Changes coming soon for landlords who rent: here's what's planned

Changes are expected to come into effect soon for owners of rented houses or apartments.

This is the plan of 32% of working people: investing in real estate to supplement their retirement income. Buying an apartment or a small house, renting it out, and profiting from the monthly rent to supplement their pension—this project has all the makings of a perfect plan to ensure a financially secure end of life.

Yes, but this clearly marked path is fraught with pitfalls: unpaid rent, mandatory work, administrative constraints, taxes... The obstacles are legion and discourage many. By the end of the year, some elements could change.

While there's no question of giving landlords more rights or reducing their paperwork obligations, the idea is to first focus on taxation. Today, numerous statuses exist: micro-BIC, micro-foncier, real, LMNP, etc. Depending on whether the rental is furnished or not, but also depending on the income generated, the taxation differs. An administrative multilayer that could soon be simplified. Several proposals are on the table.

The first is to unify taxation: 30% income tax, regardless of the type of rental (furnished or unfurnished). This would apply to new rental properties. These properties would also be excluded from the calculation of the property wealth tax. The idea comes from MP Charles de Courson and is to be debated in the Assembly. For its part, the French Built Property Union (UNPI) is proposing that all landlords be able to deduct 2% of the property's value from their income each year (for 40 years), as well as 5% of the cost of major renovations (for 20 years). This would reduce the amount of taxes.

Will these ideas be taken up by the government? Housing Minister Valérie Létard has commissioned a member of parliament and a senator to produce a report to "make investment more profitable and attractive." The report's findings should allow for the implementation of several measures as early as 2026. These include those mentioned above.

For Jean-Pierre Bourgin, a real estate specialist at the Exponens group, "the MP's (Courson) proposal would undoubtedly be less advantageous, but it would have the advantage of clarifying things for the taxpayer." As for the UNPI's suggestion, he also supports it, defending the depreciation of the purchase and the renovations.

However, he believes that this is a whole system that needs to be reviewed, citing "notary fees" and the IFI (Wealth Tax). Because, in his view, "owning real estate is becoming very complicated." "We tend to point the finger at those who have it. However, I know of much larger fortunes held in shares, which are certainly more virtual," asserts this accountant.

When contacted, Charles de Courson did not respond to our interview request. For its part, the report commissioned by the Minister of Housing will be released in June. Its conclusions should provide the initial guidance that landlords should expect as early as 2026.