Why Does France Remain the Leader in Mortgages?
When comparing mortgage ownership rates in France to those in other European countries, it is evident that France ranks among the top 10 countries with the highest proportion of households with a mortgage.
A mortgage is a loan that a bank grants to an individual, reserving the right to foreclose on the financed property if the borrower fails to repay the debt. In such a case, the sale of the property will allow the lender to recover its funds. With 26% of the French population having opted for this financing option, the country ranks 10th in Europe, not far behind Finland (27%), Portugal (28%), and Ireland (29%). This trend reflects the importance placed on homeownership in France.
“The fact that 26% of French households have a mortgage attests to the prevalence of homeownership in the country. This trend can be explained in large part by the French people’s strong cultural attachment to home ownership, which is viewed as a safe investment and an inheritance to be passed down to future generations. By ranking 10th within the European Union, France confirms its status as a prime destination for real estate investors.”
Among the 10 countries in the European Union with the lowest mortgage ownership rates are several Eastern European countries. In 2022, the three countries with the lowest mortgage ownership rates were Lithuania (with 12% of the total population holding a mortgage), Romania (11%), and Bulgaria (10%).
