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Guide to Letting Out A French Property Privately
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Q. How much can I rent my property for ?
A. This varies by location in France, the local
facilities and the size of your property. A 2 bedroom apartment in the South of
France near St Tropez or Nice/ Cannes and costing say £130,000 could rent
for £800 per week in  July
and August whilst dropping to say £350 a week in April or October. Larger
villas can be rented for a few thousand pounds a week in the Summer but it can
be harder to find rentals out of season. Generally apartments and small houses
on shared domains fetch the highest rent relative to the purchase cost.
In the Alps or the Pyrenees a 2 bedroom property could be rented in the Winter
at peak rates of £700 to £1,000 a week.
Typically you should expect the rentals of your property net of management,
advertising and cleaning charges to cover the repayment mortgage once your rentals
are underway.
Q. How many weeks of the year can I rent my
property out for ?
A. This varies by location in France, the local
facilities and the extent of your advertising. In summer holiday locations - by
the sea or lakes particularly - the prime season is late June to very early September,
around 12 weeks. July and August are the peak months with the French themselves
taking holidays in August, particularly the first two weeks. You should expect
around 16 weeks letting once you are established, more after several years with
repeat clients or with more extensive advertising.
Many people rent out in the July/ August months when it is hottest and the
highest rents and enjoy June and September visits to their own property when it
is more pleasant and hence maximize their income and enjoyment.
Q. Who will rent out my property for me ?
A. You could hand over all the rentals to a
local estate agent/ management company in France. Often they will take up to 25%
of your gross weekly rental for the advertising and management service. They will
also often arrange for the cleaning and changeovers and provide cover for any
emergencies such as burst plumbing etc.
Alternatively you could advertise locally in shop windows or nationally in
newspapers - the Sunday Times has a very active section for French rentals.
For the computer literate amongst you could set up a web site and advertise
on the Internet – this will lead to a useful stream of extra rentals but
should not be relied upon for fully letting your property unless you are an expert
in internet marketing !
 Finally
you could use the power of the Internet but use someone else’s web site
– many people have set up advertising web sites catering for holiday booking
enquiry generation for a modest advertising fee – always ask for evidence
of visitors to the site and references from happy advertisers though as many sites
have minimal interest. We can recommend sites to use and we are also opening our
own rentals web site in the near future – just for our own clients use.
Q. If I arrange my own rentals who will keep
an eye on the property, arrange cleaning between rentals and sort out emergencies
?
A. It can be a nightmare to imagine what would
happen if the water went off or the washing machine broke in your house whilst
someone was renting it – worse if no-one turned up to clean the property
between changeovers. Fortunately there is a solution.
There are a number of specialist companies who can organize these services
in a reliable way and we can recommend some upon request. They can visit your
property in quiet periods to check on it, they can organize cleaning on changeover
day between guests and they can call in plumbers etc if an emergency occurs.
Q. What is the tax I will pay on rental income
on a property in France ?
A. You pay income tax in France on the rent
income you receive less the mortgage interest you pay (not the repayment element),
depreciation of furniture, refurbishments etc. you do not pay tax twice in the
UK but double taxation relief applies so any excess tax due in the UK due to a
higher rate of tax would fully allow for the tax already paid in France.
For more information
on French Taxation click here
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