New property price index to be launched in France15 June
For the first time ever there is to be a close-to-real time property index in France. Set to be launched in September, the LPI (Les Prix de l’Immobilier) index will be fed weekly by new transactions from a variety of different sources.
“The French Notaires have had a monopoly on house price data for a long time and when reports are published they are always six months behind," comments Nicholas Leach at Athena Advisors. "Historical data is always useful but the lack of real-time market information has always been a frustration for non-resident buyers, especially when this type of information is so readily available in countries like the UK. This new index will be extremely helpful when dealing with foreign investors, especially if it’s their first purchase in the country.”
Designed by Michel Mouillart, Professor of Economics at the University Paris-Ouest and director of the Housing Credit Observatory (CSA) the LPI will use data from sources including Crédit Foncier, Gecina, Sogeprom and the SNPI, the national syndicate for real estate prices.
“One of the biggest factors for overseas buyers is that they’ll now be able to see data for new-build property as well as resale,” adds Leach. “The Notraires data is largely based on resale property so for areas like central Paris where newly built property is extremely rare this new information will be very useful.”
The index will be show data for the whole of France and also by region, city and town.