Tunis Property Buyers Rethink Timelines as Interest Rate Forecasts Shift

A softening in expectations for further Central Bank rate rises is shaking up the Tunis property market, with agents and developers across the city reporting a sudden uptick in buyer urgency—particularly for mid-range flats in hot spots like El Menzah and emerging quarters around Lac 2.

This resurgence comes after nearly a year of jittery sentiment and price stagnation, as rising borrowing costs and economic uncertainty kept would-be purchasers on the sidelines. The shift matters for thousands of families hoping to buy or upgrade, and for developers eager to start new projects before inflation eats further into returns.

Local buyers crowd back in

Our reporting at Avenue Hédi Nouira in Ennasr this week found open houses busier than at any point since last autumn. Agencies like Century 21 Tunisie say appointments are growing, especially for ready-to-move-in apartments under 550,000 TND—popular in blocks near Carrefour La Marsa and along Avenue Fattouma Bourguiba. Younger buyers, who had postponed searches for fear of steeper monthly repayments, are edging back as signals from the Central Bank indicate a possible pause or even a modest cut before year-end.

Developers are also dusting off shelved plans. "We’re getting calls again about units in Les Jardins de Carthage that had shown little movement since February," one agent said off the record. In contrast to the cautious mood earlier this year, there’s now open talk among buyers about locking in existing rates, even if it means compromising on size or location.

Data shows prices stabilizing

Figures from the National Real Estate Observatory show median resale prices in Tunis city proper holding at 3,800 TND per square metre in June, marking a minimal 1.2% year-on-year increase. By contrast, Q1 2026 had seen a sharper 4% annualised jump and a notable drop in transactions. This dip in price growth follows the Central Bank of Tunisia’s statement on June 13 hinting that further tightening could be paused after last year’s cumulative 225 basis point rate increases.

Banks like BIAT and UBCI confirm loan inquiries have jumped by an estimated 18% month-on-month since early June. Meanwhile, traditionally strong districts such as Mutuelleville and newly popular areas like Bhar Lazreg have seen more listings go under offer within two weeks—down from over a month earlier in the spring.

For those considering a purchase, most local mortgage advisers suggest acting now may offer the best balance between stable rates and available supply. With many sellers still wary of pricing too aggressively, buyers increasingly have room to negotiate—though the window could narrow if official rates come down and competition heats up further over the summer.