Immerse yourself in Parisian life with your pied-à-terre, which perfectly blends city living and tranquility. For homeowners seeking to capitalize on the city’s tourism appeal, renting out your property on Airbnb can be an excellent idea. However, you must familiarize yourself with the laws and regulations beforehand. In 2018, the French government introduced new rules to regulate short-term rental platforms known as “Loi Elan.” Interestingly, in some Parisian arrondissements, Airbnb rentals make up to 20% of the rental market.
Can I rent my pied-a-terre on Airbnb? Three main property categories need to be explained:
1. If the property is your primary residence (if you live there for more than 8 months per year), you can rent it for up to 120 days per year. The property must be declared furnished tourism, and a tourist tax will be billed. You must register via the city’s web portal or at the local Mairie (town hall) and receive an identification number representing the property. This number should be permanently displayed on the platform, or you may face a fine. Airbnb monitors the activity of the property being rented, and after 120 days of renting, your account will be blocked, and the property will no longer be available for the year. If you plan on renting a room in your house, it does not fall under a furnished tourist accommodation therefore, you can rent the room without any time limit. A single tenant can only rent the property for up to 90 days straight for it to fall under these conditions.
2. If the property is your secondary residence, you can rent it year-round. A secondary residence is classified if the owner lives there for less than 4 months a year, and you must register the home with the city and display the identification number on the platform. A common form of renting falling within this category is under bail de mobilité, a contract for 1 to 10 months, typically targeted to students, employees on a temporary mission, or in professional training. It is prohibited to extend this lease. If the tenant wants to renew the lease, the new contract must be a “classic” residential lease. Subletting the property is also possible if the tenant gets the approval from the owner. This type of rental is exempt from the French tourist tax.
3. If the property has a legal commercial zoning, there is no maximum number of days you can rent it. This can include a property that is not residential. If this is the case, the property will have to be declared a hotel, and fees and taxes will be billed to the owner. Registration can be done via the city’s web portal, followed by an identification number for the property.
As a property owner, you must be aware of the potential fines from the French government in the absence of a declaration. Failure to publish the registration number of your property on platforms can result in a civil fine of 5,000€, while the platforms are subject to a fine of 12,500€. Any false declaration regarding the property, rental time, income, and taxes can lead to a 75,000€ fine and 5 years imprisonment. If the property is not authorized and is still rented, the owner is subject to a 10,000€ daily fine. Some zones in the city, including private buildings, may have some regulations on whether or not renting on Airbnb is possible. Before renting your property, confirm with the homeowner’s association rules.
Setting up your property
To maximize your monthly rent and attract visitors, making your home presentable and comfortable is critical. Investing in quality furniture, linens, and appliances enhances the guest’s experience, leading to better reviews and more future rentals. Parisian homes are known for their unique character and amenities, so ensuring your listing highlights all your property has to offer is critical. Allowing others to rent out your home is a rewarding opportunity to earn money while sharing your love of the city with travelers worldwide.
This process can be confusing and complicated, especially for foreigners who aren’t up to date with the constantly changing laws and regulations, so it is recommended that they consult with a tax professional for optimal clarity. The MR agency can also assist you with any questions and ensure this process goes as smoothly as possible.
If you have any questions, contact@mragencyrealestate.com or call +33 0619639826.Our team will be more than happy to assist you.