Are You Overpaying Your Rent in Paris? (Part 2)

Are You Overpaying Your Rent in Paris? (Part 2)

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paris rent
© Alexis Duclos for INSPIRELLE

When moving to Paris, France, the first thing any newcomer tackles is how to find a place to call home. If you are unfamiliar with the French real estate market, it’s highly recommended to rent first in a neighborhood you’ve flashed on. But how do you know you’re not overpaying your Paris rent? And likewise, if you are a first-time investment buyer, how do you calculate the rent to ensure you are not overcharging or undercutting yourself?

Want to check your rent for real? Use this chart to calculate the going rental rate. I’ll walk you through it. (Click here for link to the interactive site).

paris rent
To calculate Paris rent rates consult referidf.com

 

1) First, enter your rental’s features on the left:

  • number of rooms (careful! 1 pièce is a studio, 2 pièces is a 1 bedroom apartment, 3 pièces is a 2 bedroom apartment…)
  • date of construction
  • type of rental : furnished (meublé) or unfurnished (non meublé)
  • address

2) Then hit “VALIDER”.

3) You’ll see the maximum monthly rent = the number of square meters x the maximum rent reference in €/m2.


Let’s try with an example:

Say you found your dream home in Paris 16th. It’s a 3 pièces (2 bedroom) of 80 m2, built before 1946, unfurnished. The exact address is 56 rue de Passy, 75016.

In this example, the maximum rent reference is 29€/m2.

So your maximum rent is (rent supplement excluded): 80 m2 x 29€ = 2 320 € /month

Don’t forget – a supplement is legal but must be justified in the lease.


Aretha Franklin said it first …

“Now you know what your rights are, make sure you get it : R-E-S-P-E-C-T.”

Paris rent
© Oui/123RF

 

Here’s the deal. At the end of a rental agreement, the lease is either:

  • Automatically renewed. In this case, it can only be revised according to the IRL (rent reference rate) indicated in the contract.
  • Or, a new contract is signed. Revision is possible according to IRL, except if :
    • the rent is under-evaluated; in this case, the increase is limited to half of the difference between the previous rent and average rent in neighborhood.
    • improvement works have been carried out since previous tenant; in this case, increase is limited to 15% of the real costs of works, tax included.

ALSO READ: Camelia Pierre’s first post on everything you need to know about Paris rentals.

paris rent
© oui/123RF

What can you do about a rent that’s too high?

There are two points you can object to:

1) The Rent

The tenant can ask for a reduced rent if it is greater than the maximum price reference rent (rent supplement excluded). In this case, the tenant can make a request to the Commission Départementale de Conciliation (CDC) or to Court within three years from the signing of the agreement.

If no request is submitted to court, the rental contract is renewed on the previous rental terms.

2) The Rent Supplement

The tenant objects to the rent supplement three months after signing the lease by contacting the CDC. The landlord must then justify this supplement. If no agreement is reached, legal action can be taken after the CDC’s decision. The cancellation or reduction of this supplement can be requested. The new supplement is then applicable retroactively.

But this can go both ways…

Paris rental
Paris Ile de France apartment rental ad

What happens when your landlord wants to increase the rent?

The landlord can ask for a higher rent if it is less than the minimum price reference rent (rent supplement excluded).

The landlord must inform you at least six months before the contract ends. If you refuse or do not reply, the request is submitted to the CDC and then to court.

If no request is submitted to court, the rental contract is renewed on the previous rental terms.

rue de Rivoli, paris
© Alexis Duclos for INSPIRELLE

Your turn!

Before you submit your landlord to the 3rd degree, try the peaceful approach. Once you’ve set your mind on the perfect home:

– ask for the number of m(surface area)

– note the address

– check the maximum price reference

– ask for explanations on the rent supplement

You’ll probably have lots more questions for your landlord, and you’re right to ask. You’re entitled to this information. So go for it with confidence now. Your home hunting in Paris will be so much more pleasant!

Have a question for Camelia?

Let us know in the comments!

Or check out her website, Happy Place Paris, for more tips on finding a home in Paris and to download her free ebook:

Happy Place Paris

Camelia Pierre
Having lived in Algiers, London, Washington DC and New York until her 20s, Camelia Pierre naturally got the bug! The one that inspires you to move every three years or so to begin a new life, discover a new city, culture and language, and different lifestyle. She anchored in Paris for college and stayed for work but the bug was still there so she moved…to Paris, now with kids. And you know what? That bug led her right to her profession: relocation expert and home hunter. She now helps other life adventurers find their way in Paris, starting with finding the home and environment that fits their needs. Want some help? Contact her at camelia@happyplaceparis.com for a Skype session.

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