No, France is not necessarily a bad student on a European scale! In real estate loans, she is even a model . An annual survey conducted by loan company reveals that the French owners are not more indebted than their neighbors, and secondly, that the interest rates in the Hexagon are the lowest of the moment.
Outstanding mortgage loans in Europe: state of play
In its annual survey on real estate credit at the European Union level published in May, loan company stresses that French owners are less indebted than most of their neighbors, especially the Germans or the English. According to this study, outstanding mortgage loans (capital and interest remaining due) accounted for 67% of French households’ gross disposable income in 2017, for a total of 984 billion euros for France, compared to 1.175 billion euros in Germany and 1.360 billion euros in the United Kingdom.
France champions attractive rates
When we talk about home loans, we must obviously take into account the best real estate rate that can be obtained. And in this respect, France seems to be playing even better among the great European nations. The figures of loan company attest to this. The French real estate market is illustrated above all by its very low level of pricing, with rates at 1.56% in the second half of 2017, much more attractive for borrowers than the rates charged in Germany over the same period (1.83%). %), in Spain (1.92%), or in Great Britain (2.05%).
Regional variable lending rates
Real estate loan rates in France are at their lowest since the beginning of 2018 (1.47% in April 2018 according to the financing company/CSA Observatory). However, they sometimes differ from one region to another, depending on whether one borrows for 10, 20 or 25 years. If we take the example of Brittany, Pays de Loire and Normandy, the average rates granted in May for a loan over 20 years amount to 1.75%, according to the figures Credither Guide in May 2018, while rates fall to 1.70% in Ile-de-France and 1.65% nationally.