Real estate: 11 key figures to know to talk about 2020 in full knowledge of the facts!

Health crisis requires, 2020 is a real estate year that arouses many comments. And the problem is, sometimes, sometimes they’re wrong. Here are the shocking numbers from the LPI-SeLoger barometer to keep in mind to support your analysis.

10,683 € / m² to buy a home in Paris

According to the data collected by the LPI Barometer-Housing, Paris remains the city of more than 100,000 inhabitants where becoming an owner is the most expensive. Consider, at the end of 2020, the price per m² in Paris peaks at € 10,683 and shows an increase of 5.4% over 1 year. All things being equal, in 1995, the price of Parisian real estate was € 1,056 per m² (Source: FNAIM). Finally, while Paris takes the top step of the podium, the capital is flanked, on its right, by Boulogne-Billancourt (€ 9,063 per m² / + 4.3% over 1 year) and on its left, by Montreuil ( € 6,876 per m² / + 10.4% over 1 year).

+ 16.5% annual increase in real estate prices in Mulhouse

Second city of Alsace – in number of inhabitants – behind Strasbourg, Mulhouse will have seen the price of its real estate explode in 2020. According to the LPI-SeLoger Barometer, the price per m² in Mulhouse shows an increase of 16.5% over 1 year to reach € 1,939! If Mulhouse won the gold medal in the ranking of cities where housing prices recorded the strongest acceleration in 2020 (tied with Angers), the silver and bronze medals go to Limoges respectively (+ 16.4 % over 1 year / € 1,844 per m²) and in Orléans (+ 16.1% over 1 year / € 2,667 per m²).

At the end of the 1st confinement, sales jumped!

Frustrated at having been forced to postpone their real estate projects indefinitely, the French made up for it, as soon as the end of the first confinement took place. As proof, the activity literally got carried away, causing a technical rebound of unusual intensity. Because as noted by Michel Mouilart, spokesperson for the LPI-SeLoger Barometer, “between the months of April and July 2020, real estate transactions showed an increase of 460%”. However, it should be noted that a bottleneck in real estate sales accompanied this rebound.

In 2020, a property costs, on average, 265,500 €

Reading the LPI-SeLoger Barometer, we see that the average price of old housing in France has increased by 5.8% in 1 year. Indeed, while in 2019, the average price of a property was established at 251,000 €, here in 2020, it is now necessary to pay 265,500 € to access the property (265,500 – 251,000 / 251,000 x 100).

The property price in the old up by 6.5% over 1 year

In terms of property prices, the LPI Barometer-Housing tells us that 2020 ends with an increase of 6.5% over 1 year. Knowing that the government is counting on a 0.5% decline in household purchasing power, it is not surprising that real estate is – more than ever – a safe haven in the eyes of the French .

“Despite the health crisis and its economic consequences, the year 2020 saw a marked acceleration in the increase: it ended with an increase of 6.5%, against + 4.8% in 2019 and + 3.4 % in 2018 ”, specifies Michel Mouillart, spokesperson for the LPI-SeLoger Barometer.

Real estate activity down 17.3%

The halt to real estate activity (ban on visits, closure of real estate agencies, suspension of construction sites, etc.) during the first confinement undoubtedly impacted transactions which, had it not been for the health crisis, would have been more numerous than they are today.

“While interest rates have remained very attractive and the terms of loans granted have lengthened, sales to individuals fell by 17.3% in 2020”, notes Michel Mouillart, spokesperson for the LPI Barometer Housing. By comparison, more than 1,000,000 transactions were recorded in 2019! If no delay can be made up, the question remains to know how long it will take …

4.6 years of income to become a homeowner

Depending on where you live, property prices are likely to vary, as is the number of years of income that the purchaser of a property will have to devote to repaying their purchase. According to the LPI-SeLoger barometer, on average, in 2020, buying a home is equivalent to 4.6 years of income. In Île-de-France, count up to 5.8 years of income but in Burgundy, 3.4 years are enough. Finally, in new homes, the purchase of a home corresponds, on average, to 3.8 years of income.

In the old one, the m² costs 3,553 €

According to the LPI-SeLoger Barometer, the price per m² in France is around € 3,553. By way of comparison, at the end of 2019, it was € 3,367. At the origin of this persistent rise in the price of real estate in a context of health crisis, we find a tightening of access to real estate credit which, by excluding first-time buyers from the market, caused the over-representation of the poorest households. more affluent. However, they are the ones who carry out the most expensive real estate transactions …

1,460 € / m² to buy a home in Saint-Étienne

Two rooms, two atmospheres… If Paris remains the most expensive city of more than 100,000 inhabitants in France, Saint-Étienne is the metropolis where prices are the lowest. Indeed, the price per m² in Saint-Étienne recorded a 6.5% increase over one year to reach € 1,410, just behind Limoges (€ 1,844 / m²) and Perpignan (€ 1,560 / m²).

+ 0.8% increase over 1 year in Amiens

While Mulhouse is the city of more than 100,000 inhabitants where property prices are rising the fastest, the LPI-SeLoger Barometer tells us that it is the (historic!) Capital of Picardy which shows the smallest increase. Consider, the price per m² in Amiens has only increased by 0.8% over the last twelve months.

Mortgage loans down 14.2% over 1 year

On the one hand, real estate prices and demand are increasing. On the other hand, supply is restricted, activity is declining and loan production is declining. “The tightening of access to credit wanted by the Banque de France has affected demand. The production of real estate loans to individuals stood at € 163 billion (excluding buybacks, renegotiations and bridging loans), down 14.2% (€ 190 billion in 2019): – 12.3% in the new (+ 1.9% in 2019) and – 10.3% in the old (+ 13.8% in 2019) ”, points out Michel Mouillart.