Rents in France continue to rise in 2025, straining household budgets. The average cost is now 723 euros per month, up 3.3% from 2024.
Greater rent disparities between cities
The national average rent reaches 17.03 euros per square meter, but significant disparities exist between cities. Paris leads with 38.7 euros per square meter. This means a 15 m² studio in Paris costs the same as a 25 m² in Bordeaux or 54 m² in Rouen. Conversely, Saint-Étienne offers the most affordable rents at 10 euros per square meter.
Factors behind rental inflation
Cities like Rennes and Orléans are experiencing significant rent surges, increasing by 7.25% and 6.24% respectively. This reflects demographic growth, new businesses, and economic dynamics, which boost demand while housing supply struggles to keep pace.
The Reference Rent Index and its impact
The tension between supply and demand is exacerbated by the revaluation of the Reference Rent Index (IRL), up 2.47% over a year. This allows landlords to adjust rents accordingly, weighing heavily on household expenses.
In a tight rental market, households' purchasing power continues to erode. Expanding rent caps in metropolitan areas might stabilize the situation but may not be sufficient to curb price hikes.
