While the financial markets remain unstable and the economic context remains uncertain, property retains a privileged place in the hearts of the French. A recent study conducted by Catella Residential in partnership with YouGov reveals that two out of three French people still consider property a safe investment. A closer look at a lasting trend, its foundations, and the levers to activate to support the recovery.
Confidence intact despite the economic climate
Despite inflation, rising rates and tighter credit-granting conditions, 67% of those surveyed believe that property is a wise investment. This perception is particularly strong among 25-44 year-olds, a generation still largely renting, and therefore sensitive to the challenges of home ownership.
Choice criteria that are changing
The study highlights the main criteria that guide property purchases:
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- Price remains the determining factor for 68% of French people.
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- Location comes in second place with 53% of responses.
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- Energy performance is becoming a central issue, particularly among the over-55s, where 44% place it as a priority choice criterion.
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- Among 25-34 year-olds, there is a growing interest in the notions of sustainable water management and responsible housing.
Persistent obstacles to investment
Despite strong appeal, only a quarter of French people plan to invest in the coming months. Several major obstacles are holding back the move to action:
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- High interest rates, which make access to credit difficult. 61% of French people believe that a fall in rates would be a decisive lever.
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- Taxation seen as too complex, particularly for investors who have finished repaying their loan.
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- A lack of information on assistance schemes, particularly among 18-24 year-olds, who are less well informed about financing opportunities.
What solutions are there to revive property investment?
To support the return of investors and boost the market, several actions should be considered:
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- Loosening borrowing conditions to facilitate home ownership.
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- Simplifying and making property taxation more readable, particularly around the status of the private landlord.
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- Better communication about assistance schemes (zero-interest loan, tax advantages, energy renovation subsidies) aimed at first-time buyers and young working people.
Althenor's view
At Althenor, we observe this intact confidence in bricks and mortar on a daily basis. Our clients confirm to us that, despite current tensions, demand is there — waiting for more favourable conditions and smoother support. That is why we advocate a concerted approach between market players, banks, legislators and operators like us, in order to make property investment more accessible, more readable, and durably attractive.