Rising real estate rates: the end of the golden age

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After several good months, access to real estate credit is now seriously compromised for some households. The market is deteriorating at high speed, and the banks now oppose net refusals to low-income candidates who wish to acquire a home.

Real estate professionals are sounding the alarm: the rise in interest rates is accentuated, delaying or even simply canceling the investment projects of many property candidates. Some are thus refused by the bank a file that would have been accepted a few months ago. This decrease results in a 9% drop in loans granted between the second quarter of 2021 and the second quarter of 2022*.

From 1.06% to 1.52% : this is the increase in the average real estate rate between December 2021 and June 2022*!

The causes of rising mortgage rates

At issue in the rise in interest rates: inflationof course, which amounted to more than 5% in June, and which is the direct consequence of the Russo-Ukrainian war.

But she is not the only one responsible. Indeed, commentators accuse the new limitation of the debt ratio to 35% per household. In force in France since January 1, 2022, this unprecedented constraint greatly complicates the access of certain households to property. The latter see their housing purchase project refused by the banks, and are forced to modify, or even simply to cancel their investment project. Coupled to the maximum repayment term of 25 yearsthis regulation represents a blow for low-income households wishing to buy property.

* According to data from the Crédit Logement/CSA observatory

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