Authored by the expert who managed and guided the team behind the France Property Pack
Everything you need to know before buying real estate is included in our France Property Pack
If you're wondering whether January 2026 is the right moment to buy property in France, you're not alone, and the answer depends on understanding where the market really stands today.
In this article, we break down the current housing prices in France, the latest market signals, and what they mean for buyers looking at apartments, houses, townhouses, or villas across the country.
We constantly update this blog post to reflect the freshest data available, so you always get the most accurate picture.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in France.
So, is now a good time?
As of January 2026, buying property in France is a "rather yes" because the post-boom market offers more negotiation room and the worst of the interest rate shock is behind us, though prices remain elevated versus long-term trends.
The strongest signal is that French home prices sit around 1.55 times their long-run trend according to official government data, meaning the market has cooled but is not cheap by historical standards.
Another key signal is that transaction volumes in France remain about 11% below their long-run normal, which typically gives buyers more bargaining power.
Other strong signals include stabilizing mortgage rates from the Banque de France, weak new construction that limits future supply, and energy performance rules that are creating a two-tier market between renovated and unrenovated homes.
The best strategies in France right now are to focus on well-located apartments or houses in liquid neighborhoods like central Paris, Lyon, or Bordeaux, prioritize energy-efficient properties, plan for a 5 to 10 year hold, and negotiate hard since sellers are more flexible than they were during the boom.
This is not financial or investment advice, we don't know your personal situation, and you should always do your own research before making any property purchase decision.
Fact-checked and reviewed by our local expert
Maxence Toulouse 🇫🇷
General Manager of Iddyl Property
Is it smart to buy now in France, or should I wait as of 2026?
Do real estate prices look too high in France as of 2026?
As of January 2026, French home prices remain stretched compared to fundamentals, sitting around 55% above their long-run trend according to the government's IGEDD/CGEDD benchmark, which means the "bubble-like" feeling has cooled but affordability is still a challenge.
One clear on-the-ground signal that supports this is that transaction volumes in France remain about 11% below their long-run normal, suggesting buyers are hesitant and many listings require price adjustments before they sell.
Another telling indicator is that the Notaires de France describe the current French property market as being in a "fragile recovery," which means sellers in many areas are accepting negotiations they would have rejected two years ago.
You can also read our latest update regarding the housing prices in France.
Does a property price drop look likely in France as of 2026?
As of January 2026, the likelihood of a meaningful property price decline in France over the next 12 months is low to medium, with a full crash appearing unlikely but continued softness possible in weaker micro-markets.
The plausible price change range for French property in 2026 is roughly minus 2% to plus 2% nationally, though some oversupplied areas or energy-inefficient homes could see drops of 5% or more.
The single most important factor that would increase the odds of a price drop in France is a renewed spike in mortgage interest rates, since higher borrowing costs directly reduce what buyers can afford to pay.
This factor is unlikely to materialize sharply in the next months because rates have already stabilized from their 2023 peak and the European Central Bank's direction suggests steady or easing conditions rather than aggressive tightening.
Finally, please note that we cover the price trends for next year in our pack about the property market in France.
Could property prices jump again in France as of 2026?
As of January 2026, the likelihood of a renewed nationwide price surge in France is low, though select sub-markets could still see meaningful gains.
The plausible upside price change range for the strongest French micro-markets is around 3% to 6% nominal in 2026, particularly in transit-adjacent areas and prime city neighborhoods with deep buyer pools.
The single biggest demand-side trigger that could drive prices to jump again in France is a meaningful drop in mortgage rates, since even a 0.5 to 1.0 percentage point decline significantly expands purchasing power for buyers.
Please also note that we regularly publish and update real estate price forecasts for France here.
Are we in a buyer or a seller market in France as of 2026?
As of January 2026, the French property market leans toward buyers, meaning you have more negotiation room than during the boom years, though prime neighborhoods in Paris and Lyon still favor sellers.
Transaction activity in France sits at roughly 89% of its long-run normal level, which typically translates to around 5 to 7 months of inventory in most markets and gives buyers meaningful leverage to negotiate on price and conditions.
The share of French property listings requiring price reductions has increased compared to 2021, and the Notaires describe the market as a "fragile recovery," which confirms that many sellers are willing to accept offers below their initial asking price.
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.
Are homes overpriced, or fairly priced in France as of 2026?
Are homes overpriced versus rents or versus incomes in France as of 2026?
As of January 2026, French homes appear moderately overpriced when comparing purchase costs to both rents and incomes, though the degree varies significantly between Paris and provincial cities.
The price-to-rent ratio in France suggests that gross rental yields for standard apartments typically range from 3% to 5%, and when yields drop closer to 2% to 3%, you're generally paying a premium for scarcity or prime location rather than cashflow.
The price-to-income multiple in France remains elevated above historical norms, with IGEDD/CGEDD data showing prices still well above their long-run trend even after the 2023 to 2024 correction, which confirms that affordability is stretched for typical French households.
Finally please note that you will have all the indicators you need in our property pack covering the real estate market in France.
Are home prices above the long-term average in France as of 2026?
As of January 2026, French home prices are clearly above their long-term average, sitting around 55% higher than the historical trend according to the most authoritative government benchmark.
The recent 12-month price change in France has been modest, with national prices roughly flat after the 2023 to 2024 correction, which is slower than the rapid appreciation seen in the pre-pandemic years.
When adjusting for inflation, French real property prices have come down from their 2022 peak but remain elevated compared to earlier cycles, meaning buyers today are still paying more in purchasing power terms than during previous market bottoms.
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What local changes could move prices in France as of 2026?
Are big infrastructure projects coming to France as of 2026?
As of January 2026, the biggest infrastructure project affecting French property prices is the Grand Paris Express, a massive new metro network that is already reshaping values around future station areas in Île-de-France.
The Grand Paris Express timeline includes stations already opening and more lines completing through 2030, with neighborhoods like Saint-Denis Pleyel, Villejuif, Vitry-sur-Seine, Aubervilliers, and Bagneux seeing anticipation pricing effects today and likely stronger gains as connectivity improves.
For the latest updates on the local projects, you can read our property market analysis about France here.
Are zoning or building rules changing in France as of 2026?
The most important rule change affecting French property is not classic zoning but the "Zero Net Artificialization" (ZAN) policy, which restricts new land development and will gradually reduce greenfield supply over the coming years.
As of January 2026, the combined effect of ZAN constraints and tightening energy performance requirements is likely to support prices for well-located, already-built, energy-efficient homes while creating downward pressure on unrenovated properties with poor energy ratings.
The areas most affected by these rule changes in France are suburban and semi-rural zones where new construction was previously easy, as well as older urban apartment buildings that now face rental restrictions if they don't meet minimum energy standards.
Are foreign-buyer or mortgage rules changing in France as of 2026?
As of January 2026, France is not implementing major new foreign-buyer restrictions, and the main rule pressure on property demand continues to come from mortgage lending criteria rather than nationality-based limits.
France remains relatively open to foreign buyers compared to some European markets, with no outright bans or punitive taxes being seriously considered, though non-resident buyers still face practical hurdles like stricter bank documentation requirements and higher down payment expectations.
The most impactful mortgage rule in France continues to be the macro-prudential guidance limiting debt-to-income ratios to around 35% (including insurance) and loan terms to generally 25 years, which directly constrains how much buyers can borrow regardless of property prices.
You can also read our latest update about mortgage and interest rates in France.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in France versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
Will it be easy to find tenants in France as of 2026?
Is the renter pool growing faster than new supply in France as of 2026?
As of January 2026, renter demand in France is outpacing new rental supply in most major urban markets, primarily because new construction has been weak while tighter mortgage access has pushed would-be buyers into renting instead.
The clearest signal of renter demand in France comes from household formation in job-growth cities like Paris, Lyon, Bordeaux, Nantes, and Toulouse, where population inflows and young professionals consistently seek rental housing.
Meanwhile, the pace of new rental completions in France has been the weakest link in the market, with SDES data showing the new-build sector is significantly underperforming, which creates future scarcity especially in high-demand metropolitan areas.
Are days-on-market for rentals falling in France as of 2026?
As of January 2026, days-on-market for rental properties in France vary widely by location, with rentals in high-demand neighborhoods of Paris, Lyon, and Bordeaux often finding tenants within days while weaker areas can take several weeks.
The difference in rental absorption speed across France is stark: prime neighborhoods like Batignolles and Le Marais in Paris, Presqu'île in Lyon, or Chartrons in Bordeaux typically see rentals leased almost immediately, while peripheral or less connected areas experience noticeably longer vacancy periods.
One common reason days-on-market falls quickly in France's strongest rental markets is the combination of tight supply from weak new construction and sustained demand from young professionals and students concentrated in major employment centers.
Are vacancies dropping in the best areas of France as of 2026?
As of January 2026, vacancy rates in France's best rental neighborhoods like central Paris arrondissements, Lyon's Presqu'île, Bordeaux's Chartrons, and Nantes' Île de Nantes remain very low and are either stable or tightening as renovated, energy-compliant units get absorbed quickly.
The vacancy rate in these prime French areas is significantly lower than the national average, often below 2% to 3%, while weaker or less connected locations can see vacancies two to three times higher.
One practical sign that France's best rental areas are tightening first is the growing premium that energy-efficient properties command: landlords with well-rated, renovated units report near-instant tenant interest while those with poor energy ratings struggle even in otherwise desirable locations.
By the way, we've written a blog article detailing what are the current rent levels in France.
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Am I buying into a tightening market in France as of 2026?
Is for-sale inventory shrinking in France as of 2026?
As of January 2026, for-sale inventory in France is not uniformly shrinking, with the clearer national signal being that transaction volumes remain below their long-run trend rather than a clean inventory squeeze happening everywhere.
Months-of-supply in France likely sits in the 5 to 7 month range in most markets, which is closer to balanced than tight, though prime neighborhoods in Paris and Lyon feel noticeably scarcer while weaker areas have sticky listings that linger.
The main reason inventory feels constrained in France's strongest markets is that new construction has been the weakest link, with permits and starts down significantly, limiting the flow of fresh properties onto the market.
Are homes selling faster in France as of 2026?
As of January 2026, homes in France are selling faster than during the worst of the 2023 rate shock but still slower than during the 2021 boom, with median time-to-sell varying significantly between prime urban areas and weaker markets.
Compared to last year, selling times in France have improved modestly as financing conditions stabilized, but volumes remain below the long-run normal, which means this is not yet a "homes fly off the shelf" environment.
Are new listings slowing down in France as of 2026?
As of January 2026, we don't have perfect visibility on year-over-year new listing counts for France, but the strongest measurable signal is that new construction completions remain significantly depressed, which will eventually feed into tighter resale inventory.
France typically sees seasonal listing patterns with spring and early fall being the busiest periods, and the current level of new construction activity suggests the pipeline of eventual resale properties will remain constrained for years.
The most plausible reason new listings are limited in France is a combination of seller caution after the rate shock, low household mobility, and the difficulty of trading up when mortgage rates are higher than what existing owners locked in previously.
Is new construction failing to keep up in France as of 2026?
As of January 2026, new construction in France is clearly failing to keep up with household demand, with the new-build sector described by official sources as the most degraded part of the housing market.
The recent trend in French building permits and housing starts shows significant weakness, with completions running well below what growing metropolitan areas need to absorb population inflows and household formation.
The biggest bottleneck limiting new construction in France is a combination of higher financing costs for developers, tighter land availability due to the Zero Net Artificialization policy, and regulatory complexity that slows the permitting process.
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.
Will it be easy to sell later in France as of 2026?
Is resale liquidity strong enough in France as of 2026?
As of January 2026, resale liquidity in France is adequate overall but uneven, with well-located and energy-efficient homes selling reasonably quickly while unrenovated properties in weaker areas can sit on the market for months.
The median days-on-market for resale homes in France's major cities is typically in the 60 to 120 day range for properly priced properties, which is slower than during the boom but still indicates a functioning market rather than a frozen one.
The property characteristic that most improves resale liquidity in France right now is energy performance: homes with good energy ratings in neighborhoods like Saint-Germain-des-Prés in Paris, Presqu'île in Lyon, or Chartrons in Bordeaux find buyers much faster than those facing costly renovation requirements.
Is selling time getting longer in France as of 2026?
As of January 2026, selling times in France are longer than during the 2021 boom but have improved from the worst point of the rate shock, with properties now typically taking 60 to 150 days to sell depending on location and pricing accuracy.
The median days-on-market in France currently shows a wide range, from under 60 days for well-priced properties in prime Paris or Lyon neighborhoods to over 120 days in less liquid provincial markets or for overpriced listings.
One clear reason selling time lengthens in France is affordability pressure from still-elevated prices combined with mortgage constraints, which means buyers take longer to qualify and sellers must be realistic about pricing to avoid extended marketing periods.
Is it realistic to exit with profit in France as of 2026?
As of January 2026, the likelihood of selling a French property with profit is medium to high if you hold for 5 to 10 years in a liquid area, but much less certain for short holds of 1 to 3 years given the current flat price environment.
The minimum holding period in France that most often makes exiting with profit realistic is around 5 years, which gives enough time for modest price appreciation to overcome transaction costs and any market volatility.
The total round-trip cost drag in France, including notary fees, agency commissions, and potential taxes, typically runs around 10% to 15% of the property value, or roughly 25,000 to 75,000 euros (about 27,000 to 81,000 USD) on a typical 250,000 euro purchase.
The factor that most increases profit odds in France right now is buying well through negotiation, since the current buyer-leaning market allows you to secure discounts of 5% to 10% off asking prices in many areas, which effectively gives you a head start on future gains.
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What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about France, we always rely on the strongest methodology we can, and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| INSEE | Official French national statistics office with transaction-based data. | We used INSEE data to anchor what French property prices are actually doing. We treated it as the baseline and cross-checked it against other datasets. |
| Notaires de France | National notary network aggregating all notarized property transactions. | We used their market notes for recent transaction volumes and turning points. We cross-validated price and volume direction with other official sources. |
| Banque de France | Central bank with official, repeatable methodology on mortgage lending rates. | We used it to ground borrowing conditions with hard data. We linked rate changes to affordability pressure and demand scenarios. |
| IGEDD/CGEDD | Government inspection body compiling long-run price and valuation data. | We used it to judge whether French prices are above or below long-term trend. We relied on their triangulated indicators for volumes and affordability. |
| SDES | Official statistical service of the French Ministry for housing and construction. | We used it to anchor supply-side reality including new builds, permits, and starts. We cross-checked the construction pipeline against demand signals. |
| Eurostat | EU statistical office with standardized housing price methodology across countries. | We used it as an external consistency check on France's price direction. We avoided interpretation errors by comparing French data to EU-wide patterns. |
| OECD Housing Database | Trusted international comparator for valuation ratios and affordability metrics. | We used it to understand how affordability typically behaves around market turning points. We cross-checked whether France's path fits broader patterns. |
| BIS Data Portal | Bank for International Settlements compiles housing indicators used by central banks. | We used it as a robustness check for France's real price direction. We sanity-checked local market commentary against international benchmarks. |
| FRED / St. Louis Fed | Transparent distributor of BIS-based real house price series. | We used it as a quick reference for real price direction into 2025. We treated it as supportive evidence alongside primary French sources. |
| Société du Grand Paris | Delivery authority for France's largest urban rail expansion project. | We used it to identify where infrastructure is most likely to affect local property values. We translated station locations into neighborhood-level examples. |
| Service-public.fr | Official French government guidance portal reflecting enacted rules. | We used it to avoid misstating landlord, tenant, and housing compliance changes. We cross-checked energy performance rules against official pages. |
| Legifrance | Official repository for French laws, decrees, and regulations. | We used it to anchor any claim about rules changing, especially energy efficiency and rental restrictions. We treated it as the final arbiter when sources differed. |
| Meilleurs Agents | Large established portal with consistent index methodology and frequent updates. | We used it to complement official indices with near-real-time market temperature. We cross-checked it against Notaires and INSEE to avoid mistaking listings for transactions. |
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of France. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.