June 2025: Prime Central Paris Property Report
Posted on June 2, 2025 by Susie Hollands
The property market remains incredibly nuanced and there is significant variation in market dynamics and activity levels within different locations, price points and property types.
The Left Bank, specifically Paris 7, had the highest volume of prime sales last year (and in the first quarter 2025), largely because they are examples of locations which attract both needs-based domestic buyers, as well as more discretionary international buyers.
We are seeing strong demand continue among individuals purchasing a longer-term home for relocation from other destinations (namely London and the U.S.) rather than as a ‘nice to have’ or status symbol.
Move-in ready properties command premiums as most buyers remain reluctant to embark on a major refurbishment due to delayed timescales and the uncertainty of costs.
Property owners: we have compiled some essential updates on real estate and tax news, remember: we’re here to support you with renting, managing, and selling your properties.
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Investing in Paris in 2025: A Market That’s Regaining Momentum
According to the latest figures, the Paris market is clearly rebounding.
After four years of decline, prices are rising again (+0.7% in March), outpacing the national average (+0.3%) with a consistent monthly increase since December 2024: +0.2% per month
Demand is Surging (+14%) While Supply is Shrinking (-3%), Increasing Market Tension
Energy-inefficient properties (rated F or G) are discounted by 3–4% due to required renovation work to remain rentable. Properties rated F or G are no longer eligible for rent increases, even if the lease includes a revision clause.
Mortgage Rates Slightly Rising
After hitting a low around 3.35%, mortgage rates began climbing again in April, according to multiple brokers. For buyers, locking in a rate quickly could become a smart move.
⚖️ Illegal Airbnbs: Paris Crippled in Its Enforcement Efforts
The City of Paris is intensifying its crackdown on unregistered short-term rentals. But a recent ruling by the Court of Cassation is foiling their efforts. The city had been using historical evidence to prove unlawful tourist rentals. However, without proof of residential use as of January 1, 1970, the courts now deem such enforcement invalid. As a result, many infractions can no longer be penalized, weakening regulatory controls.
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