The policies of control over rental values in 28 major cities across France could be relaxed by 2016 following further development of the ‘Alur Law’ which was passed in March.
Whilst Cécile Duflot, the former French Housing Minister is known for favouring firm rental controls and regulations across France, yet she appears to have been fighting for the owners’ side recently. In one released dossier she even went as far as saying she wanted to halve realtor fees. Such a move would likely see strong support which leads experts to believe that the new Housing Minister Sylvia Pinel would simply not have the political clout to oppose it.
The government denies any formal move; at the exit of the Council of Ministers, the government spokesman, Stéphane Le Foll, assured that there was “no challenge to a law that was passed.” In early afternoon, Emilia Piette, Chief of Staff of the Minister of Housing, Sylvia Pinel, drove home the point further: “The Alur law is not unravelling and we continue to work on the decrees which will enable the confirmed [rental management] fees to be ready before summer.”
So it remains to be seen what changes will come into effect, but owners, both domestic and international should be happy they have Duflot in the corner, for once.
Lloyd Hughes, French Private Finance