The granting of new real estate loans reached its lowest level in eight years in 2023. The production of housing loans continued to decline in December to reach 8.2 billion euros over the month.
The rise in interest rates and reluctance banks to grant new loans while wages are increasing little have contributed to the drop in demand. The French are on average in debt for 23 years when they buy their main residence, with first-time buyers - who represent half of borrowers - being in Debt for seven months more.