A study carried out by the Housing Improvement Club (Club de l’amélioration de l’habitat – CAH) has revealed the importance of the housing renovations business in France and provides some facts about the sector.
The housing renovations market in France represents 75 billion euros per year – one of the main facts to emerge from the CAH observatory (1), revealed exclusively by Batiactu. This study, entitled «The quantification of the housing renovation market» aims to «provide information and to think strategically about how the home renovations market is structured and to understand the trends».
One of the characteristics of the observatory, whose first study concerns 2015, is that it relies on official sources communicated by the General Commissariat for Sustainable Development (CGDD). “We aim to provide figures which are agreed on by the actors of the sector and which are consistent with national accounts » an expert from the National Housing Agency (ANAH) – a member of CAH explained to Batiactu.
A market which mainly concerns the general public
Over and above this figure of 75 billion euros, the observatory provides valuable insight into the typology of renovation projects. For example, 81% of the project demand in this activity sector comes from private homeowners or tenants, representing 61 billion euros, while social landlords account for 16% of the total (12 billion euros). “The specificity of this market is that it concerns the general public”, explains the Anah expert. “A number of actors and industries in this sector often forget this point. We are dealing with consumers who don’t know what the term ‘maître d’ouvrage’ means and professionals need to make a huge effort to educate these consumers, as we do ourselves at the agency.” With a view to mass-market energy saving renovation work, we have to adapt our language to the general public, who hold a large share of the financing.
Taking into account the typology of buildings, the market is divided equally between individual houses and apartment blocks (37 billion et 38 billion, respectively).
DIY home improvements market is worth 12 billion euros
The study reveals two other points. Firstly, that DIY accounts for 19% of household spending, or 12 billion euros, and secondly, the after works / after sales service market, which involves the fine control of installations, accounts for 20% of the renovations budget, or 15 billion euros. “This is becoming a significant activity, particularly due to objectives relating to energy efficiency”, explains an expert from the French Building Federation (FFB).
“More detailed information about improvements /maintenance, such as distinguishing between different types of clients or buildings, was lacking from housing reports produced by public authorities,” added the FFB expert. “Now these data are available, they will form the basis for the next three to four years to come.”
(1) The Housing Improvements Club brings together a number of bodies in the sector, such as Ademe, Capeb, Anah, CSTB, Qualitel, l’Untec…