Authored by the expert who managed and guided the team behind the France Property Pack
Yes, the analysis of the South of France's property market is included in our pack
Thinking about buying property in the South of France but not sure if now is the right moment?
You're not alone, and the good news is that we've gathered the latest data on housing prices in the South of France to help you decide.
This blog post is constantly updated so you always have fresh information at your fingertips.
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 the South of France.
So, is now a good time?
As of early 2026, our verdict is "rather yes" for buying property in the South of France, though with important caveats about location and property condition.
The strongest signal is that France's official price index shows prices have stabilized and started rising again (apartments up 1.3% year-on-year by Q3 2025), meaning the worst of the 2023-2024 correction appears over.
Another key signal is that mortgage rates have settled around 3%, which is manageable enough to bring buyers back without fueling another unsustainable boom.
Additional positive signals include tight housing supply in coastal areas due to geography and planning rules, plus solid rental demand in major metros like Nice, Marseille, and Montpellier.
The best strategy right now is to focus on well-located apartments with good energy ratings (DPE) in transit-connected neighborhoods, where both rental yields (around 5-6% gross in Nice) and resale liquidity remain strong.
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.
Is it smart to buy now in the South of France, or should I wait as of 2026?
Do real estate prices look too high in the South of France as of 2026?
As of early 2026, property prices in the South of France are high in absolute terms but not dramatically stretched when you compare them to rental income, with gross yields around 5-6% in cities like Nice still falling within reasonable territory.
One clear signal from listings data is that well-priced, energy-efficient apartments in prime locations are selling relatively quickly, while properties needing renovation or with poor energy ratings sit longer on the market, often with price cuts.
This two-speed market suggests that prices are "too high" mainly for compromised stock, while good-quality homes in desirable South of France neighborhoods are finding buyers at current levels.
You can also read our latest update regarding the housing prices in the South of France.
Does a property price drop look likely in the South of France as of 2026?
As of early 2026, the likelihood of a meaningful property price drop in the South of France appears low, mainly because the typical crash triggers are not present right now.
A plausible price change range for the South of France over the next 12 months would be somewhere between flat and a modest 3-5% increase, with sharp declines unlikely outside specific micro-markets with overpriced second homes or major renovation needs.
The single macro factor that could most increase the odds of a price drop in the South of France would be a significant spike in mortgage rates, which would squeeze buyer affordability and dampen demand.
However, with the ECB maintaining a supportive stance and French mortgage rates stabilized around 3%, a major rate shock looks unlikely in the coming months.
Finally, please note that we cover the price trends for next year in our pack about the property market in the South of France.
Could property prices jump again in the South of France as of 2026?
As of early 2026, the likelihood of a renewed price surge in the South of France is low to medium, as the conditions that drove the 2021 boom (ultra-low rates, post-lockdown rush) are not coming back anytime soon.
A plausible upside price range for the South of France over the next 12 months would be around 2-5%, with prime coastal neighborhoods potentially outperforming if demand stays strong.
The single biggest demand-side trigger that could drive prices higher in the South of France would be further ECB rate cuts, which would improve borrowing capacity and attract more buyers to an already supply-constrained market.
Please also note that we regularly publish and update real estate price forecasts for the South of France here.
Are we in a buyer or a seller market in the South of France as of 2026?
As of early 2026, the South of France market is mixed, with prime coastal neighborhoods behaving more like a seller's market while properties with poor energy ratings or needing renovation give buyers more negotiating power.
France does not publish a single "months of inventory" figure like some countries, but the market dynamics suggest that well-located, move-in-ready apartments have relatively thin inventory (favoring sellers), while renovation-heavy stock sits longer (favoring buyers).
The share of listings with price reductions in the South of France is higher for properties with energy-performance issues (DPE ratings of F or G), suggesting that seller leverage depends heavily on property quality rather than the market as a whole.
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 the South of France as of 2026?
Are homes overpriced versus rents or versus incomes in the South of France as of 2026?
As of early 2026, homes in the South of France look moderately priced when compared to rents (gross yields around 5-6% in Nice), but stretched when compared to local incomes, since coastal prices often reflect purchasing power from Paris, retirees, and international buyers.
The price-to-rent ratio in Nice works out to roughly 17-18 times annual rent, which is not bubble territory but is above the 15x level that would signal a clearly undervalued market.
The price-to-income multiple in the South of France is harder to pin down because local wages do not drive prices the way they do in typical markets, but for local buyers relying solely on regional salaries, affordability remains challenging in coastal cities like Nice, Cannes, or Saint-Tropez.
Finally please note that you will have all the indicators you need in our property pack covering the real estate market in the South of France.
Are home prices above the long-term average in the South of France as of 2026?
As of early 2026, prices in the South of France are closer to the long-term trend than they were at the 2022 peak, but many coastal micro-markets still sit above historical averages due to structural scarcity and sustained demand.
The recent 12-month price change in France shows apartments up about 1.3% year-on-year by Q3 2025, which is a much gentler pace than the 5-7% annual gains seen during the pre-pandemic boom years.
In inflation-adjusted (real) terms, prices in the South of France have likely given back some of the 2020-2022 gains, putting them below the prior cycle peak in real terms but still elevated compared to the long-run average tracked by sources like the IGEDD Friggit curve.
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What local changes could move prices in the South of France as of 2026?
Are big infrastructure projects coming to the South of France as of 2026?
As of early 2026, the biggest planned infrastructure project likely to affect property prices in the South of France is the Ligne Nouvelle Provence Côte d'Azur (LNPCA), a major rail upgrade along the Marseille-Toulon-Cannes-Nice corridor that could deepen demand in neighborhoods near improved stations.
The LNPCA project is in advanced planning stages with construction phased over the coming years, though full delivery will take time, so the price impact will be gradual rather than immediate.
Other notable projects include Nice's Tram Line 4 (connecting West Nice, Saint-Laurent-du-Var, and Cagnes-sur-Mer) and Montpellier's Tram Line 5, which opened in December 2025 and is already reshaping demand in newly connected neighborhoods.
For the latest updates on the local projects, you can read our property market analysis about the South of France here.
Are zoning or building rules changing in the South of France as of 2026?
The single most important zoning change affecting the South of France is France's national ZAN policy (Zéro Artificialisation Nette), which aims to sharply reduce land consumption by 2031 and reach net-zero land take by 2050, making new greenfield development increasingly difficult.
As of early 2026, the net effect of ZAN on property prices in the South of France is upward pressure, since coastal geography already limits supply and these rules make sprawling new construction even harder, which supports prices in existing well-located neighborhoods.
The areas most affected by these rule changes are suburban and peri-urban zones around cities like Nice, Marseille, and Montpellier, where landowners hoping to develop greenfield sites will face growing restrictions.
Are foreign-buyer or mortgage rules changing in the South of France as of 2026?
As of early 2026, no major new foreign-buyer restrictions are being introduced in the South of France, but existing French mortgage rules (HCSF framework) continue to cap borrowing at 35% of income with a maximum 25-year term, which limits how much prices can be bid up by leveraged buyers.
There are no specific foreign-buyer bans or quotas under active discussion in France, though second-home owners face increasing tax pressure through surcharges (taxe d'habitation majorée) that many coastal South of France communes now apply.
The most relevant mortgage rule for 2026 remains the HCSF framework itself, which acts as a structural governor on demand by preventing the kind of aggressive lending that fueled past booms elsewhere.
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 the South of France as of 2026?
Is the renter pool growing faster than new supply in the South of France as of 2026?
As of early 2026, renter demand in the South of France appears to be growing faster than new rental supply, thanks to strong service economies (tourism, healthcare, universities) and limited new construction in many coastal markets.
The best signal for renter demand in the South of France is the combination of job growth in major metros like Nice, Marseille, and Montpellier, plus steady migration from other parts of France drawn by lifestyle and climate.
On the supply side, official construction data for the PACA region shows that new housing starts have been flat to slightly down, meaning supply relief is not arriving fast enough to ease rental market tightness.
Are days-on-market for rentals falling in the South of France as of 2026?
As of early 2026, days-on-market for rentals in the South of France are generally short in high-demand areas, with well-located, energy-compliant apartments (especially T1 to T3 units) renting quickly, often within days of listing.
The difference between "best areas" and weaker areas in the South of France is significant: central neighborhoods in Nice (like Le Port or Cimiez), Marseille (Prado, Endoume), or Montpellier (Port Marianne, Antigone) see much faster absorption than car-dependent suburbs or poorly rated buildings.
One common reason days-on-market falls in the South of France is the combination of tight supply (limited new construction) and seasonal demand peaks during spring and early autumn when students and professionals relocate.
Are vacancies dropping in the best areas of the South of France as of 2026?
As of early 2026, vacancy rates in the best-performing rental areas of the South of France, like Nice's Le Port and Cimiez, Marseille's 8th arrondissement, and Montpellier's Port Marianne, appear to be low and stable, with energy-compliant units rarely sitting empty for long.
In these prime South of France neighborhoods, vacancy is noticeably lower than in the overall market, where older buildings with poor DPE ratings may struggle to find tenants willing to accept high energy costs or landlords may be forced to renovate before renting.
One practical sign that the "best areas" are tightening first in the South of France is that landlords with well-rated properties near tram lines or universities can often raise rents modestly while still attracting multiple applicants quickly.
By the way, we've written a blog article detailing what are the current rent levels in the South of France.
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An increasing number of foreign investors are showing interest. However, 90% of them will make mistakes. Avoid the pitfalls with our comprehensive guide.
Am I buying into a tightening market in the South of France as of 2026?
Is for-sale inventory shrinking in the South of France as of 2026?
As of early 2026, we do not have a single official "active listings" count for the South of France, but indirect signals suggest that inventory in prime neighborhoods is relatively thin compared to last year, especially for move-in-ready apartments with good energy ratings.
France does not publish a standard "months of supply" figure, but the combination of recovering transaction volumes and constrained new construction suggests that desirable South of France properties are not piling up on the market.
The most likely reason inventory feels tight in the South of France is that many owners who bought or refinanced at lower rates are reluctant to sell and trade up into a higher-rate mortgage, while new construction remains limited by geography and planning rules.
Are homes selling faster in the South of France as of 2026?
As of early 2026, homes in the South of France are selling faster than they did during the 2023-2024 correction, particularly well-priced apartments with good DPE ratings in sought-after neighborhoods like Nice's Carré d'Or or Marseille's Prado.
Year-over-year, the trend in days-on-market is improving, as the market stabilization has brought back hesitant buyers who were waiting on the sidelines during the rate-shock period of 2023.
Are new listings slowing down in the South of France as of 2026?
As of early 2026, we estimate that new for-sale listings in the South of France are coming to market at a subdued pace compared to pre-pandemic norms, though precise year-over-year figures are not publicly available in a single reliable source.
Seasonally, the South of France typically sees more listings in spring and early autumn, and January is usually a quieter month, so current levels may not be unusually low for this time of year.
The most plausible reason new listings are staying modest in the South of France is that owners are cautious about selling into a market that has only recently stabilized, and many cannot easily find replacement housing in tight coastal communes.
Is new construction failing to keep up in the South of France as of 2026?
As of early 2026, new housing construction in the South of France is not keeping up with demand, as official PACA region data shows authorizations and starts that remain well below the levels needed to meaningfully ease supply constraints.
The recent trend in building permits and housing starts in the PACA region has been flat to slightly down, meaning no surge of new supply is on the horizon to put downward pressure on prices.
The single biggest bottleneck limiting new construction in the South of France is the combination of coastal geography (limited buildable land), strict planning rules (including the ZAN trajectory), and high construction costs that make new projects financially challenging.
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 the South of France as of 2026?
Is resale liquidity strong enough in the South of France as of 2026?
As of early 2026, resale liquidity in the South of France is generally strong in major metros like Nice, Marseille, and Montpellier, where diversified job markets and consistent demand mean well-priced properties find buyers without excessive waiting.
Median days-on-market for resale homes in prime South of France neighborhoods is typically in the range of 60 to 90 days for properly priced properties, which is reasonable compared to the 90+ day benchmark that would signal sluggish liquidity.
The property characteristic that most improves resale liquidity in the South of France is a good energy rating (DPE A to D), since buyers are increasingly wary of renovation costs and many banks factor energy performance into lending decisions.
Is selling time getting longer in the South of France as of 2026?
As of early 2026, selling time in the South of France is actually improving compared to the difficult 2023-2024 period, as the market stabilization has brought back buyers and reduced the backlog of unsold listings.
Current median days-on-market in the South of France varies widely, ranging from around 45-60 days for prime apartments in Nice or Marseille to 120+ days for properties with poor energy ratings or in less desirable locations.
One clear reason selling time can lengthen in the South of France is affordability pressure: when mortgage rates rose in 2023, many buyers could not qualify for their target properties, which stretched selling times until rates stabilized.
Is it realistic to exit with profit in the South of France as of 2026?
As of early 2026, the likelihood of selling with a profit in the South of France is medium to high for buyers who purchase wisely, hold for a reasonable period, and avoid overpaying relative to rental yields.
The minimum holding period in the South of France that typically makes exiting with profit realistic is around 5 to 7 years, which allows time for price appreciation to cover the substantial transaction costs and for rental income (if applicable) to contribute to returns.
Total round-trip costs (buying plus selling) in the South of France typically run around 12-15% of the property value, which translates to roughly 60,000 to 75,000 euros on a 500,000 euro property (or about 65,000 to 80,000 USD at current exchange rates).
The factor that most increases profit odds in the South of France is buying in a high-demand, transit-connected neighborhood with strong rental fundamentals, since these locations tend to hold value better during downturns and recover faster.
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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 the South of 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 Notaires-Insee Index | Official French statistics office with notary-backed, quality-constant price tracking. | We used it to anchor the national price trend as of late 2025. It serves as our baseline for price direction entering 2026. |
| Banque de France Credit Statistics | France's central bank publishing official mortgage rate and lending volume data. | We used it to confirm the "around 3%" mortgage rate regime. It helped us assess credit conditions going into 2026. |
| Immobilier.notaires.fr | Run by French notaries using actual recorded transaction prices. | We used it to ground local price levels in cities like Nice and Marseille. It provides the most defensible public source for South of France prices. |
| HCSF Lending Rules | Official French regulator framework that constrains mortgage lending. | We used it to explain why price booms are harder to restart. It sets expectations on borrowing capacity limits in 2026. |
| ECB Monetary Policy Decisions | The euro area central bank setting the policy rate environment. | We used it to explain why mortgage rates stabilized. It helped us assess rate risk going forward. |
| DREAL PACA Construction Data | Official regional arm of the French state using Sit@del2 permit and starts data. | We used it to gauge whether new supply is keeping up in the South of France. It justifies why scarcity persists in coastal markets. |
| Observatoires des Loyers | Official rent observatory network used in French public housing policy. | We used it to anchor rent levels for South of France cities. It provides more reliable data than asking-rent-only sources. |
| Ministry of Ecology DPE Rules | Official ministry communication on binding energy rating rental rules. | We used it to explain why older properties may need renovation to stay rentable. It's a direct risk factor for investors in 2026. |
| Government ZAN Planning Framework | French government site summarizing the legal trajectory for land use. | We used it to explain why new greenfield supply is structurally limited. It's especially relevant for coastal South of France metros. |
| IGEDD Long-Run Housing Series | Government body compiling official long-run price series (Friggit curve). | We used it to compare current prices to historical trends. It helps avoid recency bias in our analysis. |
| MeilleursAgents | Leading French real estate platform with detailed local price estimates. | We used it to get current price-per-square-meter figures for Nice and Cannes. It supplements official notary data with fresher estimates. |
| Ligne Nouvelle Provence Côte d'Azur | Official rail megaproject communication portal. | We used it to identify where accessibility improvements may boost demand. It names specific corridors that could benefit. |
| DGFiP Second-Home Tax Documentation | French tax authority publishing official documentation on local taxes. | We used it to highlight second-home surcharges relevant to South of France coastal communes. It affects net yields for investors. |
| OECD Housing Prices Indicator | Top-tier international organization with standardized affordability definitions. | We used it to define price-to-rent and price-to-income ratios correctly. It provides a framework for our local South of France analysis. |
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.
Related blog posts
- Is now a good time to invest in property in the South of France?