The Paris real estate market is showing signs of recovery, particularly at the top end, after two years of declining prices and cautious buyers. High-end properties are at the heart of this renewed activity, thanks in large part to the return of international buyers and a focus on Paris’s most prestigious districts.
After a significant 11% drop in prices, fuelled by rising interest rates and a general wait-and-see approach, residential real estate in Paris has entered a more controlled recovery phase in 2025. Prices are stabilizing, and transaction volumes are picking up, but the bounce-back isn’t felt equally everywhere. The real boom is in the luxury segment—especially properties priced at €3 million and above.
Luxury Market Leads the Way
According to experts like Breteuil, high-quality properties with no flaws and the best locations are driving the current market dynamic. Paris is regaining its appeal as a safe investment for buyers from the United States, the UK, Europe, and the Middle East, who are drawn to the capital’s heritage and the rarity of its most prestigious addresses.
Golden Triangle: 6th, 7th, and 16th Arrondissements in High Demand
This recovery is concentrated in Paris’s “golden triangle” of premium neighborhoods: the 6th, 7th, and 16th arrondissements.
- In the sought-after 6th arrondissement, records have been set at €34,000 per square meter in the Monnaie district, with prestigious apartments often trading around €24,000 per square meter. Here, buyers are purchasing a prized lifestyle as much as an address, making the 6th popular for luxury pied-à-terre and second homes.
- The neighboring 7th arrondissement, famous for its grand family apartments and stately private mansions, continues to draw high-net-worth buyers.
- To the west, the 16th arrondissement tells a different story: it remains one of the most resilient markets for families seeking space and tranquility. Sought-after Haussmannian apartments here frequently exceed €16,000 per square meter, and the broader area has an average of €10,540 per square meter.
As the Paris real estate market moves into 2025, experts anticipate a more rational and selective environment, with strong growth focused on high-end, well-located properties. For both French and international buyers, the City of Light is shining again, especially for those seeking luxury and exclusivity in their next home.
