A rate cut was confirmed in February 2024. This is an unexpected burst of optimism. When buyers regain hope, banks, more emboldened, adjust their strategies, reopening the floodgates of their bank credit.
This turning point, heralding an era of increased property accessibility, marks a defining moment for all players in the sector. A path is opening towards new opportunities and more favorable market dynamics.
Before taking action with your bank, doing an online simulation can help you take stock of your current financial situation:
February 2024 could be an important month for the real estate sector, with a significant drop in interest rates likely to bring fresh momentum to the market. For example, CAFPI’s skillful negotiations made it possible to achieve exceptionally competitive rates for obtaining real estate loans, opening unexpected doors for future owners.
For loans over 10 yearsThe rate fell to 3.58%, indicating a strong desire to support home ownership. More than 15 yearsThe rate stands at 3.91%, indicating a sustained and reassuring downward trend for investors in the medium term. Loans over 20 years Benefit from a rate of 3.99%, a particularly attractive level for long-term life projects, while Loans over 25 years Benefit from a rate of 4.17%, reflecting the banks’ commitment to support acquisitions within a firm.1
The best rate negotiated by CAFPI, an impressive 3.50% over 20 years for the strongest files, reflects ambient optimism and renewed confidence in the real estate sector.
| Tenure of Loan | rate in January 2024 | Rate in February 2024 | % point reduction |
|---|---|---|---|
| 10 years | 3.63% | 3.58% | -0.05 |
| 15 years | 3.95% | 3.91% | -0.04 |
| 20 years | 4.10% | 3.99% | -0.11 |
| 25 years | 4.27% | 4.17% | -0.10 |
Before taking action with your bank, doing an online simulation can help you take stock of your current financial situation:
This positive development in interest rates in February 2024 is a strong market signal, indicating a favorable period for real estate investment.
Banks show their willingness to support individuals’ projects, offer more advantageous terms and contribute to a stimulating economic environment for all.
The year 2024 seems to be a turning point for the real estate market, driven by a significant drop in interest rates that is redefining the rules of the game.
This favorable dynamic materialized in February, with banks being more responsive than ever, reducing their processing time to 15 days for more than half of loan offers, compared to 40% the previous month.
This momentum, reflecting the market’s demand to file for finance, offers an interesting window of opportunity for buyers.
The return of buyers to the market, fueled not only by the reduction in rates, but also by the marginal decline in property prices, reflects a renewed interest in property.
This winning combination increases the purchasing power of real estate to potential buyers, in a context where supply remains limited.
This situation puts buyers in a stronger position, allowing them to negotiate with more confidence and obtain more favorable purchase terms.
In this optimistic economic climate, a strategy is emerging for current and potential owners: renegotiation or repurchase of credit.
As rates move downward, these options become particularly attractive, providing an opportunity to significantly reduce borrowing costs.
For those who have taken out high-rate loans in the past, now is an ideal time to consider a renegotiation or purchase, allowing you to take advantage of more favorable current conditions.
Before taking action with your bank, doing an online simulation can help you take stock of your current financial situation:
The reduction in interest rates therefore opens the door to a double opportunity: for new buyers, to join real estate projects with unprecedented credit terms; And for existing owners, to reduce their borrowing.
In both cases, the current market offers an unprecedented window of financial optimization, laying the foundation for a more dynamic and accessible real estate market.
1Rate Forecast for March 2024 – Editorial by Caroline ArnaultCommunication by Galevel & Associés
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