{"id":306999,"date":"2021-07-05T10:00:19","date_gmt":"2021-07-05T08:00:19","guid":{"rendered":"https:\/\/lagencerie.apercu.ovh\/blog\/discover-the-tax-benefits-of-renting-out-an-unfurnished-property\/"},"modified":"2021-07-05T10:00:19","modified_gmt":"2021-07-05T08:00:19","slug":"discover-the-tax-benefits-of-renting-out-an-unfurnished-property","status":"publish","type":"post","link":"https:\/\/www.lagencerie.fr\/en\/blog\/discover-the-tax-benefits-of-renting-out-an-unfurnished-property\/","title":{"rendered":"Discover the tax benefits of renting out an unfurnished property"},"content":{"rendered":"<p style=\"text-align: justify;\">Renting out an unfurnished property (bare property) offers many advantages. Landlords can build up an asset portfolio that can partially finance itself through the rent they collect. But there are many more benefits to renting out a bare property.  <\/p>\n<p><span class=\"Apple-tab-span\"> <\/span>Our <a href=\"https:\/\/www.lagencerie.fr\/albi\/\"><span>real estate agency in Albi<\/span><\/a> and our <a href=\"https:\/\/www.lagencerie.fr\/en\/bordeaux\/\"><span>real estate agency in Bordeaux Chartrons<\/span><\/a> are here to help you manage your rental property.<\/p>\n<h2>THE BENEFITS OF A PROPERTY TAX DEFICIT IN UNFURNISHED RENTALS<\/h2>\n<p>Do <span>you<\/span>own an unfurnished rental property and have opted for the actual cost method of taxation? You can deduct your expenses from your property income. And if your total expenses exceed your property income, you will have a property loss.  <\/p>\n<p>In other words, a landlord can deduct a portion of the expenses related to their rental property from their total income (when filing their annual tax return).<span class=\"Apple-converted-space\"> <\/span><\/p>\n<p>The land deficit deduction applies only when filing under the actual income tax system, not under the micro-land tax system. Specifically, you must complete Form No. 2044 to take advantage of this tax benefit. <\/p>\n<p>Good to know: If you have an excess land loss, or if you forgot to claim it in a given year, it can be carried forward for the next 10 years.<\/p>\n<h2>Tax breaks resulting from tax exemption laws<\/h2>\n<p>Renting out a property without furnishings allows you to take advantage of certain tax exemption laws, such as the Pinel Law, which is a tax incentive program designed for rental investments.<\/p>\n<p>It is named after former Housing Minister Sylvia Pinel and took effect on the 1st<span><sup>January<\/sup><\/span> January 1, 2015.<\/p>\n<p>Its application has once again been extended for cities located in Zones A bis, A, and B1. However, as of now, it is only available for apartments, since single-family homes have no longer been eligible for the program since early 2021. <\/p>\n<p>The Pinel Law therefore offers a tax credit to French taxpayers who wish to invest in new housing. The amount of this tax credit varies depending on the length of the rental commitment, which ranges from 6 to 12 years. The maximum reduction is 21% of the cost price, with a cap set at 300,000 euros. The tax savings therefore amount to a maximum of 63,000 euros over 12 years.   <\/p>\n<p>Other conditions must be met to qualify for the benefits of the Pinel Law. For example, the tenant must use the property as their primary residence, live in Zone A Bis, A, or B1, and have total income below certain thresholds. <\/p>\n<p>It should be noted that, unlike under the Duflot law, the landlord may rent the property to a relative. And at the end of the commitment period, it is, of course, possible to continue renting out the property. <\/p>\n<p>Are you planning to <a href=\"https:\/\/www.lagencerie.fr\/albi\/gestion-locative-albi\/\"><span>rental management project in Albi<\/span><\/a> or a <a href=\"https:\/\/www.lagencerie.fr\/bordeaux\/gestion-locative-bordeaux-chartrons\/\"><span>rental management project in Bordeaux<\/span><\/a> Chartrons? Contact L\u2019Agencerie. <\/p>\n<p>L&#8217;Agencerie &#8211;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Renting out an unfurnished property (bare property) offers many advantages. Landlords can build up an asset portfolio that can partially finance itself through the rent they collect. But there are many more benefits to renting out a bare property. Our real estate agency in Albi and our real estate agency in Bordeaux Chartrons are here [&hellip;]<\/p>\n","protected":false},"author":8,"featured_media":304519,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[192,184],"tags":[],"class_list":["post-306999","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-homeowners","category-real-estate"],"blocksy_meta":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.0 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Discover the tax benefits of renting out an unfurnished property - L&#039;Agencerie<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.lagencerie.fr\/en\/blog\/discover-the-tax-benefits-of-renting-out-an-unfurnished-property\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Discover the tax benefits of renting out an unfurnished property - L&#039;Agencerie\" \/>\n<meta property=\"og:description\" content=\"Renting out an unfurnished property (bare property) offers many advantages. Landlords can build up an asset portfolio that can partially finance itself through the rent they collect. But there are many more benefits to renting out a bare property. 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