Emmanuelle Cosse, the Minister for Housing and Sustainable Homes, has announced that the free security deposit plans provided by Action Logement will be extended from September 30th 2016 to cover under 30s.
In theory, Visale could help 300,000 young people every year
The decision to extend the Visale guarantee bond to cover under 30s has been taken in order to help young people who are struggling to find housing. In fact, the majority of people in this category are working on fixed-term contracts (CDD) and have limited financial means.
From September 30th, 2016, the Visale security bond will be available to all under 30s entering rental accommodation: young employees, the self-employed, the unemployed and students (excluding «non-grant-holding» students using their parents’ home as a tax address). This also covers students entering university accommodation, provided that the accommodation is not state subsidized. The government has announced that of the 900,000 young people entering rental properties each year, 300,000 could benefit from the Visale guarantee bond.
In practice, Visale is still a time-limited guarantee bond
The VISALE plan covers all outstanding rent and charges but only for the first 3 years of renting, and it does not cover property damages.
Will it really be easier for students and unemployed persons under 30 to find housing thanks to this plan? One may well doubt it given that the real problem, which lies in having large built-up areas with insufficient housing to meet demand, will not be resolved.
For more information about the VISALE guarantee bond, I would recommend reading my other article VISALE: the Action Logement free guarantee bond.