VINGT Parishttp://property.vingtparismagazine.com/Watch Vingt Paris take the hassle out of finding that perfect property and get on with making your dream of owning an apartment in Paris a reality. enSat, 04 Feb 2012 09:30:06 PSTTypePad http://www.typepad.com/Copyright Bonapart Consultingreal,estate,Paris,France,propertySociety & Culture/Places & Travelsusie@bonapartconsulting.comBonapart ConsultingBonapart Consultingnoreal,estate,Paris,France,propertyReal Estate reporting from Paris, FranceReal Estate reporting from Paris, FranceTax changes for property owners in 2012http://property.vingtparismagazine.com/2012/02/tax-changes-for-property-owners-in-2012.htmlLegalities and checkssusie@bonapartconsulting.com (Bonapart Consulting)Sat, 04 Feb 2012 09:30:06 PSTtag:typepad.com,2003:post-6a00d8341e746c53ef016761a9d3e0970b

Index2011 was the year of increased austerity measures including exceptional tax increases across the board.

When it comes to capital gains on immovable property, full exemption from tax now applies after 30 years of ownership rather than 15. The main home (résidence principale) remains exempt.  Gains on a second home or investment property are exempt in certain circumstances, but this only affects people who have not owned a main home for four years or elderly/disabled people who have moved into a specialist care home and who meet certain other conditions.


]]>2011 was the year of increased austerity measures including exceptional tax increases across the board. When it comes to capital gains on immovable property, full exemption from tax now applies after 30 years of ownership rather than 15. The main...Bed & Breakfast in Paris in the home of an ownerhttp://property.vingtparismagazine.com/2010/07/the-difference-in-paris-between-a-bb-and-a-shortterm-rental.htmlLegalities and checksParis CuriousitiesParis LifestyleRental in ParisB&BParisshort-term rentalsusie@bonapartconsulting.com (Bonapart Consulting)Tue, 20 Jul 2010 01:40:00 PDTtag:typepad.com,2003:post-6a00d8341e746c53ef013482897ebb970cParis_bedroom
From the newsletter of Jean Tacquet A Survival Kit for Paris

Who can be a B&B host?

Anyone can be a host, provided that it is done at his/her primary residence and at least one independent and comfortable room is dedicated for this activity.

How can one get endorsed by the Paris City Hall and benefit from the label Hôtes Qualité Paris?

You must contact one of the organizations approved by City Hall, and sign up with them. Then they will send a professional to visit and make sure your guest bedroom complies with the guidelines.

Can I be independent?

Yes, but you must be registered with City Hall under the latest version of the tourism ordinance, Articles 324-3, 4 and 5 of April 2006, which gives the legal definition of the B&B (called “chambres d'hôtes” in French) as: “Furnished bedrooms located inside a lodging dedicated to welcoming tourists who pay for one or more nights and the related services.” In French: "Chambres meublées situées chez l'habitant en vue d'accueillir des touristes, à titre onéreux, pour une ou plusieurs nuitées, assorties de prestations".

You can download the registration form here: "Formulaire de déclaration à la Mairie".

A copy of the relevant regulation may be found here: “Décret du 3 août 2007".

Can I be a B&B host if I am myself a renter?

Yes, you can, if the lease does not explicitly forbid it. In any case, it is highly advisable to inform the landlord, who in return will check the by-laws of the co-ownership to make sure that there is no provision against this activity. Of course, if you rent in a low-income housing project, in French (H.L.M.) then it is completely forbidden.


What is the main difference between B&B and short-term rental?

Welcoming the guests! In this case, the host meets the guest, who stays in his home and sometimes joins him for meals. Guests in a short-term rental almost never meet the host.

Am I taxed on this rental income?

Yes. It should be reported on form 2042 C, and you will get an automatic deduction of 71% of the money received from this activity.

Should I purchase more insurance?

You may not need to, but on the other hand you must inform your insurance company of this new activity and the company will add a rider on the policy for it, often without increasing your premium.

Is it absolutely necessary for this to be inside somebody’s home?

Yes. The guidelines quoted above make it very clear not only that it must happen in somebody’s home but also that the home must be their primary residence; to be completely clear, the website points to the legal and fiscal definition of a primary domicile. An American resident owning an apartment who would like to get into the B&B activity would have to declare that he or she is a French fiscal resident, which would have to be linked to being a legal immigrant, i.e., holding a valid carte de séjour.


Do you see any way for our current activity to work within this framework/model they propose?

Again, the answer is clear: as the first and foremost requirement is to be a fiscal resident of France and live in the apartment, it is totally unrealistic to consider filling out the form and registering on the chance that no one will follow up. It would take about five minutes for anyone to discover the scam – calling the tax office will do it!


Useful contacts:

Mairie de Paris (City Hall) Tel. 3975 (Paris Info Mairie)

Ile-de-France region DECV/STL, Tourism sector secretariat Tel. 0 803 818 000 (0.15 euros per minute)

Direction Générale de la Consommation, de la Concurrence et de la Répression des Fraudes (DGCCRF)

Centre de documentation et d’information sur l'assurance (CDIA)

Impôts Service Tel. 0820 32 42 52
]]>From the newsletter of Jean Tacquet A Survival Kit for Paris Who can be a B&B host? Anyone can be a host, provided that it is done at his/her primary residence and at least one independent and comfortable room is...VINGT Paris owner Susie Hollands in New York Times article on Paris rental markethttp://property.vingtparismagazine.com/2010/07/paris-cracks-down-on-pied%C3%A0terre-rentals.htmlAsk Vingt ParisCurrent AffairsFinanceLegalities and checksRental in ParisRunning your propertysusie@bonapartconsulting.com (Bonapart Consulting)Tue, 20 Jul 2010 01:30:26 PDTtag:typepad.com,2003:post-6a00d8341e746c53ef0133f2671589970b 07Rent-1278454831921-articleLarge
From New York Times Text: Jean Rafferty,
Image: Benoit Tessier, Reuters

Many people buy a pied-à-terre in Paris to use for a few weeks a year and to rent the rest of the time. Most of them don’t realize, however, that they are breaking the law. Now, the city government is trying to address the problem with a more direct approach to enforcement.

Mayor Bertrand Delanoë ordered an agency last year to warn property owners that renting out residential apartments for less than a year at a time violated French law. The move was intended to address the lack of affordable housing in the city center. Those who ignored the warning, he said, would be prosecuted.

Only about 25 letters have been sent since enforcement began last autumn - most of them in response to complaints made by neighbors. And only a handful of those cases have gone to court.

But the rental industry in this most-visited city in the world is concerned and, as more owners slowly become aware of the issue, confusion is growing. A few have pulled their properties off the market, others have deleted addresses or other identifying details from Internet listings. And dozens of rental agencies have banded together to try to save their lucrative business.

“No one seems to know what this crackdown means, but I feel my business will have to change,” said Susie Hollands of Vingt Paris, a property advisory and management company.

There is no precise tally of how many of the 1.3 million residences in Paris are being used for short-term rentals. Industry professionals estimate there may be tens of thousands, with a significant proportion owned by foreigners who bought them as vacation homes or investment properties. (Those buyers are predominantly Americans, Italians and Britons, according to brokers.)

Those in the industry also say they believe that the numbers have risen sharply in the last 10 years as the Internet has made it easier to find potential renters.

To legally offer short-term rentals, owners would need to have their residential properties reclassified as commercial sites, a complicated process that involves finding a commercial property in the same neighborhood that can be transformed into residential use.

“It isn’t difficult; it is impossible,” said Fabrice Luzu, a notary who has helped many international clients invest in city real estate. “The owner must apply for a special permit and there is very little chance he would obtain it.”

Without such a permit, any apartment classified as residential in a French city of more than 200,000 must be offered with a minimum one-year lease. The law, passed in 2005, has some exceptions for student housing.

For landlords in Paris, the difference in income can be substantial. Depending on how it is renovated, a 650-square-foot apartment in the chic Saint-Germain-des-Prés area, for example, could be rented furnished for 2,500 euros ($3,100) a week, Ms. Hollands said.

She estimates that the yearly income, based on the flat being rented about 70 percent of the time, would bring triple the amount of a long-term lease.

She added, “Unfurnished, on a long lease, it would rent between 2,200 euros and 2,500 euros a month” or at most, 30,000 euros a year.

The police are charged with enforcing the law, but rarely do. So last year, after several attempts, Paris succeeded in transferring enforcement within the city to the mayor’s housing agency, the Bureau de la Protection des Locaux d’Habitation, or the office for the protection of residential property.

“We decided to apply the law in a strict manner,” said Franck Affortit, the agency’s assistant director. “Letters have been sent to owners, who include many Italians, some Americans and British and French.”

Most of those owners have taken their properties off the rental market, while “several” others who have not are being prosecuted, Mr. Affortit said.

One case has resulted in a preliminary judgment in favor of the city; court dates for the other cases have not yet been set, Mr. Affortit said.

Conviction could result in a fine of as much as 25,000 euros. Continued violation could result in additional fines of as much as 1,000 euros a square meter a day. Still, he admits that given his small staff of five, tracking down violators “is a problem.”

Therefore, he said, “we are going to apply this in an intelligent manner.”

The main target, he said, are owners who are “making these rentals into a permanent activity, diverting residential property from its essential function as housing for Parisians,” Mr. Affortit said. “Someone who rents once a year” will not be prosecuted.

Still, the uncertainty has unnerved many in the industry.

Ms. Hollands of Vingt Paris wrote about the crackdown in a November 2009 newsletter to her clients. “I was lambasted by other agents for writing about it,” she said. “But I felt a moral obligation to inform my owners and investors who were about to spend a million euros without knowing about this.”

Her company has served mainly North American and British clientele for the last seven years.

In May, one of her customers “who had done an exquisite restoration received a letter because the neighbors complained,” she said. “They had been renting out the apartment by the week since March and had bookings through the summer. And they were paying a lot of attention not to cause a disturbance.”

The client now rents the furnished property on a one-year lease.

About 35 rental agencies recently formed the Association des Professionnels de la Location Meublée, a group of professionals in the furnished rental industry, with the goal of finding a way to operate within the city’s regulations.

The association questions the city’s interpretation of the law and its premise that properties forced off the short-term rental market will become long-term prospects for Paris residents.

Its first step was to commission “a serious study of the market to show what it represents, and to demonstrate that furnished rentals for periods less than 12 months correspond to a social and economic need for a city like Paris,” said the group’s president, Jean-Marc Agnes. “Clearly, it is not just about three-day stays by tourists, but includes professors, research scholars and exchanges of businessmen in international companies who may come for several months.”

The group expects to have the results in September.

In the meantime, the effort does not seem to have hurt property sales in Paris, whose market has been one of the most robust in Europe throughout the recent global real estate downturn.

“I don’t see prices going down to fulfill Mr. Delanoë’s wish to have cheaper apartments for Parisians,” said Mr. Luzu, the notary. Whether it be wealthy Americans, Brazilians, Indians or Chinese, “they all want a pied-à-terre in Paris,” he said.

The American designer and developer Alon Kasha has been alerting his clients to the potential problem, although many of them do not rent their properties.

“If they are doing this for a rental income, it’s too fraught with problems,” he said. “I tell them, ‘Rather, buy a warehouse somewhere and rent it out,’ ” he said.

“But if they’re buying because they have a passion for a Paris apartment, that’s different. I say, ‘If you can rent it and it works out, that’s fine, but don’t count on it.’ ”
]]>From New York Times Text: Jean Rafferty, Image: Benoit Tessier, Reuters Many people buy a pied-à-terre in Paris to use for a few weeks a year and to rent the rest of the time. Most of them don’t realize, however,...VINGT Paris - (previously Bonapart Consulting and I V Y paris)http://property.vingtparismagazine.com/2010/07/as-were-in-the-process-of-migration-towards-the-new-company-vingt-paris-youll-find-our-rental-portfolio-has-already-moved.htmlsusie@bonapartconsulting.com (Bonapart Consulting)Mon, 19 Jul 2010 03:10:07 PDTtag:typepad.com,2003:post-6a00d8341e746c53ef012875ee201f970c

We're in the final stages of migration towards the new company, VINGT Paris.  You'll find our rental portfolio has already moved over to the (temporary) website.  VINGT Paris is devoted completely to the twenty arrondissements of Paris (and la banlieue too!)  VINGT Paris is a direct evolution of Bonapart Consulting and IVY paris, a relocation and real estate service and an artist salon and network that has for the past seven years brought people together through varied and interesting events, as well as through finding their perfect parisian apartments.  We provide a unique and valuable resource for everyone and hope to further develop an already robust and thriving community. Please join us and stay in the loop on upcoming event by signing up to our newsletter . From artist profiles to lecture series to picnics in the parks and everything in between, VINGT Paris is a starting point and a local resource to connect you to Paris.

]]>We're in the final stages of migration towards the new company, VINGT Paris. You'll find our rental portfolio has already moved over to the (temporary) website. VINGT Paris is devoted completely to the twenty arrondissements of Paris (and la banlieue... Free legal advice on French issueshttp://property.vingtparismagazine.com/2010/02/free-legal-advice-on-french-issues.htmlLegalities and checkssusie@bonapartconsulting.com (Bonapart Consulting)Wed, 17 Feb 2010 03:30:41 PSTtag:typepad.com,2003:post-6a00d8341e746c53ef012877ae3bff970cVia The Connexion: A FREE telephone advice line is running this week to help anyone with questions about family life, buying a property or inheritance in France.

The service is part of the annual Semaine d'Information sur les Droits des Familles - a week-long information campaign organised by the Employment Ministry, which has family affairs in its brief.  Lawyers will be on hand to answer questions about the legal and tax implications of marriage and the pacs, buying property together, life insurance and preparing a will.

You can call the helpline (in French) on 3620 and say "Notaires et Familles" after the beep. It is open every day from 14.00 to 18.00 until Friday evening (February 19).  A series of free conferences are also being held in Paris this week - see the programme here for full details.
]]>Via The Connexion: A FREE telephone advice line is running this week to help anyone with questions about family life, buying a property or inheritance in France. The service is part of the annual Semaine d'Information sur les Droits des...Poor housing affecting lives of childrenhttp://property.vingtparismagazine.com/2010/02/poor-housing-affecting-lives-of-children.htmlsusie@bonapartconsulting.com (Bonapart Consulting)Thu, 04 Feb 2010 04:35:16 PSTtag:typepad.com,2003:post-6a00d8341e746c53ef012877615cd3970c

Poor-housing-franceVia ThisFrenchLife AROUND ten million people are living in poor housing, or face difficult living conditions, according to a report from the charity, Fondation Abbé Pierre.

The annual study by the charitable group highlighted the poor housing that many children were growing up in, saying it had an impact on their schooling and future opportunities.

Fondation Abbé Pierre is calling in the government to provide more social housing, and to protect those people renting properties as the cost of average rents has risen dramatically in recent years.

]]>Via ThisFrenchLife AROUND ten million people are living in poor housing, or face difficult living conditions, according to a report from the charity, Fondation Abbé Pierre. The annual study by the charitable group highlighted the poor housing that many children...New star system for French hotels http://property.vingtparismagazine.com/2009/12/new-star-system-for-french-hotels-.htmlParis Lifestylesusie@bonapartconsulting.com (Bonapart Consulting)Wed, 30 Dec 2009 08:34:10 PSTtag:typepad.com,2003:post-6a00d8341e746c53ef012876907b45970c6a00d83451d14e69e20128768814da970c-400wi Read the full article on Charles Bremners site - Travellers in France know not to pay attention to the number of stars attached to a hotel. You can turn up at an establishment rated with three and find the plumbing broken and the bed in a state of decay. The government is finally getting around to changing a state of affairs that is odd for a country which receives more visitors than any other. Under a new tourism law, hotel ratings are to be put into the hands of outside consultants. Classifications will be reviewed at least once every five years. Under the current system, in force since 1986, once a hotel received its stars, no-one checked again to ensure that they were still deserved. That means that a three-star hotel of 1986 can still boast of its rating even if it has not had a lick of paint since.......
 
]]>Read the full article on Charles Bremners site - Travellers in France know not to pay attention to the number of stars attached to a hotel. You can turn up at an establishment rated with three and find the plumbing...Fédération des Loueurs d’Appartements Temporaires http://property.vingtparismagazine.com/2009/12/f%C3%A9d%C3%A9ration-des-loueurs-dappartements-temporaires.htmlLegalities and checksRental in Parissusie@bonapartconsulting.com (Bonapart Consulting)Fri, 04 Dec 2009 03:19:01 PSTtag:typepad.com,2003:post-6a00d8341e746c53ef0120a70c1450970b18_salon[1]  
This week, we got together with representatives of some of the key players of the short-term Paris rental sector in order to act in a concerted and efficient manner to defend the sector and our clients with the aim of obtaining a modification of the law or of its application.   The « Fédération des Loueurs d’Appartements Temporaires » (Federation of Renters of Temporary Apartments), or FLAT, has been created and will be the organ through which the profession will get together to express in a unified voice the value of our sector and the direct and indirect implications. FLAT has identified and commissioned a specialised lawyer, a press relations agency and a political lobbying agency to accompany us swiftly and effectively, to start a dialogue with the political leaders, to evolve the laws and their application modes.
]]>This week, we got together with representatives of some of the key players of the short-term Paris rental sector in order to act in a concerted and efficient manner to defend the sector and our clients with the aim of...Paris rental situation - twitter feed http://property.vingtparismagazine.com/2009/12/dear-ownershaving-taken-the-initiative-to-force-paris-agencies-to-act-on-this-new-rental-legislation-by-speaking-to-the-pres.htmlsusie@bonapartconsulting.com (Bonapart Consulting)Thu, 03 Dec 2009 05:09:29 PSTtag:typepad.com,2003:post-6a00d8341e746c53ef0120a6fe19a3970b

Index Having taken the initiative to discuss with our owners and some press the major and minor players on the Paris vacation rental market came together this week.  I was reminded of the Mafia heads of the Family meeting in the Godfather.  After some buried their heads in sand, it is time to face the music.  Therefore there was not a great reception for me as I was seen as having broken the omerta.  Stay tuned here, I have set up an emergency twitter feed to send alerts easily to you so that you can get the up to date information as this unfolds.

So I was asked to speak about my meeting with the Department de Logement, which I did and transmitted the information I shared with owners which work with my company last week.

French based rental agencies are mobilising to set up a professional body, pressure group and employ a political lobbyist. It is very diificult to ascertain exactly how this will unfold but it is clear that it will take time to see exactly how the laws will be applied.  This could be a long, drawn out saga.  

]]>Having taken the initiative to discuss with our owners and some press the major and minor players on the Paris vacation rental market came together this week. I was reminded of the Mafia heads of the Family meeting in the...Crackdown on Private Landlords - Paris moves to free up housing in the city centre http://property.vingtparismagazine.com/2009/11/bonapart-paris-are-at-the-forefront-of-exposing-recent-moves-made-by-the-city-of-paris-to-apply-laws-restricting-the-rental-o.htmlCurrent AffairsLegalities and checksParis CuriousitiesParis LifestyleProperty pricesRental in ParisRunning your propertysusie@bonapartconsulting.com (Bonapart Consulting)Fri, 04 Dec 2009 09:26:54 PSTtag:typepad.com,2003:post-6a00d8341e746c53ef0120a6ead2ca970b

Recent moves made by the City of Paris to apply laws restricting the rental of apartments in central Paris may have significant effects for thousands of private owners, in Paris and abroad.  According to the Prefecture de Paris, nearly 38,000 apartments in Paris are being rented for short stays and moves to prosecute some owners of these properties have begun.The reasons cited for the application of this law is to alleviate the chronic shortage of affordable housing in the city centre (see our posts about this from 2006).   Bonapart Paris's Owner, Susie Hollands and well known blogger about French life and property, Tony Tidswell, held a meeting with François Plottin, Chef du Bureau, at the Mairie de Paris’ Direction du Logement et de l'Habitat in Paris on Wednesday, 19 November and Thursday 26 November 2009.



Report on L'Express on the housing shortage in Paris.

It is technically illegal for any owner of a property in Paris not classified as commercial to re-let their property for any period of less than one year. The sole exception is for student rentals, where the term can be no less than nine months.    Property owners are obligated to make sure their apartments, and the rental activity, comply with the law, in order to satisfy the legal aspects Paris has set for retail rental "commercial activity" and we are assisting our owners to regularise their situations  Any apartment advertised for short-term rental can be considered as having been rented, and therefore scrutinized under the law, by the authorities.

The team in charge of this re-application of the law confirmed the department holds files of many properties currently being advertised for short term/vacation rentals. These owners are in danger of prosecution, according to Tidswell.  "Penalties are severe and a fine of 25,000 euros can be imposed." The only circumstance where an owner can apply for special consideration is by having the property reclassified as a commercially-zoned property (changement d’usage en locaux à usage professionnel ou mixte).  If this is granted then an owner is authorized to rent short-term/vacation rental.

"This law potentially affects about 300 of my client-owners, many of them based in France the UK and the US," Susie Hollands, owner, Bonapart Consulting. "What I'm advising is that they switch to longer term rentals of one year or go through the legal process to change their apartment's legal status to commercial."    While the law has not been fully applied, Bonapart recommends a pre-emptive approach to what can be a serious situation for owners.

For apartment renters, there is currently no infringement of the law, but, as the apartment is rented irregularly, any property insurance could be invalid. A family or individual coming to Paris and renting a private apartment could be must ensure they have sufficient personal and accident coverage.  They must also note that any agreement they have for rentals exempts them from any liability or hazard that may occur at the site of the property (fire, water damage, public liability etc).  
]]>Recent moves made by the City of Paris to apply laws restricting the rental of apartments in central Paris may have significant effects for thousands of private owners, in Paris and abroad. According to the Prefecture de Paris, nearly 38,000...noRecent moves made by the City of Paris to apply laws restricting the rental of apartments in central Paris may have significant effects for thousands of private owners, in Paris and abroad. According to the Prefecture de Paris, nearly 38,000...Bonapart ConsultingRecent moves made by the City of Paris to apply laws restricting the rental of apartments in central Paris may have significant effects for thousands of private owners, in Paris and abroad. According to the Prefecture de Paris, nearly 38,000...real,estate,Paris,France,propertyCopyright Bonapart ConsultingBonapart Consultingnonadult