LUXURY REAL ESTATE: TEN YEARS THAT HAVE RESHAPED THE LANDSCAPE OF FRENCH LUXURY

USPA NEWS - Rarely have Households operated in such an Uncertain Environment. Geopolitical Tensions, the Return of lnflation, a Sharp Rise in lnterest Rates, Economic Slowdown, Political lnstability: for the Past Five Years, the Traditional Benchmarks of Real Estate Markets have been Profoundly Shaken....

Rarely have Households operated in such an Uncertain Environment. Geopolitical Tensions, the Return of lnflation, a Sharp Rise in lnterest Rates, Economic Slowdown, Political lnstability: for the Past Five Years, the Traditional Benchmarks of Real Estate Markets have been Profoundly Shaken.

In this Context, the Luxury Real Estate Market has weathered the Real Estate Cycle better than the Rest of the Residential Market. This Relative Resilience is explained in particular by the Asset-Oriented Nature of its Clientele, less dependent on Credit and more guided by Strategies of Preserving and Passing on Wealth.

This Dynamic is also Part of a Deeper Evolution in French Society. Never before have the Wealthiest Households held such a Large Share of French Wealth. Since 2010, their Share has increased from 41.3% to 47.1% of National Wealth, helping to support a Luxury Market less sensitive to Traditional Real Estate Cycles.

At its Annual Press Conference (June 18, 2026 @ Hôtel Lutetia - Paris), Belles Demeures unveiled a Groundbreaking Study on the Major Transformations of the French High-end Market over the past Ten Years and highlights the New Territories, New Aspirations, and New Balances that are shaping Luxury Real Estate today, at a Time when Tax lssues and the 2027 Presidential Election could weigh more heavily on the Market than lnterest Rate Fluctuations.

1) - Five Years after the Health Crisis, Holiday Destinations are emerging as the New Drivers of French Prestige.

* First Lesson: Paris is no longer the Leading Prestige Market.
ln 2025, the Atlantic Coast and the French Riviera each accounts for 15% of the Value of Luxury Property Transactions, ahead of the Capital, which now represents 14% of the Market. In 2015, Paris and its Surrounding Region represented nearly a Third of the Value of French Luxury Property Transactions. By 2025, their Share had fallen below 24%. In other words, Paris and its Region have lost more than 10 Percentage Points of Market Share to Resort Areas over the past Ten Years.

* This Reconfiguration reflects the Emergence of a New Residential Geography of Prestige. Accelerated by the Health Crisis, the Search for Space, Nature, and Quality of Life has progressively strengthened the Attractiveness of Coastal Areas, Alpine Resorts, and High-end Residential Markets located outside major Metropolitan Areas. This Dynamic is part of a Broader Trend observed across the Entire French Real Estate Market, marked for Several Years by a Gradual Shift in demand towards the West of the Country and Regions offering a Better Quality of Life.

* However, this Geographical Redistribution has not been to the Detriment of the Luxury Market as a whole. With nearly 40,000 Transactions in 2025, up 10% Year-on-year, the Segment is returning to a Solid Level of Activity and now represents more than €39 Billion in Transactions, or nearly 17% of the Value of the French Real Estate Market.

2) - The Alps, Brittany, and the Atlantic Coast among the Decade's Big Winners.

* The Hierarchy of Luxury Markets has been profoundly transformed over the past Ten Years. While Paris remains the most Valuable Luxury Market in France, with a Median Price approaching €2 Million, it is the Resort Markets that have recorded the strongest Value Creation.

* The Strongest Price lncreases over Ten Years are observed in Normandy (+49%), Provence (+49%), the Atlantic Coast (+48%), the Alps (+45%), and Brittany (+41%). Conversely, Historically the most Valuable Markets, such as Paris (+29%) or the French Riviera (+30%), show more Moderate Growth.

This Dynamic illustrates the Catch-up of Territories which, although long established in the World of Prestige, still offer more accessible Price Levels than the most Established Markets. By offering an Attractive Balance between Quality of Life, Exclusivity, and Relative Affordability, these Destinations have attracted Clients seeking High-end Primary or Secondary Residences, while retaining Significant Potential for Appreciation.

3) - The 2027 Presidential Election could have a Greater lmpact than lnterest Rate Fluctuations on the Luxury Real Estate Market.

* After Several Years dominated by Rising lnterest Rates, the Concerns of Luxury Buyers are changing. According to the OpinionWay Study conducted for Belles Demeures, Taxation is now their Primary Source of Worry. More broadly, the Political and Fiscal Environment is emerging as an lncreasingly lmportant Decision-making Factor for this High-Net-Worth Clientele.

* Above All, the Luxury Market is not suffering from a Lack of Buyers. Those with Projects remain active and confident: 72% say they believe their Acquisition will be Successful. The Real Challenge lies more in matching the Available Supply with the Expectations of a Clientele that has become more Selective and Demanding.

* 31% of Buyers surveyed stated that they might redirect their Real Estate project depending on the Outcome of the 2027 Presidential Election. Conversely, only 23% believe that a Drop in lnterest Rates would accelerate their Project, compared to 67% who primarily cite the Availability of Properties that meet their Expectations.

* These Results suggest that the Luxury Market is entering a New Phase. The lssue is no longer about bringing Buyers Back, but about meeting the Expectations of an Existing, Solvent, and Demanding Clientele, in an Environment where Wealth Management Considerations will be even more Decisive than Financing lssues.

- About "Belles Demeures"
Belles Demeures is the Luxury Real Estate Portal of the "SeLoger Group". With 4 Million Monthly Visits, up 26% compared to 2024, and nearly 70,000 Listings Online, Belles Demeures captures 41% of the Overall Luxury Demand Audience in France (source: Similarweb, average January-September 2025 vs. Propriétés Le Figaro, Luxury Estate, Green Acres, and Résidences Immobilier).

- Methodology
The Study is based on the Analysis of Real Estate Transactions from the DVF Database, Audience and Listing Data from Belles Demeures, as well as an OpinionWay Survey conducted in May 2026 with 248 Luxury Real Estate Project Owners.

- Experts Testimonies
* Thibault de SAlNT-VilNCENT, President - Barnes
* Sébastien KUPERFlS, President - Junot/Forbes Global Properties
* Sophie BERG, Deputy Managing Director - Daniel Féau
* Alexandre BRUNEAU, Managing Director - Kretz Real Estate

- Belles Demeures Study
* Julia COHEN, Key Account Director
* Thomas LEFEBVRE, Vice President of Data Science
* Audrey PlERSON, Luxury Manager

Source: Press Conference held by "Belles Demeures"
Luxury Real Estate
Ten Years that have reshaped the Landscape of French Luxury.
Study: based on the Analysis of Real Estate Transactions
On June 18, 2026
@ Hôtel Lutetia - Paris

Ruby BIRD
http://www.portfolio.uspa24.com/
Yasmina BEDDOU
http://www.yasmina-beddou.uspa24.com/