A G-rated apartment purchased in 2023 to rent out: since January 2025, this housing can no longer be the subject of a new lease as a primary residence in metropolitan France. The owner who expected to collect rents right after signing now faces unbudgeted renovation work. This type of situation illustrates how real estate investment relies on concrete regulatory constraints, not just on the advertised yield.
Ban on renting thermal sieves: the schedule that changes the game
Since January 1, 2025, a property rated G in the DPE is legally considered unfit for habitation. Specifically, a G-rated property can no longer be rented out in the metropolitan area without prior renovations. A landlord who ignores this risks actions from the tenant, a rent reduction imposed by the judge, or even penalties.
The schedule doesn’t stop there. Properties rated F will be banned from renting in 2028, followed by E in 2034. We’re talking about several hundred thousand properties affected at each deadline.
This schedule varies by geographical area. In overseas territories, class G will only be considered unfit in 2028, class F in 2031, and class E in 2034. For an investor comparing two markets, this temporal difference opens distinct windows of action.
A property rated F in Réunion remains rentable several years longer than an identical property in Lyon. Among the listings available on lecomptoirdelimmobilier.fr, there are properties whose DPE deserves careful consideration before any purchase decision.
Buying a thermal sieve: gamble or trap
Some investors deliberately target energy-intensive properties because their purchase price is lower. The negotiation margin can be significant on a property rated F or G, especially when the seller knows they will soon be unable to rent.
The calculation holds as long as the actual cost of energy renovation work is included. An underestimated renovation budget turns a good deal into a financial pit. It is recommended to get quotes for insulation, heating system changes, and ventilation before signing the preliminary agreement, not after.
Rental profitability: what gross yield doesn’t tell you
Displaying a gross yield several points above the local market attracts attention. However, this figure masks the actual costs that weigh on net profitability.
Here are the items that gross yield never takes into account:
- The property tax, which varies greatly from one municipality to another and has increased in many cities in recent years
- Non-recoverable condominium fees, particularly for works voted on in general assembly (facade renovation, roofing, elevator compliance)
- Rental vacancy, meaning periods without a tenant between two leases, which can represent one to two months of lost rent per year depending on the market
- Management fees if you delegate to an agency, usually charged as a percentage of the rent collected
Calculating net profitability after charges and taxes gives a much more reliable picture of the project. A property advertised with an attractive gross yield in a small town may turn out to be mediocre once these items are factored in, especially if local rental demand is low.
Choice of tax regime: unfurnished or furnished rental
The tax regime directly affects what remains in the investor’s pocket. Between unfurnished and furnished rentals, the differences are not trivial.
In furnished rental under the LMNP status (non-professional furnished lessor), one can account for the depreciation of the property and the furniture. This depreciation reduces taxable income, sometimes bringing it down to zero for several years. LMNP depreciation can neutralize the taxation of rents over a long period, which mechanically improves net profitability.
In unfurnished rental, the real regime allows for the deduction of expenses (work, loan interest, insurance) but without depreciation of the property. The micro-property regime applies a flat-rate allowance. Returns on this point vary according to each investor’s situation: an owner with an ongoing loan and significant work will often benefit from the real regime, while a property without a loan and few expenses makes the micro-property regime simpler.
The trap of changing regimes midway
Switching from the micro-property regime to the real regime commits you for a minimum of three years. The reverse is possible but forfeits the benefit of carried forward property losses. Choosing your tax regime at the time of purchase prevents being stuck with an unsuitable option.
Location and rental tension: two factors to verify before purchase
A low price per square meter does not mean a good deal if no one is looking to rent in the area. Rental tension, which is the ratio between demand and the supply of available housing, determines the risk of vacancy.
This tension is checked by consulting local data: average re-rental time in the neighborhood, number of online listings for similar properties, presence of employment hubs, universities, or major transport links. A property located near a train station served by a new line project gains attractiveness even before it is operational.
Investing where rental demand exceeds supply reduces the main risk of any rental project. Tight markets often impose higher purchase prices, but the near-absence of vacancy more than compensates over time.
A final often overlooked point: the quality of the property in relation to the local market. A well-designed T2 with a balcony will rent faster and for more than a dark T3 on the ground floor, even on the same street. The choice of housing, not just the city, makes the difference between a thriving investment and a stagnant project.
