Written by The Meilleurtaux editorial team .
Updated
June 7, 2024 .
Reading time :
3 mins
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Published on
Sunday June 16, 2024 10:31
by the Meilleurtaux Editorial Team
The housing crisis is not limited to metropolises, but also affects rural regions. A recent study carried out by the network of Land Development and Rural Establishment Companies (Safer) highlights a clear decline in house sales in 2023, mainly attributable to the increase in mortgage rates. This reduction in transactions put pressure on prices, thus leading to significant fluctuations depending on the department.
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A sluggish real estate market
The study published on May 22 paints an alarming picture of the situation of the rural real estate market in France. In 2023, the number of country houses changing ownership plunged 24.2% from the previous year, from around 120,000 to 91,000 transactions.
This drop in activity is accompanied by a depreciation of real estate prices. The national average in these sectors fell by 4.3% last year. While this market contraction is notable, it masks significant regional disparities. In certain regions, such as Marne (-24.4%), Côte-d’Or (-24%) and Doubs (-23.7%), prices have suffered spectacular drops. Conversely, some departments saw the value of their property soar, such as Haute-Savoie (+14.4%), Seine-et-Marne (+14.1%), Essonne (+ 22.2%) and even Yvelines (+42.5%).
Contrasting dynamics by department
The regions most affected by the rural real estate crisis are often those which suffer from a significant rural exodus, a lack of jobs and services, and reduced accessibility. On the other hand, localities which have experienced price increases generally benefit from proximity to dynamic urban centers, tourist attractiveness, or a preserved living environment.
The future of the rural real estate market remains uncertain. Property depreciation is likely to continue in the coming months as interest rates remain high. However, an improvement is possible if the conditions of access to housing credit relax and if demand for houses in the countryside maintains.
Likewise, the recovery of this market will require tangible actions, notably improving transport accessibility and promoting investments in rural areas.
- The French rural real estate market is going through a period of turbulence, with falling prices and a plummeting number of transactions.
- This crisis is explained by the rise in interest rates and the tightening of conditions of access to real estate credit.
- Regional disparities are significant, with some areas more affected than others.
- To revitalize this market, it is necessary to put in place proactive and ambitious public policies.
Written by
The Meilleurtaux editorial team
