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At the beginning of 2009 the Paris market was showing great resistance to dropping asking prices. On average for the whole of Paris we saw a 1.1% drop in the average price of an “old” property (old meaning older than 5 years). At the same time though there had been a drop of approximately 40% in the volume of transactions. The conclusions that we can draw from this are that there were fewer buyers in the market and that owners were not dropping their prices for those who were in the market. Since those first data of the year the market has shown healthy signs of coming back to liquidity. Prices are falling but as they do the figures have shown volumes creeping back up. From May 08 to May 09 we say a 6% drop coupled with a 29% drop in sales volumes. The latest figures for August show that prices are down a further 7.6% on where they were last year but that sales volumes are only down 8%.
As expected the eventual drop in capital values has filtered through and is enticing buyers back into the market. These market shifts can be summarised as follows:

Period Change in value Change in Sales Volumes
T1   ’08 – T2 ‘09 -1.1% -39%
T2 ’08 – T2 ‘09 -7.8% -24.4%
July ’08 – July ’09 -8.1% -24%
Aug ’08 – Aug ‘09 -7.6% -8%
T1 ’09 – T2 ‘09 -4.2% n/a