Individuals wishing to calculate their rent revisions can confidently turn to PAP.fr for a calculation that complies with new regulations.
“Purchasing power” law: new rules that complicate rent reviews!
In order to limit the effects of inflation on residential rents, the "Purchasing power" law, which came into force on August 16, 2022, provides that:
- Annual rent re-indexations are capped for one year, from mid-October 2022 to mid-October 2023.
- The reindexings now differ according to the geographical location of the property and 3 zones are created, each with their own indexes: (1) Metropolitan France, (2) Corsica and (3) Overseas.
- At the same time, housing located in mainland France, classified F or G according to their DPE. (Energy performance diagnosis), whose lease has been concluded or tacitly renewed since 24/08/2022, can no longer be subject to a re-indexation of rent, the latter being frozen.
In this context, it is very important for lessor owners to integrate these new rules! And this is precisely what allows them to do the new rent reindexing calculation tool posted on PAP.fr
PAP.fr is the first site to offer an up-to-date tool, taking into account the new calculation methods
All these calculations are made simply, taking into account the new indices by geographical area, in a few seconds from this page.
No other site currently offers an up-to-date simulator, since all the available tools remain programmed with parameters prior to October 14, 2022: INC. (accessible from Service-Public.fr and Ministry of Energy Transition), ANIL (National Housing Information Agency), etc.
This is not the first time that PAP (Particulier à Particulier) has distinguished itself by its responsiveness and its exhaustiveness on an equivalent subject since PAP.fr is also the only site which calculates and automatically displays in advertisements the ceilings of rents in all municipalities subject to rent controls (including Bordeaux and Montpellier since last July).
For Corinne Jolly, President of PAP (Individual to Individual): "In a regulatory context that is constantly changing, providing individuals with reliable and constantly updated tools helps to secure private-to-private rentals which, it should be remembered, represent 66% of the market".
The new terms of rent review, in detail
The increase in rent according to these IRLs is capped at more or less significant rates depending on the geographical location of the accommodation. It is fixed at:
- 3,50% in metropolitan France;
- 2,50% in overseas regions and departments;
- 2% in Corsica.
Since October 14, 2022, INSEE has temporarily published not just one, but 3 indices that include these 3 caps. It is therefore appropriate to use the corresponding index: depending on whether the accommodation is located in metropolitan France, in the overseas regions and departments or in Corsica.
The indexation clause for rental contracts signed between October 14, 2022 and January 13, 2023 is supplemented by indicating which index for the third quarter of 2022 corresponds to the location of the building: "the last index published being that of the third quarter of 2022 which amounts to 136,27 (for accommodation located in metropolitan France)”.
If the accommodation is located overseas, the IRL value for the third quarter of 2022 to be indicated is 134,96. If the accommodation is located in Corsica, the IRL value for the third quarter of 2022 to be indicated is 134,30.
Examples of calculation of rent revision since 14/10/2022, for a lease signed on November 1, 2021 (benchmark: 3rd quarter 2021 whose value is 131,67).
The accommodation is located in metropolitan France
New rent = €1.000 x 136,27 (new index for housing located in mainland France) / 131,67 (old index) = €1.035 (i.e. an increase of 3,49%).
The accommodation is located overseas
New rent = €1.000 x 134,96 (new index for housing located overseas) / 131,67 (old index) = €1.025 (i.e. an increase of 2,50%).
The accommodation is located in Corsica
New rent = €1.000 x 134,30 (new index for accommodation located in Corsica) / 131,67 (old index) = €1.020 (i.e. an increase of 2%).
The ban on reindexing housing classified F and G
Housing located in mainland France, classified F or G according to their DPE, whose lease has been concluded or tacitly renewed since 24/08/2022 can no longer be subject to a re-indexation of rent. And this will be the case overseas for accommodation classified F or G whose lease will be concluded or tacitly renewed after 01/07/2024.