In December 2023, the average rent per square meter of an apartment in the first arrondissement of Paris amounted to 34 euros. This arrondissement, situated in the center of the French capital, is the smallest by area and yet, one of the most expensive ones for renters. Paris appears to have some of the highest rents in Europe.
The housing crisis in France
Although France had the highest number of completed housing units per 1,000 citizens in Europe in 2022, demand in the capital far outweighs supply. The lack of affordable housing for purchase increases competition in the rental market, leading to rents soaring in the past decade. Residential prices in capital cities in Europe are usually higher than the national average, but in France, this trend is even more pronounced. In 2022, homebuyers in Paris paid more than three times higher than the national average - a price gap only Lisbon comes close to.
The cost of living in the French capital
Paris counts some of the world’s most incredible historical sites, as well as a vibrant culture. But living in the City of Lights is becoming more expensive every year. In 2019, The Economist Intelligence Unit’s Worldwide named Paris the second city with the highest cost of living worldwide. Even though the average cost for public transport is surprisingly low in Paris, compared to other European cities, real estate prices and the costs of food or entertainment can make Parisian life less romantic than expected.