Following the law for a digital republic, from now on the Tourism code stipulates that the town councils of cities with over 200,000 inhabitants can implement registration for short-term furnished rentals for tenants not taking up residence.
Consequently, from the 1st December 2017, the registration number should appear on online advertisements and rental contracts for furnished apartments rented to tourists in Paris. This measure should be applied in Bordeaux from the 1st March 2018.
Those affected by this new measure:
- Landlords renting out a furnished rental to tourists throughout the year, after having obtained authorization for a change of use (a long, complicated and expensive procedure)
- Landlords that rent out their primary residence for a few weeks during the week (120 days maximum)
The city of Paris has put in place an online service so that landlords of furnished rentals for tourists in Paris can be assigned the registration number that should then feature on all their advertisements and contracts for seasonal rentals.
But what impact will this have on the market ?
A way for the Mairie de Paris to control the market, making a registration number obligatory should inevitably lead to fewer properties let by the day or by the week. Regarding other landlords, it’s likely that they will turn to longer term furnished rentals, knowing that there is still a legal uncertainty surrounding the term «short-term ».
Today the Marie de Paris considers that all furnished rentals that are not rented as the primary residence of the tenant (9 months for a student contract, 1 year for a conventional contract) are classed as short-term rentals.
Yet this stance is not at all the one held by the Inspectorate-General of Finances and the CGEDD (Conseil général de l’environnement et du développement durable) in their 2016 report on furnished properties to rent. In fact, the latter stated that «short-term rentals should not be defined as all furnished rentals with a contract under 9 months » and that “short-term furnished rentals can be defined renting a room or an entire property for less than a month whether or not it is a primary residence».
With the bill for temporary leases (contracts from 1 to 10 months), which will be discussed in a few weeks (at the beginning of 2018), we can assume that this second definition of “short-term” is more realistic: can a furnished rental for a few months really be classified rentals for tourists?
As well as this article, I invite you to read Lodgis’ press release (in french) MAUD VELTER’S ANALYSIS of the introduction of registration numbers for furnished rentals for tourists in Paris from the 1st December.