes a top choice for those seeking an elegant city lifestyle.
Future trends in the French property market
While the overall French property market is expected to grow by +3.5% in 2022, this growth won’t be uniform across the country. Certain areas will likely become hotspots, experiencing rapid market acceleration, while others may see marginal increases or even stagnation. To identify these areas, we need to delve into the local property market dynamics, considering factors like job opportunities, quality of life and housing costs.Â
> People who read this article also read: Buying a property in France in 2023
Final notes
The affordability of French homes is a unique facet of the real estate market, influenced by demographics, rural depopulation, and the potential for renovation. With such a variety of regions to choose from, there’s something for everyone, whether you’re seeking the cosmopolitan buzz of Paris or the tranquility of a countryside retreat. France truly offers an array of opportunities for those looking to make their home in this captivating country.Â
