Market Update from April 2024

Posted on 25 Apr 2024 in French Private Finance
Market Update from April 2024

Important information about the ”déclaration d’occupation”: last chance to register online before penalties.

As a property owner in France, you may have recently received an email from the French tax office requesting that you complete or update your “déclaration d’occupation,” or declaration of usage. This requirement applies to all residential real estate owners, individuals, and companies and it has been in place since January 2023. The registration must be completed online through your personal account, “espace particulier”, on www.impots.gouv.fr, no later than June 30th, 2024.

The goal of the request is still to precisely determine whose owners are liable for the housing tax (secondary residence, rental housing) or the tax on vacant housing. Although the housing tax has been abolished for principal residences as of 2023, the General Directorate of Public Finance (DGFiP) asks all owners of a primary, secondary residence, or rented housing unit to make this supplementary declaration.

Different to last year, the French Tax Office has announced that they will not grant an extension and that infringing owners may be liable for a minimum penalty of €150 per piece of undeclared real estate by the due date.

If you have opened your tax profile and completed your Déclaration accurately in 2023, your registration is still valid. However, if the usage of your property has changed before the 1st of January 2024, you must update your registration to avoid being penalised. This can be done via the tab “Biens Immobiliers” on your tax profile.

To complete the “déclaration”, the French tax office has set up an online service called “gérer mes biens immobiliers“to manage my real estate. To access it, you first have to open your “espace particulier” indicating your French unique tax number “Numero Fiscal”. You can find it on your property tax invoices (taxe foncière ou taxe d’habitation).

If you encounter any difficulties or have any questions about how to complete the declaration, you can contact the French tax office department for non-residents by phone at 0033 1 72 95 20 42 from 9 a.m. to 4 p.m., Monday through Friday.

Finally, one of our partners, French Property Consulting, has set up a service dedicated to assisting international property owners and non-residents dealing with this issue. They can open their “Espace Particulier” and complete the declaration on their behalf. For more information, you can contact their main consultant, Benoit FROGER, by email directly at bfroger@frenchpropertyconsulting.com.

We hope this information will be useful and we remain at your service.

LTV update

We can generally offer Loan-to-Values between 70% to 80% of the purchase price (excluding the fees). In more cases, the deposit required is 30%.



Rates update

The ECB declared not a long ago that they were planning to reduce the rates from June 2024 until the end of the year. Reuters wrote about it 2 days ago, mentioning that the ECB is sticking to its plan. We don’t know how far the decrease will go but we should all keep our fingers crossed! Justin Low from Forexlive wrote that we cannot be sure that the decrease in June will be followed by more decreases.

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