Real estate: cash buying is on the rise
The tightening of bank loan conditions has resulted in an increase in the number of transactions paid from cash financing.
The situation is unprecedented.According to Sextant, a network of real estate agents, the number of cash purchases has been on the rise since May: within the network, 62% of real estate transactions are carried out using cash financing.The expert explains this trend by the fact that the conditions for bank loans are more difficult."Usually, it is the reverse, bank loans are favored for two thirds of purchases", note the founders of Sextant France in a statement.
"More and more buyers are turning to real estate investment to grow or secure their bank liquidity, and for that, they no longer hesitate to withdraw their savings from banks", write Brice Bonato and Matthieu Cany.in cash relate to both primary and secondary residence purchases.
Another observation of the real estate group, a boom in furnished rental investment in November 2020, as the Le Coin du LMNP (non-professional furnished rental) brand signed 100 exclusive mandates this month, which corresponds to the reconfinement.
The price of residences jumps
Some owners sold their lot, faced with the low occupancy rate of tourist residences at the end of the year.As soon as the confinement began, some residences have, in fact, stopped paying rents to individuals and associations that own housing they rent.Investor clients would be "very present for these same products", notes Brice Bonato, who specifies that activity in this market would be at 150% of its usual rate.
Posted Date: 2020-12-18