The rent control is a regulatory measure aimed at containing the rise of rents in tense areas, that is to say where rental demand far exceeds supply. Implemented to protect tenants while ensuring a more stable real estate market, this rule imposes a ceiling on rents charged in certain municipalities.
Definition of a tense zone and how to check if your city is affected
What is a tense zone?
A tense zone is an area where the rental market is unbalanced: the demand is significantly higher than the supply, leading to a rapid and continuous increase in rents. This imbalance justifies the implementation of specific measures such as:
the capping of rent increases between two rentals,
the shortened notice period for tenants (1 month instead of 3),
and the tax on vacant housing.
The list of tense zones is established by decree. It currently includes more than 1,100 municipalities, distributed across 28 areas such as Paris, Lyon, Lille, Marseille, Bordeaux, etc.
How to know if your city is in a tense zone?
You can check if your housing is located in a tense zone by consulting the official government website: tense zone simulator
You need to enter the postal code or the name of the municipality to know the status of the rental market.
Operation of rent control
Cities Subject to Enhanced Rent Control
Some cities apply an enhanced rent control on the initial rent, known as "double control." This means that the rent for a new lease must be between:
a reduced reference rent,
a reference rent,
and an increased reference rent.
These values are set each year by prefectural decree based on the type of property (number of rooms, year of construction, furnished or unfurnished) and the geographical area.
Possibility of Rent Supplement
A rent supplement is allowed if the housing has exceptional characteristics (e.g., unobstructed view, terrace, high-end equipment). This supplement must be justified in the lease and may be contested by the tenant before the conciliation commission.
Cities Covered by This Scheme
As of July 1, 2024, the cities that have adopted this scheme include:
Paris (since 2019),
Lille and Hellemmes (since 2020),
Lyon and Villeurbanne (since 2021),
Montpellier, Bordeaux, Plaine Commune, Est Ensemble...
Other cities like Grenoble, Marseille, or Toulouse could be added soon.
Practical cases: Paris, Lille, Lyon
Paris: a strict and monitored framework
Since July 2019, Paris has implemented a rent control system in the 80 neighborhoods of the capital. Reference rents are set by a prefectural decree and vary according to:
the date of construction,
the exact address,
the size and type of rental (empty or furnished).
In Paris, controls are frequent and penalties are enforced. The ceiling is strictly monitored, and the City of Paris allows tenants to report excessive rent via a dedicated platform.
Lille: pioneering and proactive
Lille was one of the first cities to experiment with rent control. The measure was suspended in 2017 and then reinstated in 2020. It also applies to Hellemmes and Lomme. Landlords must ensure that their rent complies with the references set by the prefect of the North.
The Housing Information Agency (ADIL) of the North offers a rent simulator allowing landlords to check their compliance.
Lyon: a more recent but growing framework
Lyon and Villeurbanne have joined the system since November 2021. The regulation applies to all new leases signed (including relocations and renewals). The reference rent is calculated based on:
the IRIS sector,
the nature of the property (furnished or not),
the size and age.
Educational actions are being carried out to support landlords in implementing regulations, but controls should intensify in the coming years.
Sanctions in case of non-compliance with the framework
What are the risks for the owner?
In case of non-compliance with the framework:
the tenant can refer to the departmental conciliation commission,
then to the judicial court to request a reduction in rent,
the lease can be requalified,
the landlord may be forced to refund overpayments,
and incur an administrative fine of up to €5,000 for an individual (€15,000 for a legal entity).
Controls and remedies
Some cities, like Paris, have set up active control units. Tenants can report an overage through a platform or by contacting the local ADIL. In case of a dispute, dialogue is first sought before legal proceedings.
In the face of an increasingly demanding legislative framework, it is imperative for landlords to be informed, responsive, and rigorous. Rent control is not a hindrance to profitability if the investment is well-calibrated. It even helps to limit abuses and to secure rental income in the long term.
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