Proposals to fight against thermal sieves, evolution of the real estate market, housing policy… Jean-Marc Torrollion, president of Fnaim, gives an overview of the main challenges of the sector, in an inflationary context.
How is market activity and are you seeing a slowdown?
Jean-Marc Torrollion, President of the FNAIM: “In view of the number of deeds of sale signed over one year, as of March 31, 2022 (1 million 175,000), we can consider that activity was still buoyant. On the other hand, it is true that in the first half, in the light of our indicators, the number of sales agreement is falling (- 3 % on the 5 first months of 2022).
This decline in trade-offs should trickle down to sales this summer. This year, we should record a decrease in volume of around 6 to 10 %. Among the reasons for the decline, the economic context. It is certain that inflation delays real estate projects. »
How are prices changing?
“At the national level, the rise in price of existing housing as of May 31, 2022 is 7, 7 % on average (inflation at 5, 2 %) over one year. The apartments + 5, 2 % and houses + 9, 2 %. This reflects a still dynamic market in terms of activity, particularly in medium-sized towns and seaside resorts. Finally, the increase protects against inflation. Real estate appears to be the safe haven against inflation. »
Market activity video
Purchasing power and real estate
“Purchasing power in real estate was rather well oriented. The attractiveness effect of interest rates and the income effect contributed to erasing the price effect. And this, in most regions, or even to increase purchasing power. The situation has changed such as the perception of the situation. With our latest indicators, demand is down. The fall is particularly spectacular among first-time buyersas in the sector of second homes, because there are far fewer retirees positioning themselves in this market. The turbulence is there. Unquestionably, our buyers will be much less dynamic for the second half. »
The Fight Against Thermal Strainers
Jean-Marc Torrollion: “The French don’t understand anything anymore, especially the co-owners. We explain to them that they must make Multiannual Work Plans (PPT) in 2023, 2025, 2026, depending on the size of their building (Climate and Resilience Law). They are told that energy performance diagnosis collective must be made obligatorily according to the size of the building in 2024, 2025, 2026. And we explain to them that in the meantime, the properties classified G will be prohibited for rental in 2025, the F in 2028 and the E in 2034 . It means that 3 million 500,000 housing, potentially, just for the private rental stock, would eventually be prohibited from rental when we are not even in the rhythm of renovation for financial and technical reasons. »
Housing energy renovation video
Review the energy renovation schedule
“We want to review this schedule. By adjusting it to that of the European calendar of 2034 (more housing classified G and F) and more housing classified G, by 2030. Result: the impact is not the same. We propose to focus only on properties classified G and F but taking into account the owner-occupiers. It would be necessary to bring all the properties classified G to the letter F in 2030 (at least). Thus, we will deal with all of the most energy-intensive housing stock and not just the rental stock. By reviewing the schedule in this way, the renovation will be successful. Another important point: it is an opportunity to unite owner-occupiers and landlords in our buildings, which is not the case today. An occupying owner can perfectly occupy his indecent housing (energetically) while a landlord could no longer rent it. Let’s come back to reason. The objective in terms of volume is exactly the same and tends towards carbon neutrality. It is urgent to get back around the table. »
Do we need a housing minister?
We need a Minister of Housing who encompasses, beyond housing, the entire sector and the issues around land use planning. A minister who is able to win his arbitrations. This will be a strong signal of this government’s consideration of the housing issue.