The 2024 Olympics slow down the recovery of the Versailles real estate market

A slow recovery. This is how we could describe the current situation of the real estate market in Versailles (Yvelines). While the decline in home mortgage rates that began earlier this year has resulted in more transactions, many sellers are refusing to lower their prices.

According to data from MeilleursAgents, property prices in the city fell in one year by 6.3%, but in three months they increased again by 1.3%. It prevents, “if the property has been online for more than six months, sellers must agree, before negotiations, on a discount of 10% to 15% compared to the starting price (to hopefully interest buyers) »specifies Nicolas Fels, director of the Cathedral’s Century 21 agency.

Even the Saint-Louis and Notre-Dame neighborhoods, the most popular in the city, very rarely escape this type of correction. The average square meter in this sector is now under 10,000 euros, except in the high range.

For more convenient prices you need to go to the Montreuil district, where properties sell for around 6,500 euros per square meter. “The Versailles market is currently driven mainly by apartments, there are few houses for sale”, specifies the Order of Notaries of Paris – Ile-de-France. According to data from notaries, purchasing these properties costs on average almost 1.2 million euros.

Another phenomenon is affecting the local market, both for transactions and rentals: the imminence of the Olympic Games – Versailles will host in particular horse racing events from 26 July to 11 August, inside the castle park. Enough to push investors to temporarily turn to seasonal rentals.

Above ground rates

“Some properties have no longer been rented since February and March. The owners ask us if we can take care of the tourist management of their accommodation facilities during the competition, which we don’t do”, explains Nicolas Fels. A wait-and-see attitude that we also find among sellers who do not want to negotiate the price of their property downwards. “It is very risky, the owners think they will earn a lot of money, but the effect will be disappointing”anticipates the real estate agent.

Above-ground rates that won’t find takers, according to Lexie David, communications manager for concierge service WeHost. “It is estimated that, compared to a normal year, those who rent will multiply their earnings by two, but no more. Furthermore, we have recently witnessed a cascade of cancellations by owners who have offered accommodation that is decidedly too expensive compared to the market”Note.

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