Legislative elections 2024: what are the effects of the political situation on real estate?

© Nicolas Sandanassamy

– The real estate sector is particularly affected because it relies largely on trust.

Instability political, linked in particular to the dissolution of the National Assembly and the organization of early legislative elections, is not likely to to reassure the real estate market. In any case, this is what the show Esprit Pratique seems to analyze, on France Inter. On Friday June 14, she became interested in the subject by interviewing both individuals and real estate agents. And the least we can say is that currently, the caution is appropriate.

In recent days, real estate agents have received numerous calls from potential buyers to Stop real estate projects. If this does not concern the transactions that will be concluded in the coming days, people who are thinking about a purchase or sale project prefer to put the question aside while waiting for it. see a little more clearly on the current economic situation.

The real estate market faces uncertainty about the future

The real estate sector is particularly affected because it relies largely on trust, particularly in planning for the future. When the state of the country can be diametrically different between now and July 7, it is difficult to getting into debt over many years without having some guarantee of what the future might look like. The financial markets were not mistaken, Monday June 10, and showed their worry.

What is likely to come to a serious halt is the drop in credit rates banks, also cautious in view of the situation. Enough, in turn, to put a blow to real estate purchasing power, which could paralyze the market and lead, ultimately, to a possible price drop. The column advises to wait, including for investment projects: all legal texts, including the anti-Airbnb law, are hanging to the Assembly and will not be put to a vote. Summer, never a dynamic period in real estate, risks being even less so this year.