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Demand is increasing, while supply is growing twice as fast. For sellers, the market recovery does not eliminate the need for accurate pricing and a demanding sales strategy.
In Paris, the luxury real estate market is gradually regaining momentum. After a particularly difficult year in 2024, more buyers returned to the market in 2025. This recovery is a positive signal, but it is also accompanied by an even faster increase in the number of properties available for sale.
Demand has increased by 9%, while supply has risen by 19%. Buyers are therefore more numerous, but they also have a much wider range of properties to compare.
Fairway Luxury Real Estate assists property owners in analysing their property and its micro-market in order to establish an ambitious, well-supported asking price adapted to the actual conditions of the Parisian market.
After a particularly difficult year in 2024, the French luxury real estate market regained momentum in 2025.
In Paris, the Carnet du Prestige 2026 published by Belles Demeures reports a 9% increase in demand over one year.
This return of buyers is a positive signal. Projects that were postponed during the rise in interest rates are reappearing, while wealth-oriented buyers remain less dependent on financing than those in the traditional residential market.
Paris also retains long-term advantages: market depth, international appeal, architectural quality and the lasting value of its most sought-after addresses.
The French capital recorded 2,718 luxury property transactions in 2025, representing €4.4 billion in value. Over ten years, the index published in the study shows an increase of close to 30% for the Paris luxury market, which has demonstrated greater resilience than the traditional existing residential market during the correction that began in 2022.
The increase in demand tells only part of the story.
Over the same period, the number of properties listed for sale in Paris increased by 19%, more than twice the growth in demand.
Buyers are therefore more numerous, but they also have more alternatives. They can compare locations, floor levels, layouts, natural light, the condition of condominium buildings, energy performance and the cost of renovation work.
This greater depth of choice reduces their tolerance for a property's weaknesses when those weaknesses are not reflected in the asking price.
The return of buyers therefore does not mean that prices are rising uniformly again. It primarily benefits properties whose actual quality, asking price and marketing strategy are aligned.
Speaking about a single luxury real estate market can be misleading for sellers. Two apartments offered at the same price may experience completely different sales trajectories.
A family apartment located at a sought-after address, on a high floor, bright, quiet, with a well-designed layout and preserved architectural features remains difficult to replace.
When its asking price is consistent with the market, several buyers may position themselves within a short period of time.
Rarity is therefore not simply a question of price. It results from a combination of characteristics that buyers cannot easily find elsewhere.
Conversely, a high-end apartment located on a low floor, with an imperfect layout, average natural light, significant renovation requirements or an expensive condominium enters into competition with many other properties.
Its asking price must compensate for this lack of rarity.
In this segment of the market, even a limited overvaluation can cause a property to lose momentum during its first weeks on the market. It then accumulates exposure time, while buyers may interpret its prolonged availability as a signal that there is room for negotiation.
A high asking price can sometimes reflect the rarity of an asset. It can also reflect the owner's expectations without corresponding to the actual depth of demand.
In Paris, the value of a luxury apartment is determined at a very precise level:
Average prices by arrondissement provide useful context, but they can never replace an analysis based on genuinely comparable transactions.
This caution is particularly important when statistics group several arrondissements together. The Belles Demeures study, for example, combines the 9th, 10th, 11th and 17th arrondissements within the same group, despite their very different micro-markets and property types.
The first weeks on the market generally attract the attention of the most active buyers.
A newly listed property benefits from a novelty effect, alerts registered on property portals and the immediate mobilisation of agencies' client databases.
When the initial asking price significantly exceeds the property's perceived value, qualified buyers may decide not to visit at all.
A later price reduction does not always recreate the momentum of the initial launch. The seller then faces a longer selling period and often a greater negotiation than would have been necessary from the outset.
Setting the right asking price does not mean choosing a low price. It means identifying the most ambitious level the market can reasonably absorb, taking into account both the property's strengths and its limitations.
In a more crowded market, the way a property is presented directly affects its ability to stand out.
Photography, video, floor plans, listing copy and the selection of information must allow potential buyers to quickly understand what distinguishes the apartment.
This also requires careful qualification of prospective buyers, precise monitoring of feedback and the ability to adjust the strategy when the market sends a consistent signal.
Marketing cannot correct an excessive asking price, but poor marketing can neutralise the qualities of a correctly valued property.
The market is neither blocked nor has it returned to the euphoria of previous years.
Buyers are present and have the financial capacity to purchase, but they are making more careful comparisons.
Rare and correctly positioned properties can still sell quickly. More conventional properties must compete directly with their alternatives and account for their weaknesses in the asking price.
For property owners, an effective strategy is based on four key elements:
Is the luxury real estate market recovering in Paris?
Demand is increasing according to data published by Belles Demeures, but the number of properties available for sale is growing faster. This is therefore a selective recovery rather than a general shift in favour of sellers.
Are all luxury apartment prices increasing again?
No. Market trends differ depending on the arrondissement, neighbourhood and, above all, the intrinsic quality of the property. Rare apartments tend to be more resilient than substitutable properties or those affected by several significant weaknesses.
Should sellers start with a high asking price to leave room for negotiation?
A reasonable margin for negotiation can be included, but an obviously excessive asking price reduces the number of qualified viewings and weakens the momentum of the property's launch. The initial price must remain consistent with recent market references and the alternatives available to buyers.
How is the value of a high-end apartment determined?
The analysis should combine completed transactions, competing properties, the specific characteristics of the apartment, its condition, layout, floor level, natural light and the current expectations of buyers. An average price for an arrondissement is not sufficient.
Why request a property valuation from Fairway Luxury Real Estate?
Fairway bases its valuations on verified comparable properties, a detailed reading of the micro-market and experience with buyers who are currently searching for property. The objective is to determine an ambitious and well-supported price that remains compatible with a successful sale.
Fairway's analysis
"The recovery in demand is good news. However, the faster increase in available supply is a reminder that the success of a sale now depends even more on the quality of the property, accurate pricing and the quality of its commercial execution."
 | Author of the article Hugues de Poulpiquet Fairway Luxury Real Estate · Real Estate Market Trained as a lawyer and founder of Fairway Luxury Real Estate, Hugues de Poulpiquet shares Fairway's market insights dedicated to the Paris real estate market, sales strategies and the valuation of high-end residential properties. |
Fairway Luxury Real Estate
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