In April 2014, the demand for new dwellings decreasesQuaterly business survey in the real-estate development - April 2014

In April 2014, more developers than in January indicate a fall in the demand for new housing. The corresponding balance of opinion is significantly below its long-term average. Business managers forecast a decline in housing starts for sale for the next three months. Conversely, housing starts for rent will improve.

Informations rapides
No 97
Paru le : 28/04/2014
Prochaine parution le : 25/07/2018 at 12:00 - July 2018

The demand for new dwellings decreases

In April 2014, more developers than in January indicate a fall in the demand for new housing. The corresponding balance of opinion is significantly below its long-term average. Business managers forecast a decline in housing starts for sale for the next three months. Conversely, housing starts for rent will improve.

Unsold dwelling stock might increase

Fewer developers than in January indicate a rise of unsold dwelling stock. But, the balance of opinion is still sharply above its long-term average.

Fewer developers indicate a drop in prices

In April, fewer developers than in January indicate a fall in average prices of new housing; the corresponding balance of opinion is again significantly below its long-term average. Their opinion about the downpayment to acquire a new dwelling is almost stable. Far more developers than in January forecast a decrease in the financing capacity to purchase a new housing.

tableau1 – Building construction economic outlook

Balances of opinion, in %, SA
Building construction economic outlook
Mean* July 13 Oct. 13 Jan. 14 April 14
New dwelling demand –7 –43 –43 –43 –48
Expected housing starts –6 –28 –24 –18 –25
- for sale –15 –45 –30 –27 –39
- for rent 1 –3 –9 –8 –4
Unsold dwelling stock tendency –27 –20 –19 –13 –18
Housing average price for sale 7 –26 –21 –24 –21
Downpayment –20 –43 –46 –41 –40
Financing capacity –22 –48 –48 –42 –57
  • * Mean since July 1991.
  • Source: French business survey real-estate development - Insee

Demand – New dwelling demand tendency