What are the price trends and forecasts in France right now? (January 2026)

This article covers current housing prices in France, recent price trends, and our forecasts for where property values are headed in 2026 and beyond.

We constantly update this blog post with the latest data from official French sources like INSEE and the Notaires de France, so you always have accurate and timely information.

Whether you are buying your first home or investing in rental property, understanding France's property market will help you make smarter decisions.

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.

Fact-checked and reviewed by our local expert

✓✓✓

Maxence Toulouse 🇫🇷

General Manager of Iddyl Property

Maxence, the general manager of Iddyl Property, is a true expert in the French real estate market and always stays up to date with the latest trends. Iddyl Property specializes in helping non-residents find their ideal property in France, managing the entire process from search to purchase. With partnerships across 25,000 agencies, they offer unmatched access to top opportunities. Our talk with him helped us go back to the blog post, improve some details, and bring in his personal touch.

Who is the author of this content?

INVESTROPA

A team specialized in real estate investing in European countries

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in France. If you’d like to learn more about us, you can check our presentation page.

What are the current property price trends in France as of 2026?

What is the average house price in France as of 2026?

As of January 2026, the average home price in France is approximately 270,000 euros (around 318,000 USD), though the median price sits lower at about 240,000 euros (283,000 USD) because luxury properties in Paris and the French Riviera push the average higher.

When looking at price per square meter, French property averages around 3,140 euros per square meter (about 3,700 USD or 292 euros per square foot), with apartments commanding higher prices at 3,910 euros per square meter and houses more affordable at 2,546 euros per square meter.

To understand what most buyers actually pay in France in 2026, the realistic price range that covers roughly 80% of property purchases spans from 120,000 to 450,000 euros (about 141,000 to 530,000 USD), with entry-level options starting around 80,000 to 120,000 euros for small apartments in regional cities.

How much have property prices increased in France over the past 12 months?

Property prices in France have increased by approximately 0.5% to 1% over the past 12 months, making 2025 a year of stabilization rather than significant growth or decline.

The range of price changes varies by property type, with apartments in France rising around 0.7% while houses stayed essentially flat at 0% to 0.3%, reflecting stronger demand for urban living and well-connected locations.

The single most significant factor behind this modest price movement in France was the stabilization of mortgage rates, which fell from peaks above 4% to around 3% by late 2025, helping buyers regain purchasing power without triggering a new price surge.

Which neighborhoods have the fastest rising property prices in France as of 2026?

As of January 2026, the neighborhoods with the fastest rising property prices in France include Saint-Ouen and Pantin in the Grand Paris area, Lyon's Part-Dieu and Confluence districts, and Marseille's Euromediterranee corridor near Joliette.

These top-performing neighborhoods in France are experiencing annual price growth of approximately 3% to 5%, significantly outpacing the national average of under 1%, with some micro-markets near new metro stations seeing even stronger gains.

The main demand driver behind these fast-rising neighborhoods is improved transport connectivity, particularly from the Grand Paris Express metro project, combined with urban regeneration programs that attract young professionals seeking affordable alternatives to central Paris or Lyon.

By the way, you will find much more detailed price ranges across neighborhoods in our property pack covering the real estate market in France.

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.

Which property types are increasing faster in value in France as of 2026?

As of January 2026, the ranking of property types by value appreciation in France places well-located apartments first, followed by townhouses in inner suburbs, then energy-efficient houses, with large detached houses needing renovation at the bottom.

The top-performing property type in France, which is apartments in major job markets, has appreciated by approximately 0.7% to 1.5% annually, outperforming the national average because financing constraints favor smaller, more affordable units.

The main reason apartments are outperforming other property types in France is that mortgage rates around 3% make monthly payments more manageable for smaller purchases, and urban apartments near transit offer the liquidity and rental demand that buyers and investors prioritize.

Finally, if you're interested in a specific property type, you will find our latest analyses here:

• How much do properties cost in France?
• How much should you pay for a house in France?
• How much should you pay for lands in France?

What is driving property prices up or down in France as of 2026?

As of January 2026, the top three factors driving property prices in France are mortgage rates and credit availability, transaction volume recovery after the 2023-2024 slowdown, and supply constraints in prime urban locations.

The single factor with the strongest upward pressure on French property prices is the stabilization of mortgage rates around 3%, which has allowed buyers to return to the market and compete for limited inventory in desirable neighborhoods.

If you want to understand these factors at a deeper level, you can read our latest property market analysis about France here.

What is the property price forecast for France in 2026?

How much are property prices expected to increase in France in 2026?

As of January 2026, property prices in France are expected to increase by approximately 1% to 2% over the calendar year, representing a modest recovery rather than a return to the rapid growth of earlier years.

The realistic range of forecasts from different analysts for French property price growth in 2026 spans from a downside scenario of -1% to 0% if confidence weakens, to an upside scenario of 2% to 4% if mortgage rates continue falling.

The main assumption underlying most price increase forecasts for France is that mortgage rates will remain stable or decline slightly, allowing transaction volumes to continue recovering without triggering either a price surge or a sharp correction.

We go deeper and try to understand how solid are these forecasts in our pack covering the property market in France.

Which neighborhoods will see the highest price growth in France in 2026?

As of January 2026, the neighborhoods expected to see the highest price growth in France include Grand Paris inner suburbs like Saint-Ouen, Pantin, and Montreuil, Lyon's Part-Dieu and Confluence areas, and Marseille's Euromediterranee district.

The projected price growth for these top French neighborhoods in 2026 ranges from 3% to 5%, roughly double to triple the national average, driven by ongoing transport improvements and urban regeneration projects.

The primary catalyst driving expected growth in these neighborhoods is the Grand Paris Express metro project, which is connecting previously isolated suburbs to major employment hubs and cutting commute times by up to 50%.

One emerging neighborhood in France that could surprise with higher-than-expected growth is Ivry-sur-Seine near Paris, where the future Line 15 station, combined with relatively affordable prices, is attracting attention from buyers seeking value before connectivity improves.

By the way, we've written a blog article detailing what are the current best areas to invest in property in France.

What property types will appreciate the most in France in 2026?

As of January 2026, the property type expected to appreciate the most in France is well-located, energy-efficient apartments in major metropolitan areas, particularly two-bedroom and three-bedroom units near public transit.

The projected appreciation for this top-performing property type in France is approximately 1.5% to 2.5% in 2026, outperforming larger houses and renovation-heavy properties by a meaningful margin.

The main demand trend driving appreciation for apartments in France is the combination of tighter household budgets under current mortgage rates and growing preference for turnkey properties that require no immediate renovation work.

The property type expected to underperform in France in 2026 is large detached houses with poor energy ratings, because buyers increasingly discount these properties to account for mandatory renovation costs and higher energy bills.

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.

How will interest rates affect property prices in France in 2026?

As of January 2026, stabilized mortgage rates around 3% to 3.5% are supporting a gradual recovery in French property prices by restoring buyer purchasing power that was lost when rates peaked above 4% in 2023.

The current benchmark rate environment in France points to mortgage rates remaining between 3% and 3.5% for most of 2026, with the European Central Bank's policy direction suggesting modest easing is possible if inflation stays controlled.

When mortgage rates in France move by 1%, household borrowing capacity typically shifts by 8% to 10%, which translates directly into how much buyers can offer for properties and therefore puts upward or downward pressure on prices.

You can also read our latest update about mortgage and interest rates in France.

What are the biggest risks for property prices in France in 2026?

As of January 2026, the three biggest risks for property prices in France are a sudden increase in mortgage rates if inflation rebounds, political or fiscal uncertainty that damages buyer confidence, and rising unemployment that weakens household demand.

The single risk with the highest probability of materializing in France is a confidence shock from political uncertainty, as ongoing debates about housing policy, taxation, and budget constraints could cause buyers to delay major purchases.

We actually cover all these risks and their likelihoods in our pack about the real estate market in France.

Is it a good time to buy a rental property in France in 2026?

As of January 2026, buying a rental property in France can be a good decision if you focus on high-demand markets like Paris suburbs, Lyon, or university cities, and choose energy-efficient properties that attract quality tenants.

The strongest argument in favor of buying a rental property in France now is that prices have stabilized after the correction, mortgage rates are no longer rising, and rental demand remains strong in major cities where housing supply is structurally limited.

The strongest argument for waiting before buying a rental property in France is that transaction costs are high at 7% to 10% for existing properties, and if prices decline further or rates fall more, waiting could improve your entry point and cash flow.

If you want to know our latest analysis (results may differ from what you just read), you can read our assessment on whether now is a good time to buy a property in France.

You'll also find a dedicated document about this specific question in our pack about real estate in France.

Where will property prices be in 5 years in France?

What is the 5-year property price forecast for France as of 2026?

As of January 2026, cumulative property price growth in France over the next 5 years is expected to be approximately 10% to 15% in the base case scenario, representing a return to moderate, sustainable appreciation.

The range of 5-year forecasts for France spans from a conservative scenario of 0% to 5% total growth if economic conditions disappoint, to an optimistic scenario of 15% to 25% if interest rates fall significantly and confidence improves.

The projected average annual appreciation rate for French property over the next 5 years is approximately 2% to 3% per year, which is modest compared to the pre-2022 boom but healthy for long-term wealth building.

The key assumption most forecasters rely on for their 5-year property price predictions in France is that mortgage rates will gradually normalize toward 2.5% to 3%, allowing credit conditions to support steady demand without overheating.

Which areas in France will have the best price growth over the next 5 years?

The top three areas in France expected to have the best price growth over the next 5 years are the Grand Paris inner suburbs connected by new metro lines, Lyon's expanding business and regeneration districts, and select coastal cities like Nice and Montpellier with strong year-round demand.

The projected 5-year cumulative price growth for these top-performing areas in France ranges from 15% to 25%, roughly 5 to 10 percentage points above the national average, driven by transport improvements and job market strength.

This 5-year outlook differs from the shorter 2026 forecast mainly in magnitude rather than direction, as the same neighborhoods leading now will continue outperforming, but the cumulative gains become more meaningful over the longer horizon.

The currently undervalued area in France with the best potential for outperformance over 5 years is the northern Paris suburbs along the future Grand Paris Express Line 16 and 17, where prices remain affordable but connectivity will improve dramatically by 2030.

What property type will give the best return in France over 5 years as of 2026?

As of January 2026, the property type expected to give the best total return over 5 years in France is mid-sized apartments (two to four bedrooms) in major metropolitan areas, particularly those with good energy ratings and proximity to public transit.

The projected 5-year total return for this top-performing property type in France, combining capital appreciation and rental income, is approximately 25% to 35%, assuming rental yields of 3% to 4% per year plus price growth of 10% to 15%.

The main structural trend favoring apartments in France over the next 5 years is the continued shift toward urban living among younger households, combined with energy regulations that make efficient apartments more valuable relative to older, inefficient houses.

The property type offering the best balance of return and lower risk over 5 years in France is the T2 or T3 apartment in a strong rental market like Lyon, Bordeaux, or the Paris suburbs, where steady tenant demand provides income stability alongside moderate price appreciation.

How will new infrastructure projects affect property prices in France over 5 years?

The top three major infrastructure projects expected to impact property prices in France over the next 5 years are the Grand Paris Express metro expansion, the CDG Express train to Charles de Gaulle Airport, and high-speed rail improvements connecting secondary cities to Paris.

The typical price premium for properties near completed infrastructure projects in France ranges from 10% to 20% within five years of opening, with some neighborhoods near Grand Paris Express stations having already seen gains of up to 30%.

The specific neighborhoods that will benefit most from infrastructure developments in France include Villejuif, Saint-Denis-Pleyel, Bagneux, and Champigny-sur-Marne along the Grand Paris lines, as well as areas near new tramway and bus rapid transit corridors in Lyon and Marseille.

How will population growth and other factors impact property values in France in 5 years?

The projected population growth rate in France is approximately 0.2% to 0.3% per year, which will support modest housing demand growth, but the more impactful factor is household formation as more people live alone or in smaller family units.

The demographic shift that will have the strongest influence on property demand in France is the continued rise of single-person and two-person households, which is increasing demand for smaller apartments in urban areas rather than larger family houses.

Migration patterns, both domestic movement toward major job markets and international arrivals, are expected to support property values in France's largest cities like Paris, Lyon, and Toulouse, while some rural and small-town areas may see stable or declining demand.

The property types and areas that will benefit most from these demographic trends in France are compact apartments in university cities and major employment hubs, as well as accessible neighborhoods with good amenities that appeal to an aging population seeking convenience.

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.

What is the 10 year property price outlook in France?

What is the 10-year property price prediction for France as of 2026?

As of January 2026, cumulative property price growth in France over the next 10 years is expected to be approximately 15% to 30% in the base case scenario, reflecting long-term fundamentals rather than speculative gains.

The range of 10-year forecasts for France spans from a conservative scenario of 0% to 10% total growth if economic stagnation persists, to an optimistic scenario of 30% to 45% if interest rates normalize lower and real incomes grow steadily.

The projected average annual appreciation rate for French property over the next 10 years is approximately 1.5% to 2.5% per year, which is sustainable given historical cycles and income growth expectations.

The biggest uncertainty factor in making 10-year property price predictions for France is the long-term interest rate environment, because small changes in rates compound significantly over a decade and determine how much buyers can borrow.

What long-term economic factors will shape property prices in France?

The top three long-term economic factors that will shape property prices in France over the next decade are the interest rate regime set by the European Central Bank, real income growth and employment stability, and construction supply constraints in major metropolitan areas.

The single long-term economic factor that will have the most positive impact on French property values is sustained real income growth, because rising household purchasing power directly translates into ability to pay more for housing.

The single long-term economic factor that poses the greatest structural risk to French property values is a prolonged period of higher interest rates, because this would reduce borrowing capacity and force price adjustments across the entire market.

You'll also find a much more detailed analysis in our pack about real estate in France.

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 House Price Index	INSEE is France's official statistics office with transparent methodology.	We used it to track national price direction using transaction-based indices. We cross-checked it with notary data to translate index moves into real-world prices.
Notaires de France Annual Report	Built on notarized transactions, showing real prices paid.	We used it to validate what actually happened in sales and price direction by segment. We used its early 2026 signals to frame market stabilization.
SeLoger France Prices	One of France's largest property portals with consistent national coverage.	We used it for a practical "what buyers see" benchmark by property type. We treated it as asking-price oriented and triangulated with transaction sources.
Banque de France Credit Statistics	The central bank's mortgage-rate and credit-flow data is as reliable as it gets.	We used it to explain why prices moved based on credit cost and availability. We translated mortgage-rate levels into affordability pressure for buyers.
ECB Mortgage Rate Series	The ECB is the monetary authority with standardized European statistics.	We used it as an independent cross-check on mortgage-rate direction for France. We used it to avoid relying on any single national publication date.
European Commission France Forecast	A top-tier public forecaster with consistent methodology across EU countries.	We used it to anchor the 2026 macro backdrop including growth, inflation, and unemployment. We connected those macro variables to housing demand and buyer confidence.
FNAIM January 2026 Market Outlook	France's main real estate agent federation publishes structured market outlooks.	We used it to quantify the near-term 2026 scenario for transactions and price direction. We triangulated it against transaction-based sources to avoid industry optimism bias.
IGEDD Long-Run Price Series	Hosted by a French government inspectorate with long historical series.	We used it to put today's prices in long-run perspective based on cycles. We used it to frame 5 and 10 year outlooks as cycle-aware rather than guesswork.
OECD Housing Prices Indicators	The OECD standardizes cross-country housing indicators and affordability ratios.	We used it to benchmark France versus peers and discuss affordability. We used it as a sanity check on overvalued versus undervalued narratives.
Eurostat EU House Price Index	The EU statistical office provides clean comparison points across Europe.	We used it to compare France's trend to the euro area context. We used it to avoid treating France as a closed system when rates are European.
BIS Property Prices via FRED	BIS series are widely used for international property price comparisons.	We used it as a long-run cross-check on cycle timing. We used it to validate that our 10-year narrative matches historical volatility ranges.
SeLoger Paris Prices	Provides granular, local pricing signals at the district and street level.	We used it to illustrate fast versus slow micro-markets in Paris. We also used it to name specific high-priced and lower-priced neighborhoods.
SeLoger Lyon Prices	A major market page with enough listings volume to be informative.	We used it to anchor a major non-Paris benchmark for price per square meter. We used it to show how premium versus value streets behave inside one city.
Notaires de France Market Trends Hub	The main public-facing dashboard from the notary network.	We used it as a transaction-based cross-check against listing-based portals. We also used it to keep houses versus apartments grounded in real sales.
Global Property Guide France	Provides comprehensive market analysis with international comparisons.	We used it to verify market recovery signals and rental trends. We cross-referenced its analysis with official French sources.
INSEE Q2 2025 House Price Release	An official quarterly statistical release with transparent methodology.	We used it to anchor recent quarterly and year-on-year dynamics. We compared it with other sources to avoid overreacting to a single quarter.