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What will happen in Bordeaux’s real estate market? Will prices go up or down? Is Bordeaux still a hotspot for foreign investors? How is France’s government impacting real estate policies and taxes in 2025?
We’re constantly asked these questions because we’re deeply involved in this market. Through our work with notaries, real estate agents, and clients who buy properties in Bordeaux, we’ve gained firsthand insights.
That’s why we created this article: to provide clear answers, insightful analysis, and a well-rounded perspective on market predictions and forecasts.
Our goal is simple: to ensure you feel informed and confident about the market without needing to look elsewhere. If you think we missed the mark or could do better, we’d love to hear your thoughts. Feel free to message us with your feedback or comments, and we’ll work hard to improve this content for you.
1) Rental yields for properties near universities will rise as student numbers increase
Properties near universities, like those in Bordeaux, are poised for a boost in rental yields as student numbers rise.
The University of Bordeaux, with its 54,000-strong student body, is a prime example of this trend. As more students enroll, the demand for nearby housing naturally increases. The Ministry of National Education anticipates an additional 350,000 students in France by 2025, which will further heighten the need for student accommodation.
Bordeaux is facing a significant housing shortage, with a 34% drop in apartment supply over the past year. This scarcity is especially challenging for students who want to live close to the university. With fewer options available, rental prices are climbing as students are willing to pay a premium for proximity to campus.
Living near campus is a top priority for students, driven by the convenience it offers. This preference is evident in the 92.9% pre-lease occupancy rates for properties within a half to one mile of campus as of August 2024. As the demand continues to surpass supply, rental yields are set to increase.
Investors looking at properties near universities should consider these dynamics. The growing student population and limited housing supply create a perfect storm for rising rental yields. This trend is not just a temporary spike but a sustained opportunity as more students flock to university towns.
For those considering property investments, understanding these local market conditions can provide a competitive edge. The combination of increasing student numbers and a tight housing market makes university-adjacent properties a smart choice for potential buyers.
Sources: Edurank, AICI Cannes, Yield Pro
2) Short-term rental yields in Bordeaux will drop because of stricter regulations
Bordeaux's short-term rental market is facing tighter regulations, impacting property owners' earnings.
One major change is the 120-day rental limit per year on platforms like Airbnb. This cap means once you hit the limit, you can't rent out your property again until the next year, which directly affects your potential income.
Property owners now need to register their rentals with the town hall. This step ensures all rentals are traceable, preventing misuse and helping maintain a balance in the housing market for long-term residents.
From 2019 to 2022, there was a 30% drop in short-term rental listings in Bordeaux, as reported by AirDNA. This decline is likely due to the increased regulations and the administrative hassle that comes with them, making short-term rentals less appealing.
These regulations are part of a broader strategy to control the housing market and ensure enough long-term housing is available for locals. The local government is keen on keeping the city livable for its residents.
For property owners, these changes mean adjusting strategies to adapt to the new rules, possibly looking into long-term rentals or other investment opportunities.
Sources: Your Host Helper, Airbtics, Euro Weekly News
We have made this infographic to give you a quick and clear snapshot of the property market in France. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
3) Property prices in Bordeaux will keep rising as the city draws more international interest
Bordeaux's property market is on the rise, and it shows no signs of slowing down.
Even when the market faced a slight dip in early 2023, it bounced back with a 1.8% increase in house prices in the first quarter. This resilience highlights a promising environment for property growth.
Foreign investment is a major player here. Bordeaux Montaigne University, with its 2,500 international students each year, fuels housing demand. The university's 500+ international cooperation agreements further boost its global appeal, drawing more foreign investors.
Tourism is another big factor. In 2022, Bordeaux saw a strong tourism recovery with 6.4 million overnight stays. Hotels were packed, hitting 90% occupancy during peak months, which supports the upward trend in property prices as the city attracts more international visitors.
Bordeaux's status as a UNESCO World Heritage site and its improved transport links, like the high-speed train to Paris, make it a hot spot for tourists and potential residents. This easy access, along with media buzz about Bordeaux being a great place to live, pulls in more expats and international buyers.
Sources: ITB News, Bordeaux Montaigne University, eSales International, Long Term Rentals in France
4) Rents in Bacalan will drop as new developments boost housing supply
In Bacalan, new housing projects are popping up everywhere, like the "Emergence" development with its variety of apartment sizes.
With all these new buildings, the housing supply in Bacalan is set to rise. This is similar to what happened in the Sun Belt region in the U.S., where places like Austin, Texas, saw a 12.4% drop in rents because of a construction boom.
Real estate experts are saying that Bacalan might face an oversupply of apartments soon. This means more choices for renters and possibly lower rents as landlords compete to fill their units.
By the end of 2024, many apartment markets in Bacalan could hit their peak supply. This situation often leads to landlords offering better deals to attract tenants.
So, if you're thinking about renting in Bacalan, you might find some good bargains as the market adjusts to all the new options.
Keep an eye on the area, as the rental landscape is likely to change with these developments.
Sources: Bordeaux Immo9, Loebsack Brownlee
5) Short-term rental profits in Bordeaux will drop due to stricter rental rules
Stricter rental regulations in Bordeaux are about to shake up the short-term rental market.
From 2019 to 2022, Bordeaux saw a 30% drop in entire properties available on Airbnb due to anti-Airbnb rules. This shows how regulations can shrink the rental pool, cutting into potential earnings for investors. If you're thinking of buying a property here, it's crucial to understand how these changes might affect your income.
Come 2025, tax breaks for non-classified short-term rentals will be reduced, and the tax allowance for furnished tourist accommodations will be slashed. This means property owners will face higher taxes, eating into their profits. Plus, you'll need to prove your property is a primary residence and register it with the national service, or risk fines.
Energy performance standards are another hurdle. By 2025, properties must meet specific energy ratings, or you'll face daily administrative penalties and hefty fines. These compliance costs can further dent the profitability of short-term rentals.
For those eyeing Bordeaux's property market, it's essential to factor in these upcoming changes. The combination of stricter regulations and increased costs could make short-term rental investments less lucrative.
Understanding these dynamics is key to making informed decisions. If you're considering investing, be prepared for potentially lower returns due to these regulatory shifts.
Sources: Your Host Helper, Short Term Rentalz
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6) Demand for sustainable homes in Bordeaux will rise due to new tax incentives for eco-friendly properties
New tax incentives for eco-friendly homes will boost demand for sustainable properties in Bordeaux.
In 2023 and 2024, the French government rolled out tax credits for green tech like solar power and heat pumps. This was part of a bigger plan to tackle climate change and give the industrial sector a push. As a result, buyers started eyeing energy-efficient homes with high energy ratings, like A or B, which became more valuable and pricier. Bordeaux, in particular, saw a surge in sustainable building practices.
Affordable sustainable building materials, such as low-carbon concrete, became more accessible, making eco-friendly construction easier. Companies like Holcim were key players, developing products that cut CO2 emissions. A prime example is the state-of-the-art school in Le Pian-Médoc near Bordeaux, showcasing these innovations.
In Bordeaux, the real estate market is buzzing with interest in energy-efficient homes. Buyers are increasingly prioritizing properties with high energy ratings, which are seen as more valuable and command higher prices. This trend is particularly evident in Bordeaux, where sustainable building practices are gaining traction.
With the availability of affordable sustainable building materials, such as low-carbon concrete, eco-friendly construction is becoming more accessible. Companies like Holcim are playing a significant role in this by developing products that reduce CO2 emissions, as seen in projects like the state-of-the-art school in Le Pian-Médoc near Bordeaux.
These tax incentives and the shift towards sustainable building materials are making eco-friendly homes more attractive to buyers. Bordeaux is at the forefront of this trend, with its focus on energy-efficient properties and sustainable construction practices.
Sources: Holcim, French Property Insider, Climate Change News
7) Rental yields in suburban areas will rise as more people look for affordable living outside city centers
In recent years, people have been moving away from city centers, especially around Bordeaux.
The city center of Bordeaux has become quite pricey, with property prices hitting €4,815 per square meter for apartments, making it tough for many to afford living there. As a result, more folks are eyeing the suburbs for affordable housing options.
Take Saint-Etienne, for example, where rental yields are much higher, between 7% and 8%, compared to the city center. This is because the cost per square meter is lower, making it a more attractive option for both renters and investors.
Suburbs are also becoming more appealing due to improved transportation links, making commuting to the city for work or leisure much easier. The pandemic nudged many towards larger living spaces, which are more readily available in suburban areas.
Remote work trends have given people the flexibility to live further from their workplaces. Suburban areas offer quieter environments and larger spaces, ideal for remote workers. Government incentives for suburban development and urban planning initiatives focusing on suburban growth further enhance the appeal of these areas.
With these changes, suburban areas are set to see an increase in rental yields as more people seek affordable living outside the city center.
Sources: GuestReady, Properstar, Minut
8) More foreign buyers will invest in Bordeaux’s luxury market due to its wine heritage and lifestyle appeal
Foreign buyers are increasingly eyeing Bordeaux's luxury market, drawn by its rich wine heritage and appealing lifestyle.
In recent years, Bordeaux's luxury real estate has seen a notable rise in prices, with the average price per square meter ranging from €5,500 to €7,500. Exceptional properties can even exceed €10,000 per square meter, making it a hot spot for those seeking premium investments.
In 2023, prices in Bordeaux’s luxury real estate segment rose by about 6%, a trend that continued into 2024. This shows a growing interest and confidence in the market, making it an attractive investment for foreign buyers. Bordeaux's wine industry also plays a big role, generating significant economic benefits, estimated at €1 billion for the metropolitan area in 2023.
The region's lifestyle and wine heritage are major draws for tourists, with 7 million overnight stays recorded in 2023, and 87% of these tourists being foreigners. This strong interest in Bordeaux's lifestyle and wine culture is reflected in the average daily expenditure of €89.40 by foreign tourists.
With its blend of culture, history, and modern luxury, Bordeaux offers a unique lifestyle that is hard to resist. The city's wine industry not only boosts the local economy but also enhances its global appeal, making it a prime target for international buyers.
As Bordeaux continues to thrive, its luxury market is expected to attract even more foreign buyers, eager to invest in a city that offers both economic potential and a vibrant lifestyle.
Sources: Estate Prestige, Agora Tourism Bordeaux
We made this infographic to show you how property prices in France compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
9) Property prices in Belcier will rise as the Euratlantique project turns it into a major business district
The Euratlantique project is poised to boost property prices in the Belcier area as it evolves into a bustling business hub.
With major investments in infrastructure, the area is becoming more connected. The new fast rail link to Paris and the RER Métropolitain project will make commuting a breeze, drawing in both businesses and residents.
As the area transforms, there's a growing demand for office space. New developments like Spaces Euratlantique are set to attract a wave of businesses and professionals, naturally driving up property values.
Looking at other cities, property prices often rise when areas undergo such significant changes. The Belcier area is expected to follow this trend, becoming a sought-after location.
Insider knowledge suggests that as the Euratlantique project progresses, commercial properties will see a surge in interest. This is a golden opportunity for investors eyeing the Belcier area.
With the transformation underway, the Belcier area is on the cusp of a real estate boom, making it a prime spot for potential buyers.
Sources: Spaces Euratlantique, OMA, Bordeaux Métropole
10) More investors will be drawn to the Grand Parc area because of new public transport connections
The Grand Parc neighborhood in Bordeaux is catching the eye of investors thanks to its closeness to new public transport links.
Historically, areas with better connectivity have seen property values rise, and Grand Parc is following this trend. In the Chartrons - Grand Parc - Jardin Public area, the average price per square meter is €5,428, showing a stable market with room for growth.
The rental market here is also thriving. Furnished apartments offer rental yields between 3.09% and 4.40%, which is quite appealing for those seeking steady returns. The price per square meter for rentals has jumped by 12.00% as of January 2025, indicating a growing demand.
Bordeaux's new mobility plan, featuring fresh tram connections and better railway services, is a game-changer for Grand Parc. This enhanced connectivity makes the area more accessible and attractive to young professionals who value easy commutes.
The influx of young professionals often leads to local business growth and economic revitalization, which in turn draws even more investor interest. This cycle of growth and investment is a promising sign for the neighborhood.
With these developments, Grand Parc is not just a place to live but a smart investment opportunity. Its strategic location and improved transport links make it a hotspot for future growth.
Sources: Culture EC, Keolis News, Doorfeed Insights
11) Property values will rise in Bordeaux neighborhoods newly connected by the expanding tram network
Bordeaux's tram network expansion is set to boost property values in newly connected neighborhoods.
With the tram line A now reaching the airport, Bordeaux has added four new stops and a 5 km stretch to its network, making the city more accessible. This isn't just about convenience; it's about transforming areas into hotspots for potential buyers. Imagine living in a neighborhood where you can hop on a tram and be at the airport in no time. That's the kind of appeal that can drive up property values.
Looking at other cities, we see a pattern. Take Cleveland, for example. Properties near their BRT system saw a 41.5% increase in value compared to those further away. This kind of growth isn't just a fluke; it's a trend that Bordeaux might soon experience. When public transport becomes more accessible, people are willing to pay more to live nearby.
Why does this happen? It's simple. Proximity to public transit makes life easier. Whether it's getting to work, school, or the airport, having a tram stop nearby is a game-changer. This convenience makes neighborhoods more desirable, and buyers are often ready to pay a premium for it. It's not just about getting from point A to B; it's about enhancing the quality of life.
For both residential and commercial real estate, being close to a tram line can be a major selling point. Businesses benefit from increased foot traffic, while residents enjoy the ease of travel. This dual advantage means that property values in these areas are likely to rise as more people seek the benefits of improved public transport.
So, if you're considering buying property in Bordeaux, keep an eye on these newly connected neighborhoods. The tram expansion is more than just a transport upgrade; it's a catalyst for growth. As the city becomes more interconnected, the demand for properties in these areas is expected to climb, making it a smart investment choice.
Sources: Sustainable Bus, OSU News, Tolj Commercial
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12) Bordeaux’s real estate market will grow as high-speed rail links improve accessibility
Bordeaux is becoming more accessible thanks to new high-speed rail links.
In 2024, high-speed rail in France hit record bookings with over 63 million passengers in just the first half of the year. This is a 7.7% jump from 2023, showing that more people are hopping on trains. With Bordeaux now easier to reach, it's turning into a hot spot for travelers and potential homebuyers.
Other cities with similar rail projects have seen property prices climb. Take the Tours-Bordeaux high-speed rail, for example. Finished in 2017, it cut travel time from Paris to Bordeaux by about an hour. This made Bordeaux more appealing to both passengers and investors, a trend that could repeat itself.
The buzz around the new high-speed link between Toulouse and Bordeaux is already stirring up interest. Even though there have been some delays due to environmental issues, the promise of better travel options is exciting for many. People are eager for the convenience, and this anticipation is likely to push up real estate demand in Bordeaux.
With these developments, Bordeaux is not just a place to visit but a place to invest. The city is on the brink of becoming a prime real estate market, thanks to its improved connectivity. As more people look to settle in areas with easy access to major cities, Bordeaux's property market is set to benefit.
So, if you're thinking about buying property in the country, Bordeaux might just be the perfect spot. With its enhanced accessibility and growing appeal, the city is poised for a real estate boom.
Sources: SNCF Group 2024 Half-Year Results, Railway Technology, Connexion France
13) Green spaces will become more attractive, boosting property values in nearby areas due to environmental initiatives
Bordeaux is investing heavily in urban green spaces as part of its sustainability push.
These green initiatives are not just about making the city prettier; they aim to improve air quality, cut down noise, and boost biodiversity, making Bordeaux a more appealing place to live. As a result, property values near these new parks and greenways are climbing. This isn't just happening in Bordeaux; cities like Nantes and Strasbourg are seeing similar trends.
There's a clear link between being close to green spaces and higher property prices. Why? Because green spaces make life better, and that makes nearby homes more attractive to buyers. In Bordeaux, these projects align with the ICMA’s Green Bond Principles, reinforcing the idea that environmental efforts can drive up property values.
People are increasingly looking for homes near parks or nature reserves. This shift is all about wanting a sustainable, community-focused lifestyle, which makes Bordeaux's green spaces even more appealing.
Sources: ASEAN UP, Stock Titan, Green Acres, World's Best Cities, Bordeaux Métropole
14) Virtual reality tours will transform property viewings in Bordeaux, attracting remote buyers
Virtual reality tours are transforming how people buy property in Bordeaux, especially for those who can't be there in person.
In recent years, there's been a noticeable shift towards digital solutions in real estate. By 2025, the VR real estate market is expected to hit $2.6 billion, showing just how big this change could be. This trend is not just a passing phase; it's reshaping the industry.
Between 2023 and 2024, 67% of home buyers preferred virtual tours when checking out listings. The COVID-19 pandemic played a big role in this shift, making remote property buying more common. People are spending more time on sites with virtual tours, which means they're more interested and engaged.
In Bordeaux, virtual tours are a hit with international buyers, including those from Paris and abroad. The ease and cost savings of virtual tours let these buyers explore properties from a distance, helping them narrow down choices before visiting in person. This is a game-changer in a market where properties with virtual tours tend to sell quicker and for more money.
For Bordeaux's real estate scene, virtual tours are not just a trend; they're becoming essential. Listings with virtual tours are moving faster and fetching higher prices, making them a smart choice for sellers and buyers alike.
As more people look to buy property in Bordeaux, virtual reality tours offer a practical solution. They provide a detailed view of properties without the need for travel, making the buying process smoother and more efficient.
Sources: The Luxury Playbook, Element Technologies
While this article provides thoughtful analysis and insights based on credible and carefully selected sources, it is not, and should never be considered, financial advice. We put significant effort into researching, aggregating, and analyzing data to present you with an informed perspective. However, every analysis reflects subjective choices, such as the selection of sources and methodologies, and no single piece can encompass the full complexity of the market. Always conduct your own research, seek professional advice, and make decisions based on your own judgment. Any financial risks or losses remain your responsibility. Finally, please note that we are not affiliated to any of the sources provided. Our analysis remains then 100% impartial.