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Soaring Housing Costs Drive Paris Residents To Suburbs

Soaring Housing Costs Drive Paris Residents To Suburbs

BY Realty+
Published - Monday, 06 Jan, 2025
Soaring Housing Costs Drive Paris Residents To Suburbs

A report from the National Institute of Statistics and Economic Studies (Insee), published in December, shows Paris had 2,113,705 residents in January 2022, with the population falling 0.9 percent between 2021 and 2022.

The city lost an average of 12,800 people yearly between 2016 and 2022 – a decline of 0.59 percent. The 10th and 7th arrondissements saw the sharpest decreases, with drops of 1.8 percent and 1.4 percent, respectively. Only the 2nd, 4th, and 14th arrondissements saw slight population increases.

Insee attributes the decline to a shortage of rental properties, soaring housing costs and a growing desire for better quality of life outside the city. Experts have also pointed to a rise in rarely-used second homes, often owned by wealthy foreigners, and an increase in short-term rentals, such as those listed on Airbnb.

As a result, rents have soared, and the availability of rental units for newcomers has dwindled. Another factor in the population decline is the prevalence of small apartments in Paris, said Éric Pliez, mayor of the 20th arrondissement.

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