First-time buyers and families are back in France’s housing market: 940,000 sales in 2025 (+11%), credit rates near 3%, investors down 40%—what this means for buyers.
After two years of stalled projects and cautious buyers, 2025 marked a clear turning point in France’s property market. First-time buyers and families have come back in force, reshaping transaction patterns and easing the investor-driven pressure that dominated earlier years.
Strong headline numbers
• 940,000 property sales in 2025, up 11% year‑on‑year (Notaires de France)
• Mortgage rates stabilized around 3%, restoring visibility for buyers
• Investor activity plunged: rental loans fell 40% (Banque de France / SAFTI)
• 72% of transactions were for single-family houses (SAFTI)
• Average sale price in 2025: €208,600; average negotiation discount 4.5% (SAFTI)Why first-time buyers are returning
Three main factors explain the comeback: lower, stable mortgage rates; banks easing lending conditions for first-time purchasers; and a market that has become more realistic on price. SAFTI reports a 9% reduction in the national negotiating margin, meaning buyers and sellers are closer on price expectations — a big help for households on tighter budgets.
Banks and financing: a friendlier landscape
Lenders have adjusted policies to welcome first-time buyers, who now arrive better prepared with clear projects and realistic budgets. The result: faster decisions, fewer stalled sales and a shorter time between property visits and signed offers. At SAFTI, the average time from mandate to preliminary contract is about 3.6 months, reflecting a more fluid second‑hand market.
A residential market, not an investor market
Investors have largely stepped back: France saw a steep drop in loans for rental investment, freeing up supply for owner-occupiers. That shift has redirected competition away from buy-to-let budgets and toward families seeking long-term homes — especially detached houses with outdoor space.
Where demand surged
Regional dynamics are uneven but broadly positive:
• Hauts-de-France: +45% sales in 2025; new mandates +18%
• Île‑de‑France: +29% sales
• Grand Est and Nouvelle‑Aquitaine: +28% eachThese gains show the recovery is national, though intensity varies by territory and local affordability.How buyers are acting
First-time buyers are methodical: prioritizing location, living space, access to transport and schools. Most choose houses (72% of transactions), valuing space and family-friendly neighborhoods. Negotiations are calmer — the average discount sits at 4.5% — letting deals close faster without aggressive haggling.
Impact on the market and industry
SAFTI reported a 25% rise in activity, with record turnover of €225 million and 28,000 sales attributed to the agency network in 2025. The network’s 6,000 independent agents helped deliver 95,000 new mandates (+14%), underscoring the depth of buyer interest and the renewed confidence across the buying cycle.
Outlook
With credit rates near 3%, improved bank conditions and more realistic pricing, first-time buyers are well placed to continue supporting the housing market into 2026. The retreat of investors has created breathing room for families, and regions like Hauts-de-France are emerging as hotspots for affordable homeownership. For many households, 2025 was the year to act — and that momentum looks set to carry forward, provided financing conditions remain stable.
