How is new real estate doing in Montpellier in 2021?

A dynamic and ever-expanding city, Montpellier has a real estate market most attractive. There health crisis linked to the COVID-19 however, slowed down activity. However, this experienced a significant increase during the summer of 2020. Thanks to government recovery plan, new real estate in Montpellier is doing well. Indeed, this will continue to progress in the coming months.

A slowdown linked to the health crisis

Because of the pandemic and confinement in March 2020, the market of new real estate in Montpellier experienced a sharp slowdown. All this linked to the municipal elections, since during the electoral period, applications for building permits are suspended, new real estate was not in good shape. In fact, the different new programs were stopped and purchases were really slowed down. This is why old housing was stormed at the end of the first confinement. However, with new constructions With a garden or terrace, demand continues to increase. This is why, currently, the new real estate market in Montpellier is picking up steam. Also read: Fuels: Display of price per kilometer in application

Strong demand for new housing with exterior

Many new developments in Montpellier have an exterior. A criterion highly sought after by Montpellier residents who wish to enjoy a little piece of greenery since confinement. This is a big advantage compared to theold real estate, which often offers apartments without access to the outside. In addition, forced teleworking is another reason that increases the demand for new housing in the city of Montpellier. It must be said that these new constructions are often subdivisions of small individual or suburban houses. They are located in very popular areas of the city and have everything to appeal to residents and those who wish to settle there. This is why the new real estate market is very dynamic. Also read: How to end your mobile plan using termination?

Rising prices

Faced with increased demand for new housing with exterior, the price of Montpellier real estate market is constantly increasing. However, even if this was very significant in many cities in France, it remains quite moderate in Montpellier. However, this increase is quite significant compared to other years (+2.4% compared to last year, +4.6% 2 years ago, +12.7% 5 years ago). Figures which therefore allow us to demonstrate that stone is still a sure value. Many French people want to become owners in order to build up a solid and lasting heritage. Especially since accessing property has become easier thanks to different government aid really interesting. Also read: What exactly does an automobile agent do?

State aid to become an owner

The increase in new real estate in Montpellier is also due to the various aid offered by the State. Indeed, wishing to revive real estate in the major cities of France, this aid is very useful in order to more easily access property. First of all there is the Pinel law, very interesting for becoming the owner of a new home in the city of Montpellier. This tax relief scheme therefore allows you to benefit from a tax reduction interesting, depending on the duration of the rental. In fact, this aid is only valid within the framework of a rental investment with a view to offering new housing in large numbers. Namely:

For a 6-year rental, a tax reduction of 12%
For a 9-year rental, a tax reduction of 18%
For a 12-year rental, a tax reduction of 21%

Not to mention the interest rates currently at their lowest and allowing a large number of French people to invest in new real estate. However, faced with this particular situation, banks are more attentive to borrowers' files and are demanding more and more guarantees. Also read: Investing in Pinel: all the advantages

New real estate favored by the government

One thing is certain, new real estate is particularly favored by the government. Thanks to a large-scale recovery plan, buying a new real estate property in the city of Montpellier is much more accessible. Also, the new real estate market in this city ofHérault is constantly growing. So, don't hesitate to invest in new housing. Also read: What are the keys to success in trading like Forex or stocks?