how buyers are taking advantage of the lull to trade lower

by time news
Rising interest rates have a direct impact on the amount that households can pay. At a constant monthly payment, the current increase in the cost of credit is almost equivalent to 10% less purchasing capacity. ARNAUD PAILLARD/Hans Lucas via AFP

DECRYPTION – The rise in interest rates is cutting into the budget of buyers, who are trying to lower prices.

The party is over. The post-Covid boom, which has seen housing prices soar from record to record, is behind us. The increase in the cost of real estate loans (rising from 1% over twenty years on average in January to 2.2% today) and the anxiety-provoking climate (war in Ukraine, inflation, fears of recession, etc.) have reduced the euphoria who reigned for two years.

And if housing needs remain a powerful spring, sales are no longer made in the blink of an eye. Agencies have stock, sales times are getting longer and negotiations are once again difficult between buyers and sellers.

We are no longer in a configuration where buyers have to hurry

Me Thierry Delesalle, in charge of real estate statistics for Paris and Île-de-France

“We are no longer in a configuration where buyers have to hurry. Today, it negotiates everywhere”we lovee Thierry Delesalle, in charge of real estate statistics for Paris and Île-de-France. Admittedly, the figures do not yet reflect this phenomenon. In September, over one year, the value of apartments increased by 4% (+ 8.2% for…

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