Landlords in france can now increase rent for some tenants: when and by how much?

THE GOVERNMENT HAS PREVIOUSLY IMPLEMENTED A RENTAL ‘SHIELD’ TO RESTRICT INCREASES Rent on properties across France can now be increased by 1.82% provided the lease is up for renewal in the

first quarter of the year (January to March 2025). Rental increases are capped according to the rent reference index (Indice de référence des loyers - IRL) published by national statistics

body Insee.  This reference is linked to inflation rates on a consumer goods index from the third quarter of the preceding year, leading to the current maximum increase of 1.82%. This is

significantly lower than previous years, which saw the government implement a rental shield to prevent rises of over 3.5% (which would have been theoretically possible using the reference)

to protect renters up to April 2024. Rents due to increase in the last quarter of 2024 were capped at a 2.47% rise. Note that not all properties are subject to this: certain properties are

exempt from any increases whilst others may increase rents above this level. HOW CAN RENTS BE RAISED? Rents can be raised once per year in France, either on the anniversary of the lease

being signed or at a pre-agreed date, often at the beginning of the year. This date must be detailed in the rental agreement.  If there is no given date in the contract of when rent can

increase it is still possible for a landlord to raise it provided they let the tenant know and only raise the rent once per year. Landlords have one year from the IRL being published to

increase rent based on the IRL figure but cannot raise the rent retrospectively.  For example, if the landlord can revise the rent from January 2025 but only makes the demand in March 2025,

the tenant must only pay increased rent from March 2025. Rules on renting in France are based on the 1989 renter’s law (modified in 2011 to allow rents to be capped by the rental index).

Read more: A guide to renting a flat or house in France: 14 questions EXCEPTIONS TO THE RULE Rent cannot be increased on properties with an 'F' or 'G' rating on the

Diagnostic de performance énergétique (DPE) scale until their rating has been improved to at least an 'E'.  'G' rated properties, the lowest on the DPE scale, cannot be

put back on the market when a rental agreement ends until their energy rating has been improved once a current tenant moves out. This rental ban will progressively come into force for

'F' (2028) and 'E' rated properties (2034).  Read more: Many French property energy efficiency ratings now out of date: How to check yours There are exceptions where

rents can be raised higher than the limit included in the rental index. This includes instances where certain renovations to improve the living quality in the property have been undertaken

or where the previous rent was significantly below averages for the local area.