2020 Paris Real Estate Report: Prices Expected to Increase

According to luxury real estate agency Knight Frank, Paris is expected to lead global cities in terms of price increases, predicting a 7% rise. If you scan our analyses over the past four years, we called it. Importantly, Paris is not becoming unaffordable, because much of the price increases over the past three years are playing catch up with other major cities in the world.

2020 Paris Real Estate Report

We published “Paris Real Estate: The 7-Year Itch” in 2017, and in it we showed how Paris lagged most other big cities. In fact, Paris only caught up with former highs a few years ago. With Brexit and the possibility of more businesses and banks moving to locations such as Paris, we predict a continued rise in 2020 and beyond.

Knight Frank Predictions: Paris leads at +7%, followed by Berlin, Miami and Geneva.

Cost of Financing remains cheap in the Eurozone, adding to our confidence

Cost of Living in Paris is Still Affordable

Numeo published the 2020 Cost of Living Index in cities throughout the world. Paris ranked 24 on the list. Ahead of this affordable city, you’ll find four cities in Switzerland, three in Norway (we had no idea!) and a record eight of cities in the United States.

Rank	City	Cost of Living Index	Rent Index	Cost of Living Plus Rent Index	Groceries Index	Restaurant Price Index	Local Purchasing Power Index
1	Zurich, Switzerland	128.29	61.66	96.42	127.96	124.73	126.90
2	Basel, Switzerland	125.54	45.76	87.38	124.99	123.11	121.47
3	Lausanne, Switzerland	124.02	50.64	88.92	127.26	123.61	110.52
4	Geneva, Switzerland	118.98	68.47	94.82	112.88	119.58	111.16
5	Bern, Switzerland	116.03	40.52	79.91	107.58	115.56	131.89
6	Stavanger, Norway	102.27	36.10	70.62	90.99	112.45	87.58
7	Oslo, Norway	101.66	44.08	74.12	89.35	112.04	86.47
8	Trondheim, Norway	101.55	37.61	70.97	95.53	102.74	89.31
9	Reykjavik, Iceland	100.85	51.25	77.12	84.91	120.60	81.07
10	Bergen, Norway	100.17	35.25	69.12	88.41	111.56	94.06
11	New York, NY, United States	100.00	100.00	100.00	100.00	100.00	100.00
12	San Francisco, CA, United States	91.51	115.58	103.02	86.91	94.45	135.90
13	Anchorage, AK, United States	91.36	38.94	66.29	88.42	78.89	118.44
14	Honolulu, HI, United States	89.70	63.03	76.94	89.83	83.60	88.29
15	Brooklyn, NY, United States	88.82	80.49	84.84	83.22	92.77	92.95
16	Aalborg, Denmark	88.40	24.20	57.69	75.30	103.05	115.92
17	Washington, DC, United States	87.74	78.18	83.17	86.44	87.48	130.25
18	Tokyo, Japan	86.87	38.00	63.50	83.42	56.70	89.70
19	Oakland, CA, United States	86.51	79.55	83.18	89.28	74.62	113.60
20	Tel Aviv-Yafo, Israel	86.36	45.34	66.74	73.01	93.75	74.31
21	Copenhagen, Denmark	86.23	44.49	66.26	62.78	104.61	90.70
22	Seattle, WA, United States	85.77	65.70	76.17	81.69	81.25	133.43
23	Seoul, South Korea	85.50	30.45	59.17	103.69	45.88	76.81
24	Paris, France	85.16	46.98	66.90	78.98	81.35	71.17
25	Luxembourg, Luxembourg	83.71	55.85	70.38	69.53	92.44	106.31
26	Boston, MA, United States	82.88	74.47	78.86	81.23	81.85	112.39
27	Bellevue, WA, United States	82.18	63.24	73.12	76.86	76.62	163.27
28	London, United Kingdom	81.30	70.01	75.90	57.31	89.04	78.16
29	Singapore, Singapore	81.10	63.27	72.58	66.75	58.99	88.96
30	Arhus, Denmark	81.08	31.17	57.21	62.42	88.73	100.81

For non-French residents interested in buying an apartment in Paris, there’s an additional and important fact: extremely low interest rates. With the right qualifications, one can finance for less than 3% in France, and the running costs are among the lowest anywhere.

Paris Perfect Property Search Services

If you’re interested in buying your own Paris property we have eight great tips to help familiarize you with the French buying process. It’s not easy! And if you’re ready to start looking for that Parisian pied-à-terre, we can help through our property search services. Click here for more information. For more insight about the Paris real estate market, check out this recent article from The Wall Street Journal about why Americans are buying homes in Paris.

 

Posted on Tuesday, February 4th, 2020 at 6:01 am in Paris Perfect News. You can follow any responses to this entry through the RSS 2.0 feed. You can skip to the end and leave a response. Pinging is currently not allowed.