Informations Rapides · 26 January 2021 · n° 021

In January 2021, real estate developers’ opinion on demand for new dwellings has improved Quaterly business survey in the real-estate development - January 2021

In January 2021, the real estate developers’ opinion on demand for new dwellings has improved compared to October 2020: the corresponding balance of opinion has recovered but remains below its long-term average.

In January 2021, more real estate developers than in October 2020 have planned housing starts for the next three months. The corresponding balance of opinion has bounced back strongly and has returned above its long-term average. This rebound affects both housing for sale and housing intended for rent. The balance of opinion about housing intended for sale has returned above its average; the one about housing intended for rent, already above its average in October, has surpassed it more.

At the same time, many more real estate developers than in October 2020 have indicated an increase in their unsold dwelling stocks. The corresponding balance has bounced back and has almost reached its level of July, a little above its long-term average.

Real estate developers are more numerous than in October 2020 to indicate a rise in the average price of new dwellings for sale. The corresponding balance of opinion has increased again and stands well above its long-term average. About funding, less developers than in October 2020 have considered that downpayment to acquire a new dwelling has increased during the last three months: the corresponding balance has declined slightly but remains above its long-term average.

Finally, many more developers than in the previous quarter think that the financing capacity to purchase new housing will increase over the next three months. The corresponding balance of opinion has strongly risen and has gone significantly above its long-term average.