The madness of furnished rentals: when the real estate market gets carried away
Right now, finding a furnished apartment to rent is an Olympic challenge. According to the latest data from Lodgis, demand for this type of property has increased by 18% in 2024, with an average rental period now extending to nine months. This phenomenon, which reflects growing tension in the market, is radically transforming the habits of tenants and the strategies of owners.
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Rental duration: new records
While the furnished rentals were traditionally associated with short-term stays, the current figures tell a different story. The average time spent in these accommodations has increased, reaching almost a year in some regions, driven by rarity acute supply available. This increase in the duration of leases reflects the increasing difficulty of finding housing accessible on the market.
The rush for furnished accommodation: a response to the housing crisis
Faced with a sluggish sales market and a shortage of new constructionmore and more people, including families and couples, are turning to furnished apartments. This demographic shift in tenants reveals the profound changes in the sector and underlines the urgency of a response adapted to the new market realities. This transition to furnished accommodation has become a temporary or long-term solution for many residents seeking stability.
The challenges of rental accessibility
Finding an available property becomes a severe competition among housing seekers, with properties disappearing from the market just hours after their announcement. This heightened competitiveness accentuates the difficulty of finding accommodation, pushing tenants to extend their stay in furnished accommodation. This situation highlights the need to increase supply to meet the ever-increasing demand.
Pressure on prices: worrying inflation
Rents for furnished apartments are experiencing a average increase of 3% compared to the previous year, inflation which varies greatly depending on the locality. In Paris, where rents are controlled, this increase remains moderate, but it is exploding elsewhere, stimulated by demand which continues to grow. This rent inflation can make access to housing even more difficult for new tenants and those with modest incomes.
Tax impacts and the future of furnished rentals
Owners of furnished properties, currently favored by advantageous tax arrangementscould see these benefits reduced with the new draft budget. This legislative change could encourage them to withdraw from the furnished rental market, further aggravating the tension on the market. If landlords start pulling their properties off the rental market, it could create an even greater shortage and exacerbate current problems.
Solutions for a saturated market
As the furnished rental market intensifies, it becomes crucial to find innovative solutions to meet unprecedented demand. Housing policies must evolve to support these changes and guarantee more equitable access to housing for all. Implementation of new regulations and increasing the supply of affordable housing will be essential to stabilize the market and meet the needs of citizens.
Airbnb shakes up real estate with an extraordinary shift that will completely redefine the rental market and charm owners
This article explores the current dynamics of the furnished rental market in France, highlighting an increase in demand and a lengthening rental period. Faced with a protracted housing crisis, challenges for tenants and landlords are increasing, requiring both regulatory and practical adjustments to maintain market balance. This evolution of the real estate market requires increased attention from decision-makers to adapt policies and offer viable long-term solutions.
