32% more invested in a year
According to the Observatoire Crédit Logement/CSA, investing in property to let has increased by 31.8% in comparison to 2018. A strong performance for the property sector, which has been taking advantage of this growth. Buy to let represents 26.5% of all property sold in spite of the rise in the cost of housing. To be more precise, 66.6% of the sales were for main homes and 5.4% for a second home.
Another strong trend is that investors are now younger. According to the Fnaim, almost half of the sales concern purchasers aged under forty. Indeed, 20% of the purchasers are under thirty, which is a revolution in the property sector.
Property: a good time to invest
What lies behind this rise? It is largely du to the very favourable context for purchasers. According to the Observatoire Crédit Logement/CSA, average interest rates were at a record low in June (not including insurance):
• 0.99% over 15 years;
• 1.17% over 20 years;
• And 1.39% over 25 years.
As for new builds, purchasers have many advantages: interest free loans, tax reductions etc. Take a look at our article on 10 good reasons to invest in new property.
Banks currently offer few interesting alternatives. Savings accounts are strictly controlled and life insurance offers low interest. So, property looks like a solid value and a sustainable investment.
Investing in new property with Faubourg Immobilier
Creating residential property since 2006, Faubourg Immobilier accompanies investors in their property projects. Housing schemes, halls of residence, tourist residences, homes for the elderly… Please contact our team of experts who will help you with your investment project.
Faubourg Immobilier puts quality and environmental concerns at the heart of its housing. So you can be certain to obtain a home with high added value. Let’s not forget the guarantees associated with new property. Find out more about the projects built by Faubourg Immobilier and our new programmes in France.
To find out more about our business, please contact us.