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What will happen in Marseille’s real estate market? Will prices go up or down? Is Marseille 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 Marseille, 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.
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1) Rental yields in the city center will rise as short-term rental demand increases
Rental yields in Marseille's city center are on the rise as more people look for short-term rentals.
Every year, 5 million tourists flock to Marseille, boosting the demand for short-term stays. This influx means short-term rentals have an impressive 65% occupancy rate, much higher than long-term rentals. For property owners, this spells opportunity and profit.
By September 2024, Airbnb listings in Marseille hit 11,638, showing a clear interest from both property owners and travelers. With an average daily rate of €86, short-term rentals in the city center are proving to be quite profitable.
Marseille's charm, with its sunny weather and stunning coastline, keeps drawing visitors. This, along with the trend of urban living, makes city-center short-term rentals even more appealing. Investors are catching on, seeing the potential in these properties.
As Marseille continues to grow as a tourist hotspot, the demand for short-term rentals is expected to climb. This trend is not just about tourism; it's also about the lifestyle and convenience of city-center living.
With more investors eyeing this market, the interest in city-center properties for short-term rentals is set to increase. The combination of high demand and attractive returns makes this a promising venture.
Sources: GuestReady, Airbtics, Insee
2) Rental demand in coastal areas will rise as tourism increases
In recent years, Marseille has seen a significant rise in tourism, which has positively impacted the rental market in coastal areas.
For instance, the number of active Airbnb listings in Marseille increased to 11,638 by September 2024, reflecting a growing short-term rental market. This growth is supported by a high occupancy rate of 65%, indicating strong demand for rental properties from tourists.
Additionally, the average annual revenue for a typical host in Marseille is €19,000, showcasing the profitability of short-term rentals in tourist-heavy areas. The city's infrastructure improvements, such as the tramway extension, further enhance its appeal to tourists, contributing to the increased demand for coastal accommodations.
Moreover, media coverage highlighting Marseille as a captivating tourist destination adds to its popularity, drawing more visitors and boosting the rental market. These factors combined suggest that the rental market in coastal areas like Marseille will continue to thrive due to increased tourism.
Sources: Insee, Airbtics, CINEA, Economic Times
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.
3) Mid-range property prices will stay stable with slight ups and downs
The market for mid-range properties in Marseille is expected to remain stable with minor fluctuations due to several key factors.
Firstly, the employment rates in Marseille have shown a degree of stability, with unemployment remaining below 17 percent since 2018. This stability in employment supports a steady property market as more people are likely to afford homes. Additionally, the consistent population growth, with a 0.5% annual increase, suggests a resilient market with ongoing demand for housing.
Moreover, historical property prices indicate some fluctuations but overall stability. For instance, while the median sale price of a home increased by 15.6% in 2024, the price per square foot decreased, showing minor fluctuations but not drastic changes. Low interest rates also play a crucial role by making borrowing more affordable, encouraging property purchases and supporting market stability.
Furthermore, local economic indicators, such as urban renewal projects in areas like Le Panier and Vieux-Port, are expected to enhance neighborhoods, potentially increasing property values and maintaining market interest. These factors collectively contribute to a stable mid-range property market in Marseille.
Sources: Redfin, Statista, World Population Review
4) Property prices in Marseille will keep rising because demand is growing faster than supply
In recent years, Marseille has experienced a notable increase in residential property prices, and this trend is expected to continue. In November 2024, the median sale price of a home in Marseille was $191K, marking a 15.6% increase from the previous year. This consistent rise in property prices reflects a strong demand for housing in the city.
One of the key factors driving this demand is the growing population and urbanization in Marseille. The city's population increased by 8,160 people last year, contributing to a higher demand for residential properties. With an urban population of over 1.58 million, the need for housing continues to rise as more people choose to live in this vibrant city.
On the supply side, the availability of land for new developments in Marseille is limited. Specific plots, such as those in the 7th and 12th districts, are rare and highly sought after, highlighting the scarcity of land. This limited supply of land makes it challenging to meet the growing demand for housing, further driving up property prices.
Sources: Redfin, World Population Review, Le Figaro Properties
5) Property prices in Prado and Périer will rise as more wealthy individuals move in
In recent years, the southern neighborhoods of Prado and Périer in Marseille have become increasingly attractive to high-net-worth individuals. This trend is largely due to the rising property prices driven by limited housing stock and the growing demand for prime properties in central Marseille. The forecasts from 2023 and 2024 indicated that these areas would see significant price increases, and this has indeed been the case.
Luxury real estate sales have been a key indicator of this trend. For instance, in 2024, a luxury apartment in a Haussmannian building in Prado-Périer was sold for a substantial €1,568,900. Such high-value transactions highlight the area's appeal to affluent buyers. Additionally, new developments and renovations, like the two-level apartment in Périer with a landscaped garden and heated pool, offer superb space and high-end amenities, further driving up demand and prices.
Moreover, the influx of high-net-worth individuals is supported by the region's Mediterranean allure, which combines charm, accessibility, and economic opportunity. The presence of high-end retail and dining options in these neighborhoods also plays a significant role, making them more fashionable and desirable. Media coverage has consistently highlighted these aspects, emphasizing the luxury developments and strategic locations that attract wealthy buyers.
Sources: Le Figaro Properties, Adrian Leeds, Barnes Marseille
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6) Property values in the 3rd arrondissement will rise as it becomes a tech startup hub
The 3rd arrondissement in Marseille is set to become a hotspot for tech startups, leading to a rise in property values.
One major reason for this is the increased investment in tech infrastructure. For example, the American tech accelerator Plug and Play has launched an international Artificial Intelligence Center of Excellence in Marseille. This move is part of their strategy to expand in France and aims to boost innovation in the South, especially in the 3rd arrondissement.
The area is also seeing a growing number of tech startups. Take Syroco, a software platform based in Marseille, which recently raised €7.50 million in a Series A funding round. This shows a strong interest in the tech sector here, which could lead to higher property values.
Government incentives are another draw for tech startups. The French government's Mission French Tech supports a network of 115 structures labeled French Tech, including those in Marseille. This initiative is designed to mobilize innovation players and align with local priorities, potentially attracting more startups to the 3rd arrondissement.
Plug and Play's AI Center of Excellence is expected to create more job opportunities in the tech sector within the arrondissement. This will likely attract both talent and investment, further driving up property values. Media coverage of events like the Plug and Play networking evening in Marseille highlights the area's potential as an emerging tech district, drawing attention from both local and international investors.
With these developments, the 3rd arrondissement is becoming a magnet for tech talent and investment, setting the stage for a vibrant tech community.
Sources: French Tech, Invest in Provence, French Tech Journal
7) Property values in the 15th arrondissement will rise gradually as better infrastructure improves accessibility
The 15th arrondissement in Marseille is set to see a rise in property values due to key infrastructure upgrades.
One exciting development is the transformation of an old industrial area into Bougainville Park. This park now boasts sports facilities, picnic spots, cycle paths, and playgrounds, making it a magnet for families and anyone seeking leisure activities. Plus, it cleverly manages rainwater to reduce flood risks, adding to the neighborhood's charm.
Another game-changer is the expansion of Marseille's tram network. With 15 new trams on the way and additional lines being introduced, the 15th arrondissement is becoming much easier to reach. This improved public transport means residents can commute with ease, and visitors can explore more freely, sparking interest in local real estate.
Government backing for urban renewal projects is also a big plus. The redevelopment of Bougainville Park and nearby areas, including a new gymnasium and work on the Aygalades stream, shows a strong push to revitalize the neighborhood. Such efforts often lead to higher property values as they enhance living conditions and draw in new businesses and residents.
These changes are making the 15th arrondissement a more attractive option for potential buyers and investors. The combination of recreational spaces, better transport, and urban renewal is setting the stage for a property market boost.
As these projects unfold, the area is likely to see a steady increase in interest and investment, making it a promising spot for those looking to buy property in Marseille.
Sources: Una City, Sustainable Bus, Adrian Leeds
8) More British buyers will look for properties in the EU after Brexit
British buyers are increasingly interested in EU properties, especially in France, as seen in 2023 and 2024.
French real estate agencies have noticed a significant rise in inquiries from British buyers. Even though there was a dip between 2020 and 2021, changes in French law have helped stabilize the market. British buyers still make up a large portion of foreign property purchasers in France.
Regions like Creuse and Alpes-Maritimes are seeing more property purchases by non-resident foreigners. British buyers are particularly attracted to these areas for their affordable prices and beautiful landscapes. This trend is part of a larger movement among British nationals seeking EU residency or citizenship.
In fact, there's been a notable increase in residence permit applications from British citizens in France post-Brexit. This aligns with the growing interest in living in the EU, driven by the desire for a better quality of life or a more favorable climate.
Real estate agents in cities like Marseille report a surge in British expatriates moving to France. These moves are often motivated by the search for a more relaxed lifestyle and the appeal of the French way of life.
Media reports and anecdotal evidence support this trend, highlighting the increasing demand for properties in regions popular with British buyers. The number of British buyers is expected to continue rising as they seek new opportunities in the EU.
Sources: Long Term Rentals in France, Wikipedia, Bird & Co
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.
9) Affordable housing initiatives will boost mixed-income developments
Government initiatives to promote affordable housing have been instrumental in fostering mixed-income developments. In the past, specifically in 2023 and 2024, increased government funding played a crucial role. For instance, Action Logement, a fund dedicated to workforce housing, was heavily involved in subsidized affordable housing operations, which often included a mix of affordable and market-rate units.
Moreover, the Public Investment Bank, known as the Caisse des Depots et Consignations, provided low-cost loans to finance public housing projects. This stable funding source allowed for the development and management of public housing, contributing to the rise of mixed-income neighborhoods. In Marseille, urban renewal efforts managed by EUROMEDITERRANÉE focused on revitalizing neighborhoods with mixed-income housing, further supporting this trend.
Additionally, government policies mandating a percentage of affordable units in new developments ensured that mixed-income housing became a standard practice. Programs like the PLA-I, which involved subsidized loans with very low interest rates, guaranteed that a significant portion of new housing developments included affordable units. This approach not only reduced housing inequality but also promoted economic stability by attracting a diverse range of residents.
10) More foreign buyers will invest in Marseille due to its strategic location and attractive lifestyle
Marseille is becoming a hotspot for foreign buyers thanks to its strategic location and appealing lifestyle.
With over 130 nonstop destinations from Marseille Provence Airport, the city is now more accessible than ever. This makes it a convenient hub for international travelers and investors, drawing in those who value easy connections. The airport's expansion is a game-changer, positioning Marseille as a key player in global travel.
Marseille's Mediterranean climate and vibrant culture are big draws for those seeking a high quality of life. The city often ranks high in lifestyle surveys, attracting people who want more than just a place to live. The growing expatriate community, especially from Armenia, shows that Marseille is becoming a preferred choice for many.
Recent upgrades in safety and infrastructure, like the modernization of the Marseille Metro, have made the city even more appealing. These improvements, along with significant investments in the airport, are turning Marseille into a magnet for foreign investors. The buzz around the city as an emerging hotspot for tourism and living is hard to ignore.
Media coverage is painting Marseille as a rising star, and it's not just talk. The city's strategic location on the Mediterranean coast offers a unique blend of business opportunities and lifestyle perks. This combination is increasingly catching the eye of international buyers looking for both investment and enjoyment.
Foreign buyers are likely to target Marseille more in the future, drawn by its strategic advantages and lifestyle appeal. The city's transformation is well underway, making it a prime spot for those looking to invest in a vibrant and accessible location.
Sources: Aviation Week, Columbia Threadneedle, Parsons
11) Demand for rentals near universities will rise as the student population grows
The student population in Marseille is expected to grow, leading to increased demand for rental properties near universities. Aix-Marseille Université (AMU) currently hosts 80,000 students, including 12,000 international students, and this number is anticipated to rise as the university continues to be a major educational hub in the region.
AMU's ambitious vision for 2030, which emphasizes innovation and interdisciplinarity, aims to attract more students and enhance its academic offerings. Additionally, the university's involvement in the CIVIS Alliance suggests ongoing efforts to draw international students, further boosting enrollment numbers.
Marseille's population has grown by 8,160 in the last year, indicating a younger population influx that could support the growth of the student population. The average rent for student accommodation in Marseille is €530, with a high demand for individual studios or shared flats near universities, reflecting the dynamic rental market.
Sources: CIVIS Alliance, Studapart, World Population Review
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12) Northern districts will stay undervalued, providing opportunities for investors looking for long-term growth
The northern districts in Marseille have always been a bit of a hidden gem when it comes to property investment.
While other areas have seen rapid price hikes, these districts offer higher rental yields, making them a smart choice for those eyeing long-term growth. In 2024, you could rent a studio for €562 or a 1-bedroom for €727, which is quite appealing for investors.
What's interesting is the younger crowd moving into these areas. This shift often means more demand for housing and commercial spaces, hinting at a vibrant future. Plus, Marseille's urban development plans, like the Euroméditerranée project, are already making waves, boosting growth and influence.
Transport is getting a facelift too, with new tram lines and better connectivity making these districts more accessible. This is a big deal for attracting both residents and businesses, setting the stage for long-term growth.
Experts are buzzing about the potential for gentrification and economic growth here. These neighborhoods are increasingly seen as having hidden treasures, waiting to be discovered.
Sources: Wunderflats, Invest in Provence
13) Property prices in coastal areas will rise as climate change makes them more attractive for their mild weather
In recent years, we've seen a noticeable shift in how people view coastal areas, especially those with mild climates. As climate change continues to impact weather patterns, these regions are becoming more attractive to potential buyers. This is largely because they offer a more stable and pleasant climate compared to areas that might be experiencing more extreme weather conditions.
For example, in places like Beaulieu-sur-Mer and Antibes in France, property prices are already quite high. This is partly due to their beautiful sea views and mild weather, which are increasingly sought after. In Beaulieu-sur-Mer, a house can cost around 15,000 euros per square meter, highlighting the premium people are willing to pay for such desirable locations.
Moreover, the concept of climate gentrification is becoming more prevalent. In cities like Miami, properties at higher elevations are seeing a surge in demand and price. This trend indicates that people are not only looking for beautiful coastal areas but also those that offer some protection against climate-related risks.
Sources: Tranio, University of Hawaiʻi News, Embrace Home Loans Blog
14) Rental yields in suburban areas will drop as more people choose to live in cities
In recent years, we've seen a noticeable shift in where people want to live, especially in places like Marseille. More and more people are choosing to live in the city rather than the suburbs. This trend is having a big impact on rental yields in suburban areas.
One of the main reasons for this shift is the rising property prices in Marseille's city center. As of 2023 and 2024, the average price per square meter for an apartment in the city center was around €3,500, and for a house, it was about €4,500. These prices have been climbing because there's a growing demand for properties in historic districts and areas near the sea. People are drawn to the authenticity and convenience of these urban spaces.
Additionally, Marseille has been experiencing population growth, partly due to domestic migration and international immigration. This influx of new residents is attracted by the city's vibrant lifestyle and economic opportunities. The city's population is now approximately 900,000, making it the second most populated city in France after Paris. This demographic change is further fueling the demand for urban living spaces.
Another factor contributing to the decline in suburban rental yields is the improved public transportation and infrastructure in the city. Projects like the ETNS1 tramway extension have made it easier for people to get around without relying on private cars. This makes city living more appealing, as residents can enjoy efficient public transportation and the benefits of a well-connected urban environment.
Sources: Green Acres, CINEA, KMM Realty
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.
15) Rental yields will rise in new areas as young professionals move in
Rental yields in newly developed areas are likely to keep increasing as they attract young professionals for several reasons. First, property prices in these areas have been rising, which often correlates with higher rental yields. For example, in Marseille, the average cost of a studio apartment in the 10ème district is €88,000, reflecting a trend of increasing property values.
Moreover, there is a strong demand for rental properties among young professionals. This is evident in the 7.66% gross rental yield for studio apartments in the same district, indicating that young professionals are actively seeking rental options in these areas. The influx of young professionals is further supported by Marseille's growing economy, which offers employment opportunities in sectors that appeal to this demographic, such as the creative industries.
Additionally, newly developed areas in Marseille are equipped with improved infrastructure and amenities, such as co-working spaces and startups, which are particularly attractive to young professionals. This trend is not unique to Marseille; other cities like Montpellier have also experienced growth in these areas, suggesting a broader pattern that could continue to drive rental yields upward.
Sources: Global Property Guide, Wunderflats, The Luxury Playbook
16) Property prices in the Euroméditerranée area will rise significantly due to urban renewal projects
The Euroméditerranée area in Marseille has been experiencing a significant transformation due to ongoing urban renewal projects. This transformation has led to rising property prices in adjacent areas, such as the first and second arrondissements, which have seen substantial increases in property values. These areas are near the Vieux-Port and are highly sought after, indicating a trend that is likely to continue in the Euroméditerranée area itself.
One of the key factors driving this change is the increased investment in infrastructure and public amenities. The Euroméditerranée project has significantly boosted the growth of the Aix-Marseille-Provence area, with major redevelopment work along the seafront and in districts like La Joliette and Belle de Mai. This has made the area more attractive to both residents and businesses, further driving up property demand and prices.
Additionally, the Euroméditerranée initiative is a national interest project supported by the Investissements d’Avenir investment program. It aims to attract 30,000 additional residents and 20,000 new jobs, which will likely increase demand for housing and contribute to rising property prices. The area's growing reputation as a cultural and artistic center, along with improved transportation links and accessibility, also plays a crucial role in attracting a younger, dynamic population.
Sources: Invest in Provence, Green Acres, Michael Zingraf
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.