Paris is without doubt one of the most beautiful cities in the world. It’s small and largely walkable with plenty of things to see and do. Offering an excellent quality of life, international buyers regard owning a property in the French capital as a much-coveted safe-haven investment—much like a fine piece of art.
On the up: Paris property prices
Most commentators agree that prices in the French capital will continue to rise while demand is greater than supply and low interest rates continue to entice new buyers. Another factor contributing to higher prices boils down to politics: French people living in Britain and British people with ties to France are looking to buy their own bolthole in Paris.
According to latest figures from the city’s association of notaries, the average sale price in the most expensive area, the 6th arrondissement, climbed from about €11,300 per sq m in Jan 2015 to about €14,00 per sq m in January this year. In the most affordable district, the 19th, prices are now €8,350 per sq m opposed to €6,500 per sq m in January 2015.
Competition for apartments in the city centre is fierce, especially for classic pied-a-terre sizes of around 30 to 35 sq m. The best properties sell extremely quickly and changing aesthetics are seeing a strong preference for modern, open-plan living. As a general rule, it’s a good idea to be prepared to sacrifice space for location—if you’re buying to enjoy Paris, you want to live in the centre of the action.
Paris property hotspots
Traditionally the city’s most popular and priciest arrondissements have been the so-called “bourgeois arrondissements” of the 6th and 7th on the Left Bank along with the 8th and the 16th across the river. Of them all, the 8th is widely regarded as the most expensive of all with the streets leading off the Champs-Elysees commanding the highest prices. One of the reasons that properties are in high demand is because it’s one of the city’s economic hubs so buyers in well-paid financial jobs can afford to live close to their place of work.
The 16th, meanwhile, which borders the Bois de Bolougne in the west of the city, is another very established area. It’s quieter than in the centre of the city and is home to large apartments in grand Haussmannian buildings as well as private family homes.
More Bohemian districts (or “bobo” in French) are the Marais (in the 3rd) and Montmatre and around the Canal Saint-Martin. More intrepid buyers might focus their search on the 2nd and 3rd arrondissements—an area popular with start-ups and tech companies.
Anyone considering buying something as an investment needs to keep an eye on this on-going problem. In the past 24 months, there’s been a backlash in Paris against short-term letting sites such as Airbnb due to the number of properties being rented out for holidays. Worse still are the number of investors who have been snapping up apartments for the main purpose of lucrative holiday lets. It’s felt to be contributing to a shortage of homes for local people and the local authorities are now cracking down with heavy fines for those who don’t comply with the rules.
Parisian properties for sale
A two-bedroom flat on a pedestrianised street just a few moments from the vibrant district of Le Marais, is £1.68m through Winkworth International. As a buy-to-let, the property has an estimated rental return of €6,500 (net to owner) per month.
Family-friendly in the 16th
An ideal home for a family, this four-bedroom apartment just off Place Trocadero near the iconic Eiffel Tower in the 16th arrondissement offers beautiful cityscape views and is full of natural light all day long. €3.95m through Winkworth International.
This one-bedroom, beautifully decorated apartment has plenty of traditional features including beams and a fireplace and a superb location just next to the Louvre. €877,000 through Winkworth International.