Wednesday, February 11, 2015

Housing construction restarts in France – Le Monde

Housing construction restarts in France – Le Monde

Le Monde | • Updated | By

Measures to boost construction, taken in late August 2014 by Manuel Valls, Prime Minister and real driver of housing policy since the departure of Cécile Duflot, would they be trying to achieve their goal? Proponents believe in: “The recovery is at hand and hope reborn” , is delighted Payelle Francis, president of the Federation of property developers in France (FPI)

<. p> The new home sales have, in fact, in the 4 th quarter 2014 increased by 12.5% ​​compared to the same period of the previous year, reaching 33,551 units. This represents, over one year, 76,580 sales, 3% more than in 2013, according to figures released Wednesday, February 11.

Investors (individuals who buy to rent) apparently leave convinced by the new advantage of Pinel law, named after the current Minister of Housing, in place since the 1 st of September. Which helped attract 11,703 buyers at 4 th quarter 2014, or 66% better in three months.

“The government has found the necessary flexibility to restore confidence in the stone, which remains an excellent source of income, secure, for retirement “, says Mr. Payelle.

Pinel advantage allows the lessor to sell and out of the system after six, nine or twelve-year lease (instead of nine years in the Duflot) and, under certain conditions, to lease his property to his parents or children: “It’s a possibility that will be little used but reassuring “, argues the president of FPI.

Against its commitment to hire at a regulated price, investors can reduce their taxable income 12%, 18% or 21% the price of the accommodation as he praised six, nine or twelve years.

M me Duflot had attempted to reduce this tax perfusion which, since 1982, supplies to great cost to the state, the creation of new housing, but Mr. Valls has returned, while retaining the constraint limits rents about 20% lower than the market price. The real estate tax exemption still will cost 1.7 billion euros to the state in 2015!



Higher loan applications with zero interest loans and social access

Another good news, individuals who purchase their principal residence, including first-time buyers are waiting for you, with 11,685 sales in the last quarter of 2014, 43,000 for the year, up 8 2% compared to 2013.

“We are seeing increased demand for interest-free loans (PTZ) and home ownership loans (PAS) dedicated to modest first-time buyers directly related to the measures taken by the government. This is very encouraging because these are buyers who have defaulted since 2007 “, analyzes Bruno Deletré, CEO of Crédit Foncier de France.

The government raised the income limits for access these loans and extended to seventeen years grace period (during which the borrower repays nothing) PTZ, which allows the bank to consider the amount as a personal contribution.

As for the PAS, it opens to the borrower access to personalized housing (APL) with about 30 000 households now have to pay back their loans. The government wanted to remove the PLA Accession in 2015 “but not to penalize this device, parliamentarians have extended for one year” says Deletré.

the right numbers in residential reservations plans are sold on building permits tomorrow and yards after tomorrow, which means hope for a resumption of construction in 2015, after its collapse in 2014 to less than 300,000 set site, the level of 1997.

“I am reasonably optimistic, which is not my nature , announces Emmanuel Ducasse, expert Crédit Foncier, and we expect, for 2015, on a production of 320 000 units and production of new housing loans of 130 billion euros, against 119 billion in 2014 “.

Prices continue to grow at a steady pace

The buyer return concerns, beyond the nine, while the real estate market. It is certainly due to the exceptionally low rates of credit (2.4% in twenty years), “even if the real rate of 2.3%, with almost zero inflation remains higher than what we have known 2011 ‘ says Mr. Deletré.

MeilleurTaux broker notes “an influx of real estate borrowers with signed agreement or in the process of being, from 25% to 30 %, not counting the renegotiations credits “, confirms Maelle Bernier, his communications director.

Empruntis broker registered in January apply for loans up 54%. Mirlicourtois Alexander, director of forecasting and economic conditions of the economic consulting firm Xerfi, prognostic, he, as “mortgages rates should push the floor of 2%, while allowing banks to maintain margins . Everything is done for a resumption of transactions but also the beginning of a new cycle (prices) by year end “.

Low interest rates, financial incentives and technical measures (the extension of two to three years the validity of the building permit or relief of certain construction standards, such as lower parking requirements) promise a better future for the construction and employment since each new home creates 1.7 jobs for a year.

But the new housing prices continue to grow at a steady pace of 2.7% in the Ile-de-France and + 1.3% nationally: the price of land contributes but the cost of construction as

It remains to convince some elected to build, especially where the needs are most acute is. -to say in Ile-de-France: “There are still between 30 000 and 35 000 units blocked by the mayors’ , laments Mr. Payelle

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