"It's the worst year in over 50 years": in 2024, only 59,000 homes will be created in France, half as many as normal
By The New Obs with AFP
Published on , updated on
A building under construction in Valencia, November 18, 2024. NICOLAS GUYONNET / HANS LUCAS VIA AFP
In 2024, France created 59,000 new homes, half as many as two years earlier, a new illustration of the serious crisis shaking new real estate . Excluding the year of Covid , around 125,500 homes were put up for sale per year on average between 2017 and 2022.
In 2024, this figure will only reach 59,014, 29% less than the previous year and almost half as many as in 2022, according to data published this Wednesday, February 26 by the Ministry of Regional Planning.
Individuals reserved 67,906 new homes last year, 5% fewer than in 2023, a year already catastrophic for the production of new homes due to rising construction costs and interest rates that have blocked the property purchase plans of many households.
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The number of reservations is almost 40% below the 2022 level, and is half the 2017-2022 average level.
"The crisis has fueled the crisis""Everything is to be thrown away in 2024, it's the worst year in over fifty years and the beginning of our statistics," Pascal Boulanger, president of the Federation of Real Estate Developers, told AFP. "The crisis has fueled the crisis: since we weren't selling, we didn't produce [new housing, editor's note] , so we didn't buy land and we have fewer employees," he continued.
Optimistic for 2025, Pascal Boulanger is nevertheless worried about the restarting of "the machine" which could cause price increases: due to higher salaries "to bring back the 5,000 employees who left the profession" and overbidding on land for sale if all the developers start "all buying land" again.
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