Is it still possible to invest for less than €100,000 in real estate in Nièvre?

As in all departments where property prices are low, investment is particularly attractive in Nièvre. With an average price of €1,020/m2 (source: Fnaim, June 2024)the department ranks in the Top 5 of the least expensive departments in France. The apartments are still below the average, at €958/m2, except in Nevers where they are right in the departmental average. (source: seloger.com, June 2024). And opposite, the rental market remains buoyant with rents which, in Nevers, are on average at €10/m2 per month (according to seloger.com).
These two elements combined provide the department and in particular the Nevers conurbation with particularly attractive rental yields, most often between 8 and 10% gross.

No risk of capital loss in sight

Furthermore, Nièvre benefits from an interesting geographical location and development potential which can only support investments. This is a department which does not present a risk of price collapse, precisely because its real estate is not subject to any speculative pressure. Here, as professionals say, increases and decreases are felt less strongly than elsewhere. No risk of capital loss in sight, therefore. On the contrary, low real estate prices make a catch-up movement likely which should enhance the value of acquired properties in the medium and long term.

This is the price for a small investment building, to be refurbished or refreshed, allowing two apartments to be rented, for example in Cosne-sur-Loire or on the outskirts of Nevers. For a smaller surface area, apartment or small house, you can even find yourself in an even more modest range, between €70 and €80,000.

€250,000 for a five-unit building

But investors who have more substantial capital can also find what they are looking for. A building of more than 200 m2, already renovated and offering five accommodations a stone's throw from Nevers train station, was recently offered for sale for just over €250,000. Another building in the city center, offering two commercial premises and five apartments for an annual income of €32,000, was offered at €390,000.

Finally, in Nièvre as almost everywhere else, investment in new real estate is currently struggling. The fault is construction costs made too high by the price of materials and constraints linked to energy standards. The construction of individual houses also suffers from the absence of tax incentives.

Investing in rented accommodation, why is it profitable?

Expert opinion: Manuel Pauron, manager of Concept Immo

What attracts investors to a city like Nevers?
Very clearly, rental yields here are much better than in large cities. It all depends on the operations, but it is possible to get rates of 10% gross. This means that we have investors from the Paris region who are positioning themselves here. For example, liberal professions who choose stone rather than a stock market investment.

What types of assets can support such an operation?
It depends on what you're looking for. To obtain tax exemption, we will primarily look for investment properties with work in the heart of the city. This can give very interesting returns, but you have to fit into the boxes to be entitled to it and have good support to complete the files.

Investing in seasonal rentals, is it a good idea in Nevers?
It's a growing trend, but today we see that investors are a little waiting. A law has been in the works for a while to limit the tax advantages linked to this type of rental. It remains to be seen whether it will be taken up by the new government. And then there's the question of filling. In Nièvre, it is perhaps a little less assured than in the more touristy areas.

This editorial content is brought to you by one of our partners. The editorial staff did not take part in its design.