Does building a new home really cost more than buying an aging home? In principle and logically, yes. “Usually, new apartments cost 20 to 25% more than others locally,” says Michel Lechenault, the editorial manager of the real estate advertising site SeLoger. But in Paris, Nantes, Bordeaux, Strasbourg or Besançon, the answer is quite different. In these cities, the price of new homes is even incredibly attractive, compared to the real estate market in the former. This is in any case revealed by a study published by SeLoger last April.
Concretely, this means that in these cities, developers build new residences at prices barely higher than much older housing. However, emphasizes Michel Lechenault, “if the price of a new home is close to the price of an old home, it becomes a good deal for the buyer.” Indeed. Why deprive yourself of an apartment with perfect finishes, energy efficient and without work required, if it is sold more or less at the same price as homes with all the contrary defects?
>> Read also – New real estate: before the crisis, the prices of these cities took off
Attractive new housing… in the most expensive cities
Among the cities where new prices are particularly close to the old one, we find Paris (4% difference per square meter on average), Bordeaux (7% per square meter) or Lyon (8% per square meter). Either three metropolises where the prices in the old real estate explode, or exploded in recent years. And it is not a hazard. “The promoters bought the land to build two or three years ago”, analyzes Michel Lechenault. However, during this period, land prices were cheaper in these cities. The promoters therefore do not pass on the current prices of land – very high today – but those of the time of acquisition. “Land costs are therefore lower in their sales calculations,” summarizes Michel Lechenault.
>> Read also – Real estate: those (rare) cities where the price of new apartments plummets
Other cities, on the contrary, suffer from a price comparison unfavorable to new property. This is the case of cities like Toulon, Nîmes, Caen or Villeurbanne. “Some of these cities sometimes suffer from a degraded old housing stock, especially in the city center,” explains Michel Lechenault. However, the abundance of this type of housing mechanically lowers the average prices of local real estate. By comparison, new and flawless homes sold by developers seem much more expensive. What can make them, by mirror effect, less attractive than the others.
>> Our service – Discover all the new housing and tax exemption programs currently on sale in France
A bet on the future
For buyers, you will understand, it may be very relevant to study closely the new housing offers from developers in their city. The only constraint is that you will usually have to wait around 18 months to see the new good delivered. But the game may be worth the effort. First, new homes will indeed tend to be much more energy efficient. And therefore financially, in the longer term. Then, unlike some older apartments, they also do not require finishing work when moving in. And finally, the architecture of the new homes was – a priori – designed to meet the most modern needs. Old goods are not always as functional.
Last important element to take into account: the future resale price. “There is no guarantee today that in ten years, the most energy-intensive old homes will not be subject to a penalty for resale. This is the sense of history, “anticipates Michel Lechenault. Investing in new stone could therefore also be a way to prevent against possible disappointments on the next gain. This is starting to make many good reasons to be interested in the price of new stone in big cities.
>> Our service – Estimate the price of a property (immediate, free and without obligation)
–
