The health crisis has had many impacts on the real estate market… and not always badly. After spending months confined in cramped urban apartments, the French have placed the development of their housing at the top of their priorities, even if it means undertaking substantial work. While 280,000 MaPrimeRénov ‘files were submitted during the first quarter of 2021, this enthusiasm for renovation can also be observed when purchasing a new home.
A project in its image
According to an OpinionWay survey carried out in the spring for loan broker Artemis Courtage and digital architecture and renovation studio Hemea, 59% of those questioned say they are ready to buy a main residence that would require work. The figure climbs to 72% for buyers aged 25 to 34. “It’s a life project for which we plan for several years, which explains why we want to adapt it to our tastes,” explains Yann Depoys, CEO of Hemea.
But it is also a real financial opportunity, especially for young first-time buyers, since old properties to be renovated cost less to purchase and can be resold with a nice added value if everything goes as planned. The desire to model his home in his image is all the stronger since the health crisis. While the office area is no longer a luxury but a necessity, the desire for space has triggered major trips to peri-urban areas, particularly in Île-de-France. A trend that will continue with the democratization of teleworking.
“Currently, 1 in 3 properties for sale requires partial renovation in the old market anyway,” recalls Yann Depoys. In practice, this usually involves renovating floor coverings, paints, the bathroom and the kitchen. More complete work can also relate to joinery, windows and electricity. Hemea’s study estimates the average site budget at 25,000 euros, with great disparities depending on the region and age group. The budget thus climbs to 50,000 euros among 25-34 year olds, demonstrating a real real estate strategy focused on tailor-made. More generally, “80% of our customers call on us to carry out work at the time of purchase, and we generally see that 10 to 15% of the cost of the acquisition is invested in renovations”, continues the contractor.
In such a situation, individuals are faced with a double problem: it is not only necessary to assess the site’s budget as early as possible, since it can condition the purchase offer, while taking into account the financial aid available. , but also to finalize as well as possible the work project between the compromise and the final sale, in order to move in as quickly as possible.
Essential site monitoring
Many real estate agencies work in collaboration with craftsmen able to establish a first estimate. Sites specializing in renovation work also offer online cost simulators. Good old word of mouth also works a lot. But beware of unpleasant surprises: 74% of those questioned by Hemea fear poor workmanship. In addition, there are very frequent construction delays, as well as billing overruns, which can reach between 25 and 30% of the announced cost, according to Yann Depoys.
To limit the risks, the first instinct should be to multiply quotes by never relying on a single recommendation. Everything must be detailed and precise, in order to avoid later additions. For large-scale work, you can also be accompanied by specialists. You have the choice between traditional architectural firms or intermediaries.