Shining on the world stage

The prime market in Paris has emerged as a bright spot globally. Prices have risen at a time when the prime residential markets of many other world cities have stalled. Concentrated within the capital’s historic centre, prime Paris property is viewed as a safe, long-term store of wealth. To international buyers, values are still attractive by global standards.

The city’s residential market is currently benefiting from an alignment of factors that have driven domestic demand and boosted its international appeal. Domestic reforms under President Macron, low interest rates and a stable economy are some of the factors fuelling growth.

In the rental market, city-wide caps are now in place. Nevertheless, rentals remain attractive, particularly short-term lets, due to the size of the tourist market and the ability to generate income in a low interest rate environment.

Growth is being led by new areas as the prime market expands. The gentrification of the 9th and 10th arrondissements has seen these areas outperform. Strong demand for the ‘villages’ of Batignolles and Montmartre, together with up-and-coming areas such as South Pigalle, have emerged as notable hotspots.

^{How we define prime Paris residential}

^{Prime Typically priced between €2 million and €4 million, or €12,000 to €20,000 per sq m, prime property is usually found in the 1st, 2nd, 3rd, 4th, 5th, 6th, 7th, 8th and 16th arrondissements – though it can be anywhere, given the right neighbourhood.}

^{Ultra-prime Typically priced over €4 million, or €20,000 per sq m, ultra-prime covers the most exceptional properties in the prime arrondissements. They may have special views, large outdoor spaces or located in buildings of the highest architectural quality.}

_{Read the other articles within Report: Paris Prime Residential below}