Real estate: lower prices by 4% in 2014, according to Standard Poor's &

 

According to the rating agency Standard Poor's sinking real estate prices in France & in 2013, a trend that should continue next year. However, down is not also claimed that expected.

French property prices fall strongly but they give way despite everything. This is the conclusion of the Standard Poors rating agency in its investigation & on the European property markets Monday, November 4, 2013 published. Analysis at the end of the third quarter of 2013 points a decline estimated at an average of 3% in 2013 and expects a decline of about 4% in 2014. Since 1998, estimated at 155% forecasts into perspective with a rise in the price ...

For Standard Poors & hexagonal is the market overvalued by 15% "compared to its long-term average". In particular, the Agency explains that prices continue to fight and sharper. But instead of assigning prices, ' the market correction that began in late 2011 mainly affect the volume of transactions '. A close analysis of that of Crédit Foncier, which at the end of the third quarter of 2013 stated that "the lower volumes of the cache lower prices".

Resistance factors are many. Structural, political and economic actors all agree that there is a housing shortage in France. ' Official estimates suggest that the housing deficit is now almost 1 million, ' says the Agency. A figure all the more worrying that the trend is not ready to turn in 2014.

On the other hand, mortgage at the lowest rates "an encouraging signal to buyers" and help to keep prices at a high level. Therefore, a rise in rates to offset higher borrowing costs lower prices accelerate mechanically. Standard & poor's believes, however, that this adjustment should be gradually accomplished, if the u.s. Federal Reserve decided to put an end to its accommodative monetary policy.

If the rating agency does not fail to note that another factor, will tax this time upset the hexagonal housing market early next year. Indeed, the mutation for fee (DMTO) levied on buyers will increase 5.09 to 5.79% early next year. What increase the invoice of the buyers whose purchasing power has been greatly affected by tax increases and unemployment.