Paris

As of mid-2025, Paris is experiencing a stable housing market after a brief price decrease, with average apartment purchase prices between €9,355 and €9,880 per square meter. Renting an apartment in Paris generally costs between €30 and €35 per square meter per month. Renting dominates the city: around 65% of Parisians rent their home, while only about 35% are homeowners, reflecting a typical pattern for large French cities.

Publicly owned and social housing are key features in Paris. Social housing (logement social or HLM) accounts for nearly 25% of the city’s housing stock, and the share is steadily rising as the city aims to meet national objectives. Social housing is subsidized and intended for low- and moderate-income residents, with eligibility based on income ceilings and regulated, lower rents. Public housing in Paris refers mainly to the same stock as social housing (built and managed by public, semi-public, or approved private providers), so these terms are used interchangeably in practice.

Recent trends include stabilizing transaction volumes, gradually declining mortgage rates (now around 3.2%), and a rebound in long-term rental supply. Overall, the Paris market remains pressured by high demand and limited housing stock, with premium properties and energy efficiency commanding notable price differences.

Paris’s housing crisis stems from **decades of high demand, chronic supply shortages, and pricing that outpaces local incomes**. Despite recent signs of stabilization and some modest price corrections, overall transaction volumes remain well below historical levels, and the residential market is still marked by deep pressure points. The crisis has been amplified by obstacles in new housing construction; nationwide, housing starts plummeted by over 23% in 2023, and authorizations for new homes remain at half their pre-crisis levels in Paris. This has tightened the market despite some recent recovery in rental supply.

Paris is now the most expensive rental market in France, costing 164% more per square meter than the average for the rest of the country. For many Parisians, finding affordable housing is an uphill battle, with an average 15 square meter studio costing about €723 per month. The elevated rental burden primarily affects **low- and middle-income households, singles (especially under 35), families with children, new arrivals, and immigrants**. Additionally, professionals without substantial financial support, students, and even many middle-income local workers face severe barriers to stable housing. Foreigners and high-salaried executives can often pay premium rates, which adds competitive strain to the rental sector.

The crisis also impacts landlords and small property investors, who confront heavier regulatory, tax, and renovation burdens. Housing in Paris remains fundamentally **insufficient and unevenly distributed**, leaving vulnerable groups most exposed to price shocks and displacement risk.

Housing cooperatives in Paris represent a very small share of the overall housing market, with only a few dozen completed or in-progress projects citywide. The sector’s growth has been gradual, focused on new-build participatory housing models launched since the 2010s. These resident-managed cooperatives emphasize collective property, democratic governance, anti-speculative mechanisms, and social and environmental sustainability. The ALUR law enabled such projects, leading to initiatives like UTOP, a cooperative development on public land with 14 households. Residents gain occupancy rights via their cooperative shares, and resale is strongly regulated to prevent speculation.

The city of Paris actively supports cooperative housing by making municipal land available for such projects at favorable terms, assisting with financing arrangements, and promoting experimentation through specific calls for projects. The cooperative sector does not approach the scale of social or public housing: as of 2025, cooperative housing accounts for less than 0.5% of all Parisian housing units. The primary focus remains on expanding affordable housing and social rental stock, while cooperative housing is encouraged as a complementary solution. The city also provides guidance through land policy, special loans, and technical support to foster more cooperative initiatives, aiming to diversify housing models and strengthen social ties in Parisian neighborhoods.