There are more calls from interested buyers and more property visits”: 70% of agencies in the L’Adresse real estate network believe that the market is in a recovery phase, according to an internal survey.
Real estate agents are optimistic. Nearly 70% of agencies in the real estate network l’Adresse believe that the market is developing recovery phase according to an internal survey. 10% even judge it dynamic and 20% still judge it slow motion according to the 330 agencies of the group interviewed between 15 and 22 September 2024.
These figures are up from the first half of 2024, when only half of agencies had seen this recovery.
“Our agencies see it every day in the field: there are more calls from interested buyers and more property viewings, but also more estimates from potential sellers and more offers accepted!” says Brice Cardi, president of the Address network.
There are many reasons for this recovery, first and foremost the drop in interest rates. According to the Address, this drop allows, for example, a couple with an income of 4,000 euros to borrow 15,000 euros more than a year ago. In medium-sized cities such as Saint-Étienne or Bourges, they have even gained almost 10 m2, according to the agency network.
Another explanation for this recovery: the acceptance capacity of sellers lowest offers and the easing of bank lending conditions.
Sellers who are still reluctant to lower prices
Many factors are pushing buyers to stop waiting. Among them, secondary buyers (those who already own a property and are selling it to buy another) are overrepresented.
Their return, noted by nearly one agency in two, is especially noticeable through the repayment of bridging loans. “Those who had been putting off their move plans for several months, especially because they didn’t want to lose a loan at 1 or 2% to get a new one at 4%, are finally taking action,” Brice Cardi rejoices.
The return of second-time buyers “is great news for the market because it drives property turnover by freeing up smaller areas for first-time buyers,” he analyses.
THE first time buyers they also push the door of the address agencies, “which examine the files with only 10% contribution”.
Negotiation margins, which increased in 80% of the agencies interviewed, also allowed buyers to return “even if they are still limited”. According to the survey, negotiation margins are “on average 4 to 7% of the displayed price”, compared to “3-5% of the negotiation observed a year ago”.
Despite this progress, the reluctance of sellers to lower prices remains the main obstacle to recovery identified by agency directors. Then there is the general economic and political context, the wait-and-see attitude of buyers and the constraints related to the energy requalification of buildings.