2023-11-12 06:25:34
Details Published on Sunday November 12, 2023 08:25 by the Meilleurtaux Editorial Team
According to the broker Meilleurtaux, credit rates average more than 4% over all loan terms at the beginning of November. However, a few privileged borrowers still manage to borrow at a more advantageous rate. And soon, this might also be the case for more borrowers.
Finally hope for borrowers. After several months of uninterrupted rise in real estate rates, it seems that they have reached a ceiling. Indeed, at the beginning of November, credit rates stand on average at 4.25% over 15 years, 4.35% over 20 years and 4.50% over 25 years, according to our latest barometer. Or rates more or less similar to those recorded in October.
“The vast majority of banks have not increased their rates this month, we have observed some slight increases in certain establishments but the hardest part seems to be over,” analyzes Maël Bernier, the spokesperson for Meilleurtaux. “We are heading towards a level with rates which should stabilize in the coming months at around 4.50% maximum. The 5% mark will probably not be reached,” she adds.
What rate for your project?
Comfortable income and contribution to hope to obtain a rate lower than 4%
If the communications director of Meilleurtaux is so optimistic for the future, it is because the signals which suggest a stabilization of rates, at least in the short term, are multiplying. Like for example the fact that the European Central Bank (ECB) announced at the end of October that it would not raise the level of its key rates, which are thus maintained at 4%.
A decision, linked to the fall in inflation in the euro zone, which will allow banks to breathe. And by extension, the borrowers too. Because until now, banks had to systematically increase the credit rates offered to individuals, to cope with the rise in the cost of money.
Result: the property loan has become inaccessible for many borrowers, particularly first-time buyers. Indeed, today, it has become almost impossible to obtain a loan below 4%… unless you have a very good record. Because not all borrowers are on equal footing in the credit market. “Those who fall below 4% are those who have incomes above the average in their region, who can make a 30% personal contribution and who have a little residual savings left following the project,” explains Maël Bernier.
What rate for your project?
Rates below 4% soon for everyone?
In other words, it is generally “second-time buyers”, those who have resold a property to buy another, and who automatically have more personal contribution, who can most often obtain an advantageous rate. However, while banks “were until now focused on the best profiles, they are starting to take files from ordinary customers,” says the Meilleurtaux spokesperson.
Furthermore, according to certain specialists, it is possible that rates below 4% will soon become the norm. And that they are not only reserved for the best profiles. In 2024, “we are heading towards a decline in borrowing rates with an average rate over twenty years of more than 3.5%. Afterwards, if all goes well, we will gradually go down with an average of 2.75% in 2025, so at the end of the year a rate between 2.25 and 2.5%,” predicts economist Michel Mouillart to Le Parisien.
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