Spring 2019 market point
Real estate on the Basque Coast: the market analysis shows a strong attractiveness of the Basque Coast and an increase in prices!
2017 as well as 2018 were 2 exceptional years for real estate in France. Indeed, the record number of sales recorded nationally in 2017 (960,000 real estate transactions) was exceeded in 2018, approaching one million transactions.
This dynamism at the national level is also observed on the Basque Coast, and is even amplified thanks to the attractiveness of our region.
It is interesting to note that the maintenance of low rates, combined with the dynamism of the market allowed an average rise in prices in the 10 largest cities of France of 3.4% * and even of 7% ** in intramural Paris. . This phenomenon of rising prices quite logically has a mechanical impact on the budgets of buyers of second homes, or of those who leave large French cities to settle in Biarritz or its surroundings. As a direct consequence, we observed a clear increase in prices in the towns of the Basque coast: + 9% *
If, at the beginning of last year, caution was required in the face of the introduction of the tax on real estate wealth, and its repercussions on real estate sales, it is clear that the psychological and financial impact is rather positive, as The dynamism and rising prices testify to this. Interest rates, still at their lowest, and the economy of taxes on financial wealth can explain this greatly.
Still far from the records of Courchevel, the Côte d'Azur or major European holiday resorts, a large number of “prestige” sales were recorded in 2018, with no less than 11 sales over 3 ME, including 3 beyond from 5ME.
This attraction of the Basque Coast, in secondary as well as primary residence, is such that a certain imbalance sets in between supply and demand. Despite a significant number of valuations carried out, and of goods placed for sale during the winter, we observe a certain shortage of quality goods, with the probable consequence of seeing the prices of these goods continue to appreciate. If the evolution of global growth, international geopolitics and the stock market is relatively uncertain, the attractiveness of real estate from Hossegor to Hendaye remains strong, and buyers still see real estate on the Basque Coast as a fun investment, and a safe investment.
After good weather this winter, the G7, which is being organized in Biarritz at the end of next August, will help keep the Basque coast in the spotlight, and bring it, if it still needed it, a international reputation.
* source IPI MeilleursAgents
** source chamber of notaries