the new real estate market worries, falling sales and rising prices
Prices continue to increase, more than 3% in a year and the listings keep decreasing. These statistics published by the Toulouse Real Estate Observer confirm a significant slowdown in the Toulouse new real estate market in the 3rd quarter of 2021.
The latest report published by the Observer of Toulouse real estate encountered in two previous trends in the urban area of Toulouse, which has 453 municipalities: a worrying drop in sales associated with a continuous increase in prices.
Drop in sales: “An increasingly alarming third quarter”
According to L’ObserveR, the downward movement was already significant in the first half of 2021 “a low-year cycle started in 2019 before the health crisis and reinforced by the aggravating factors of 2020. The observed downward movement continues to be reflected in the figures for the 3rd quarter “.
Within the urban area of Toulouse, this trend has worsened since the start of the year. Each quarter saw a decrease in its sales: “1500 in the first quarter of 2021 then 900 in the second quarter and 700 put on sale only in the third quarter”. This in connection with a weak supply of the market: only 1000 sales recorded “.
Domino effect: reduced stocks, less than 1,100 housing units
Historically low with less than 3,800 homes, in one year, compared to the third quarter of 2020, the stock fell by more than 1,100 homes. A market where the supply is much lower than the demand, close to a situation of shortage of housing in real estate development.
It should be noted that in this third quarter of 2021, a trend in favor of sales to occupants, which represents 48% of these, emerges.
Prices on the rise: more than 3% in one year
Direct consequence of this decrease in sales, the increase in prices. Indeed, prices continue to increase to reach over the first three quarters of the year, 3,940 euros per m2 for occupants and 4,040 euros per m2 for investors, an increase of 3% in one year.
City of Toulouse: sales collapse this third quarter
With only 300 listed in the third quarter of 2021, listings in the city of Toulouse are literally collapsing. A historic level never seen in the last ten years.
In the first quarter of 2021, the volume reached 1,190 homes.
Prices in the pink city also continue to increase, or 4,350 euros per m2, which is more than 100 euros / m2 more than in the third quarter of 2020.
Less gloomy atmosphere at Sicoval in a volume of activity that remains low
Feeding real estate development within the Sicoval (urban community in the south of Toulouse) with 97 releases in the third quarter of 2021 against 120 in the second quarter of 2021. A fairly responsive market with more than 110 sales made this quarter, a higher figure than the last four quarters.
Note a very slight drop in prices compared to the Toulouse urban area: 3,960 euros per m2 against 4,020 euros per m2 in the previous quarter but the price levels remain however higher than in 2020, observed below 3,900 euros on m2.