Rent control: new tenancy caps increase on 1 July 2024

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As every year, the maximum allowed rent in Paris will increase from July 1st. New limits have been published.

Whether you are a Parisian landlord or tenant, this information will be of interest to you. The new rent caps effective from 1 July 2024 in the capital are now available at website of the Regional and Interdepartmental Directorate of Accommodation and Housing (DRIHL). They set prices per square meter that Parisian landlords cannot exceed for new leases from the beginning of next month. However, rents for current tenants will remain unchanged after July 1.

We remind you that rent has been regulated in Paris since July 1, 2019, the capital is the first French city to introduce this system. The maximum allowed rent is set each year by the prefecture based on data from the Paris Metropolitan Area Rent Observatory (Olap). The reference rent is defined according to the following criteria: rental type (vacant or furnished), construction date, accommodation typology and geographic sector. Note that DRIHL calculates three types of reference rents for each property, namely the reduced rent, the median rent and the increased reference rent, which corresponds to the median rent increased by 20%. The rent without fees set by the landlord may not exceed the increased reference rent. It is precisely these maximum permitted rents that the prefecture will increase as of July 1st every year.

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Reports of misuse of rent allowances abound

Note that Parisian landlords have the option of applying a rent surcharge if the accommodation includes “exceptional features”, linked to, for example, the location, rarity or convenience of the accommodation. A rather vague term that can lead to disputes between landlords and tenants. If you believe that the rent surcharge applied by your landlord is unjustified, you have three months from the signing of the tenancy agreement to contest the rent surcharge with the Resort Conciliation Commission (CDC). You can send a message to oa an online platform set up by Paris City Hall, which from 1 January 2023 has the option to send fines of up to €5,000 and notices to landlords who do not apply rent controls. In 2023 no less than 1,631 reports were filed by Parisian tenants for rent arrears they considered abusive.

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