Property tax reductions
Statut du bailleur privé (private landlord status)
The depreciation deduction for new or renovated homes let as a main residence, for purchases from 21 February 2026 to 31 December 2028.
Overview
Private landlord status, which succeeds the Pinel scheme, allows owners to deduct depreciation on a let home from their property income.
Created by the 2026 Finance Act, private landlord status applies to purchases made from 21 February 2026 to 31 December 2028. It allows an annual depreciation of the home to be deducted from property income. For a new home in a collective building, the rate is 3.5%, 4.5% or 5.5% of the price, depending on whether the letting is intermediate, social or very social. For an older home, it is 3%, 3.5% or 4%, provided the works amount to at least 30% of the price and the home is rated A or B on its energy performance certificate (EPC). Depreciation applies to 80% of the price, with land counted as 20%. It is capped at €8,000 a year per household, raised by €2,000 or €4,000 for social or very social letting. The home is let unfurnished as a main residence for at least nine years, within rent and tenant-income ceilings.
How it works
Purchase
New collective housing, or older home renovated to 30% (EPC A or B)
Unfurnished letting
Main residence for nine years, capped rents and tenant incomes
Depreciation
3% to 5.5% a year on 80% of the price, €8,000 a year at most
Key points
Strengths
- Depreciation deductible from property income, up to €8,000 a year (€10,000 or €12,000 for social or very social letting)
- Open to new flats in collective buildings and to renovated older homes rated A or B
- Capped rents, so predictable income
- Nine-year letting commitment
Points to watch
- Purchases between 21 February 2026 and 31 December 2028 only
- Older homes: works of at least 30% of the price and an EPC rating of A or B required
- Rent ceilings sometimes below market rents in high-demand areas
- Risk of overpaying at purchase: check the price per square metre
Who it is for
The scheme is for investors considering a new or renovated rental purchase before the end of 2028 who accept a nine-year commitment at a capped rent. The advantage takes the form of a deduction from rents, so it is most useful when rents are taxed at a high rate. The price per square metre should be compared with the market outside the scheme.
Worked illustration
Example based on assumptions
Assumptions: an executive buys a new €220,000 flat in a collective building in 2026 and lets it unfurnished at an intermediate rent for nine years. Depreciation is 3.5% of 80% of the price, or €6,160 a year, within the €8,000 cap. Deducted from property income, it reduces tax by €2,908 a year at 30% plus 17.2% social contributions. The rent and the tenant's income are capped.
Regulatory information
This sheet is a general information document of a commercial nature. It constitutes neither personalised investment advice, nor a recommendation, nor a solicitation, and it is not a key information document. Any decision requires a prior analysis of your situation by a duly authorised professional. Investments carry a risk of capital loss. Past performance is no guide to future performance. Taxation depends on each person's situation and may change.
The tax advantage depends on strict compliance with the legal conditions (duration, ceilings, zoning, tenants, use). Failure to comply leads to its recovery, with late-payment interest. Except where stated, it falls within the overall cap on tax advantages. Risk of capital loss on the underlying asset, limited liquidity during the commitment and exposure to changes in tax law. An operation should be assessed on all its features, including the tax reduction.
Complaints and mediation
Any complaint may be sent to ASTERALE, 4 allée Django Reinhardt, 94110 Arcueil, France, or to sebastien.bailly@asterale.fr. Failing a satisfactory reply within two months, you may refer the matter to the competent mediator. For financial investment advice: the AMF Ombudsman (Médiateur de l'AMF), 17 place de la Bourse, 75082 Paris Cedex 02 (www.amf-france.org/fr/le-mediateur). For insurance broking and intermediation, banking and payment services intermediation and property transactions: ANM Conso, 2 rue de Colmar, 94300 Vincennes (www.anm-conso.com, contact@anmconso.com).
Information sheet updated on 6 October 2026. Download the sheet (PDF)
Book a meeting
The first meeting, of about an hour, is used to check whether this scheme has a place in your wealth.