The city of Bordeaux has many assets likely to attract investors : growth in employment and business creation, city of Art and History, presence of public transport and renowned universities, tourism abundant (city center listed as a UNESCO World Heritage Site, gastronomy and oenology).
In addition to these elements which contribute to the dynamism of the city, the imminent arrival of the high-speed line (LGV) and the realization of the Euratlantique project (urban developments of 738 hectares) contribute to the increase of the economic and demographic weight of the city. on a European scale.
If the Pinel system has largely contributed to the take-off of investment in new real estate in Bordeaux (tax reductions, compliance with thermal standards), the specific qualities of the Bordeaux market also come into play: sustained rental demand which ensures to find a tenant, sale of the property facilitated.
In Bordeaux, the real estate market inspires confidence in investors . 21% of French people attest to Bordeaux’s ideal position for investing in real estate, placing the city ahead of Paris, Nantes and Lyon (Opinion Way 2016 survey).
Accession to property remains for many French people the basis of a certain comfort of life, with all the advantages that flow from it: feeling of being “at home”, transmission of a heritage to one’s descendants, preparation of retirement, financial security etc.
In 2016, 61,325 new homes were sold in France to investors with the aim of being rented out. This represents an increase of 23% compared to 2015 according to the Federation of Property Developers (FPI).
In Bordeaux, several factors contribute to making investors turn to new real estate: tax reductions, compliance with thermal standards, the certainty of finding a tenant, the simplicity of the sale of the property.
With a tax deduction that can reach 63,000 euros , the Pinel law has in particular been able to encourage Bordeaux and Ile-de-France residents to invest in stone. Investors who favor new construction can still take advantage of this tax incentive scheme. Extended until December 2017, the Pinel law offers tax reductions to anyone buying a new apartment in Bordeaux.
Let’s take the example of a Pinel law rental investment: the profitability of a two-room apartment of 45 m² bought for 200,000 euros is around 3% (yield improved by the tax deduction, see the details of the simulation).
All residential accommodation built after 2011 meets the 2012 thermal regulations (RT 2012), a consequence of the Grenelle 2007 environment. Thus, buying a new home guarantees to limit the development work. Indeed, a new apartment in Bordeaux will necessarily be up to standard with regard to ventilation, thermal bridges, air permeability and the surface of bays, windows and doors. These standards aim to limit heat leaks and provide the assurance of housing with reduced energy consumption.
In Bordeaux, rental demand is sustained. A LocService study recalls that the city has a high rate of tenant households (67% according to INSEE). This is partly explained by the strong student presence in Bordeaux. In addition, among tenants wishing to settle in Gironde, 51% are looking for accommodation in Bordeaux as a priority.
The Unis Nouvelle-Aquitaine (Union of real estate unions) presented in February 2017 an inventory of the real estate market in Bordeaux. Catherine Coutellier, President of the United explained: “The market is good, because the attractiveness of the Bordeaux metropolis in particular, and of all the coastal towns in general, continues to grow”.
Moreover, in 2016 Bordeaux had the most fluid supply/demand ratio on the real estate market in France , ahead of Nantes and Lyon. In other words, with sales times of between 30 and 45 days and a minor discount (less than 2.5%), finding a buyer in Bordeaux is easy.
To invest in a new apartment, in addition to the strategic choice of a city that captivates tenants, it is important to know how to choose a neighborhood favorable to renting.
In Caudéran , the T1 and T2 which are displayed between 155,000 euros and 195,000 euros offer a profitability of 4%. In the Bassins-à-Flot district, a two-room apartment of 49m² at 195,000 euros allows a 3.3% yield, while a three-room apartment of 77m² at a price of 289,000 euros allows a 3% return. Further south, the Nansouty district is offering a 33 m² one-bedroom apartment for sale at a price of 155,000 euros (profitability of 3%). To the north, the Chartrons district is less favorable for investment: a 40m² one-bedroom apartment at a price of 195,000 euros will produce a return of 2.9%.
In the Fondaudègue district, a vast real estate project is in progress and illustrates the attractiveness and the move upmarket of Bordeaux housing. Soon a few dozen new apartments on the site of the former Marie Brizard (spirits) factory will emerge from the ground and will be marketed at more than €6,000 per m 2 .
It is appropriate to turn to neighborhoods that benefit from urban renewal, as is the case of the Belcier or Ginko neighborhoods. Indeed, located in the area of the Euratlantique project, these projects will benefit from all the amenities popular with tenants: presence of public transport, modernization of infrastructure, local services (shops, sports hall, etc.).
In the Ginko eco-district, a two-room apartment of 44m² displayed at 176,000 euros allows a profitability of 3.4%.
The Pinel zoning can also encourage investors to explore the Bordeaux periphery. Municipalities such as Libourne, Castelnau-de-Médoc or even Saint-Michel-de-Rieufret offer advantageous profitability because the price per square meter is lower there than in Bordeaux (8.75 euros against 10.07).
It is interesting to note that among the people who bet on rental investment, only 20% are from Bordeaux. It is foreigners and Parisians who are investing massively in new buildings in Bordeaux . This can be explained by the new proximity between Bordeaux and the capital, made possible by the LGV scheduled for July 2017.
On the other hand, Paris is in the Pinel A bis zone. The prices applicable per square meter are therefore much higher there than in Bordeaux, as the following table shows.
When asked why the Gironde capital attracts investors in the new home market, several factors are involved. In addition to the pleasant living conditions offered by this lively metropolis, the Pinel tax incentive system seems to have largely contributed to the good health of the new real estate market in Bordeaux.
So, what will be the decisions of the Macron government vis-à-vis the Pinel law: deletion? Maintenance under the same conditions? Maintenance with reassessment? In other words, will owners of new homes still be able to benefit from tax advantages?