What you need to know about short-term rental investment in Nancy :
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Investing in holiday rental property in Nancy offers very attractive prospects for profitability. If you own a property in Nancy, this article will provide you with a detailed analysis of the benefits of letting your property on a short-term basis.
A booming demand for tourism in Nancy
Nancy is a city that attracts more and more tourists every year, thanks to its rich culture, historical and artistic heritage, as well as its events and festivals. Travellers are looking for comfortable, well-located and affordable temporary accommodation to make the most of their stay. More and more families are travelling and looking for a pied-à-terre for a few nights while exploring the city. To better understand the scale of tourist demand in Nancy, let's take a look at some key data:
- In 2022, Nancy welcomed over 1.8 million visitors, an increase of 7% on the previous year.
- Tourists come mainly from France, Belgium, Germany, the Netherlands and Luxembourg.
- Nancy's main tourist attractions, such as Place Stanislas, the Musée de l'École de Nancy (Villa Majorelle), the Old Town and cultural events such as music festivals and the Saint-Nicolas celebrations, attract hundreds of thousands of visitors every year.
Nancy's economic and tourist assets
Nancy is strategically located at the heart of the Grand Est region, close to cities such as Metz, Strasbourg, Luxembourg and the Vosges, and right in the heart of Europe. This advantageous geographical position makes it an ideal stopping-off point for travellers exploring the region. Nancy's economic and tourist attractions include:
- - The presence of renowned universities and research centres, attracting international students, researchers and visiting professionals.
- The development of a medical and scientific cluster, stimulating visits from health and research professionals.
- Well-developed transport infrastructure, with a TGV station and motorway links providing easy access to the city.
- The town's charm and authenticity, making it a great place to stay for tourists and short breaks.
Affordable property prices in Nancy
Investing in rental property in Nancy remains relatively affordable compared with other major French cities. The average price of existing property in Nancy is around €2,000 to €2,400 per square metre.
This average price level is lower than Metz or Reims, and on a par with Besançon!
A shortage of hotel accommodation
There is a shortage of hotel accommodation in Nancy and the surrounding area, especially during peak periods. A few key points help to explain this situation:
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- The average occupancy rate for hotels in Nancy regularly exceeds 75%, reaching peaks of 85% during peak tourist periods and major events.
- The 2,000 hotel rooms available in the conurbation are often not enough to meet the growing demand from visitors.
- Travellers, particularly those seeking a more intimate and personalised experience, are looking for alternative accommodation, such as furnished flats and guest houses. Their demands are increasingly high.
The profitability of holiday rentals in Nancy
Short-term lettings in Nancy offer attractive returns, but not for all types of property.
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- The available rental supply of studio and 1-bedroom apartments at 1 January 2023 has risen by more than 19% in the space of a year.
- Demand for these types of property has risen by just 3% over the same period.
- As a direct consequence, REVPAR has fallen from €33 to €31 per night (down 6% year-on-year).
- If we focus on the luxury range, REVPAR is stable at around €44 per night.
- This market saturation only applies to properties with one bedroom or less; for properties with two bedrooms or more, rental demand is increasing more than the supply of available accommodation.
Investing in seasonal rental property in Nancy is an excellent idea: growing tourist demand, affordable property prices and a shortage of hotel accommodation create a favourable environment.
The recent saturation of the market for small surface areas means that you need to become a professional or enlist the help of an Airbnb concierge service such as Rock in Share if you want to make a success of your rental investment.
In this context, top-of-the-range management takes on its full meaning through careful promotion, a quality service for managing bookings, and careful monitoring of market data for effective revenue management.
Consult the Rock in Share team for an in-depth market analysis of your property and its potential for seasonal rental.
See our article Why let Rock in Share manage your property ? for more details!
Make an appointment with Kevin or contact us directly to find out how we can help you realise the full potential of your holiday rental property:
Opening hours of the telephone hotline for homeowners: Monday to Friday, 10am to 12.30pm and 1.30pm to 6.30pm.