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Briefing

France: Real Estate Sector

Appears in: Europe, Macroeconomy, Markets, France, Real Estate, Residential, Sectors and Industries

Background:

During the past decade, the French housing market enjoyed a boom that caused housing prices to double. While France managed to avoid a housing bubble, prices are still expected to fall by more than 10% in 2009 according to the French National Real Estate Federation. Favorable fundamentals helped avert a housing crisis.. A low home-ownership rate of 57%, difficult access to mortage financing, more stringent lending practises and low household indebtness ensured that the housing market correction did not weigh heavily on the French economy.

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