Most Important Landlords’ Duties In The French Rental Market

Key elements to include in a rental agreement

The rental agreement, or the lease, officially recognizes the transaction and lists the rights and obligations of the landlord and tenant. 

A landlord must provide a formal tenancy agreement, a contract de location, or bail if the property serves as the tenant’s primary residence. Many French landlords have their own contracts or standard agreements that can be purchased from most good bookshops.

Four approaches to the preparation of a tenancy agreement are possible:

• Use one of the standard forms of pre-printed tenancy agreements that can be purchased from any good bookshop.
• Use of a property professional such as an estate agent or huissier who may themselves have a model contract that can be used.
• Preparation of an agreement by a notaire who will provide a tenancy agreement as an acte authentique.

• Use the government-controlled service at DossierFacile, an online service that provides all the documents you will need.

In France, notarizing your agreement isn’t mandatory. But it can add an extra layer of security, making it easier to enforce in a dispute. Whether you go that route or not, ensure both parties have a signed copy.

Obligatory clauses

In a rental agreement, specific clauses are obligatory. The agreement must include:

Additionally, a landlord must annex the condition report—a technical report on the rental (Dossier de Diagnostic Technique)—and survey reports on energy performance (Diagnostic de performance énergétique) to the tenancy agreement.

Understanding the types of rental contracts: furnished vs. unfurnished

When renting an apartment in France, it’s essential to understand the type of lease you’re entering into.

There are different types of leases for apartments. Here are some common ones you may come across:

1. The furnished residential lease (Bail habitation meublé)

This lease type applies when you plan to use the apartment as your primary residence, i.e., to live in the property. Usually, the contract automatically renews after each term. You can legally end the lease only if you decide to do so or if the landlord provides a good reason. Tenants sign this lease for a minimum of one year.

2. The unfurnished rental lease

It is considered unfurnished if a rental property lacks the necessary amenities to enable its occupants to eat, sleep, and live decently and properly in the demands of everyday life.

An unfurnished property has three years if the owner is an individual or family. In the following cases, the lease may be shorter (minimum 12 months):

• The tenant is a student.
• The renter moved temporarily because of changes at work.
• The renter is retired.

• The lessee is expected to vacate.

For further answers on every type of rental contract, you can consult our overview of Apartment Leases in France.

Rights and responsibilities defined by the lease agreement

The tenant’s rights

The tenant’s rights are what they may expect from their landlord, and his responsibilities are:

• Right to have his privacy (the landlord has to seek his consent before having access to the property);
• The decency of the accommodation;

• The minimum standard of security.

The landlord rights

• Set the amount of rent

Generally speaking, a prospective tenant and the landlord can freely decide on the rent amount for a new tenancy. Nevertheless, if the property is the tenant’s primary residence, rate increases for newly leased apartments in France’s major cities are limited.

Setting the right rent price means more than trying to make a profit. First, you cannot estimate the rent price of an apartment instantly; you must actively research it by Calculating Your Apartment Rent in France.

• Selecting Your Tenant and Vetting Documentation

Tenants in France are highly protected from eviction, so you should carefully select prospective renters.

This is why conducting thorough tenant background checks is crucial. We’ve discussed the legal and practical considerations landlords must consider when performing them in France, so feel free to check it out.

• État des lieux (Inventory report)

After a tenant finds your property, the landlord and tenant need to sign a contract and complete an état des lieux, or inventory and condition report. État des lieux is documenting the property’s condition when you start renting. You can download the inventory sample to familiarize yourself with état des lieux’s necessities.

• Guarantee rule

As the property owner, you can ask tenants for a guarantee to ensure they can sustain the lease until its end. Only if the tenant’s income is over three times higher than the monthly rent will the tenant no longer have to comply with this requirement.  If needed, there are ways to insist on applying this guarantee rule.

• • Have the tenant pay the rent upfront;
  • Require a financial guarantor;
  • Have the tenant pay up to two months’ refundable security deposit (for potential property damage).

Section 4: Financial Obligations

Taxes and fees landlords must pay

Landlords have three options for income taxation on profits from furnished accommodations: micro-enterprise, régime reel, and micro-fiscal for those registered as micro-entrepreneurs.