Country profile

France: rental market overview

38.8%of the population rents their home
France mandates an official contract model for a primary-residence lease, backs the tenant strongly, and caps rent levels in a growing list of tight-market cities.

The rental market

Ownership structurePrivate renting in France is 95% in the hands of individuals. Alongside it operates a huge, separate social housing sector (HLM) — non-profit and public.
Who rentsThe rise in the number of renters since 2000 has been driven mainly by private renting; the social sector (HLM) covers about 15% of households.
38.8% of the population rents, of which 16.9% at market rates.
At a glance

France: legal framework

Rental market
38.8% of the population rents, of which 16.9% at market rates.
Legal framework
Governed by the 1989 tenancy law and its decrees. Since 2015 every primary-residence lease must use the official state contract model.
Deposit
The deposit is capped at one month's rent for an unfurnished let (two months for furnished); the mobility lease (bail mobilité) allows no deposit at all.
Notice & termination
The tenant gives three months' notice (one month in a tight-market zone); the landlord may give notice only at term, with six months' notice and a legitimate, serious reason.
Rent increases
Rent is revised once a year by the reference rent index (IRL) where the contract provides — but no increase or indexation applies while the dwelling is rated F or G on its energy certificate.
Worth knowing
Rent is frozen for energy-poor F/G homes until they improve, and encadrement des loyers caps the rent level itself in designated cities; late return of the deposit adds a 10%-per-month penalty.
Landlord risk
Using the official model, respecting rent controls and the energy-rating freeze are all mandatory, with fines for getting rent caps wrong.

The rental agreement

French residential tenancies for an unfurnished, primary-residence rental are governed by the tenancy law of 6 July 1989 and its implementing decrees. Since 2015, every such lease must use the official state contract model set out in Decree No. 2015-587 — a landlord cannot simply draft their own wording for the core clauses.

The standard term is three years, running from the agreed start date to the agreed end date, and it renews automatically (tacit reconduction) unless either party gives notice. The tenant may leave at any time with three months' notice, cut to one month in a designated tight-market zone (zone tendue) or in other cases set by law. The landlord, by contrast, may only end the lease at its term, with six months' notice and a legitimate, serious reason — recovering the home for personal use, selling it, or another motif légitime recognised by the law.

Rent is reviewed once a year against the reference rent index (indice de référence des loyers, IRL) published by INSEE, where the lease provides for it. In cities with rent control (encadrement des loyers), the agreed rent must also respect the applicable capped reference rent. Crucially, no rent revision or indexation may apply at all while the dwelling is rated F or G on its energy performance certificate (DPE) — the rent stays frozen until the landlord improves the rating.

Before signing, the landlord must attach a set of mandatory diagnostics to the lease: the DPE itself, the état des risques (natural and technological risk statement) and, for older buildings, the CREP lead survey plus gas and electrical inspections. Missing documents can undermine the lease.

Deposit

The security deposit (dépôt de garantie) is capped by law at one month's rent excluding charges for an unfurnished let — the Brokik contract template enforces this ceiling directly in its clauses. It cannot be used by the tenant to cover rent or charges during the tenancy, and it does not earn interest for the tenant.

After the tenant moves out, the landlord has one month to return the deposit if the exit inventory (état des lieux de sortie) matches the entry one, or two months if it shows damage, counted from the day the keys are handed back — minus any justified sums owed. Miss that deadline and the balance still owed to the tenant is increased by 10% of the monthly rent (excluding charges) for every month of delay that begins.

Termination & rent increases

Termination works asymmetrically by design. The tenant can give notice at any time during the three-year term, with three months' notice as the default — shortened to one month in a zone tendue or in the other statutory cases (job loss, first job, transfer, health grounds, etc.).

The landlord can only act at the end of the three-year term, giving six months' notice and stating one of the law's legitimate, serious grounds: reprise (taking the home back to live in or house a close relative), vente (selling with vacant possession), or another motif légitime such as repeated serious breach. A notice without one of these grounds, or served too early, has no effect and the lease renews by tacit reconduction.

The law also voids, outright, any clause that would let the landlord charge a penalty, fine or rent increase for late payment — the landlord's only recourse for unpaid rent is the legal process (commandement de payer, then the resolutory clause in court).

Handover protocol

The état des lieux (move-in/move-out inventory) is a mandatory, not optional, part of a French tenancy. It is drawn up jointly ("contradictoirement") and in writing at the handover of keys, and it describes the dwelling, its equipment and the meter readings; it is annexed to the lease itself.

At move-out, a second état des lieux is prepared the same way. Comparing the two is the legal basis for charging the tenant for damage beyond normal wear and tear — without a proper entry inventory, the landlord has essentially no way to prove the dwelling's original condition, and by law the tenant is presumed to have received it in good repair.

Obligations & utilities

Day-to-day upkeep and minor repairs (réparations locatives, defined by decree) fall to the tenant, who must also report the need for any bigger repair to the landlord without delay. The landlord, in turn, is responsible for major repairs and for keeping the fixtures and equipment listed in the lease in working order.

Two protections are guaranteed by law and cannot be contracted away: the tenant may keep a pet (any lease clause forbidding it is void, under the law of 9 July 1970), and no smoking ban can be imposed either — the rented dwelling is the tenant's private home. The tenant remains liable, of course, for any smoking-related damage found at the exit inventory. Subletting or assigning the lease always requires the landlord's prior written consent.

Interesting facts

France holds about a quarter of all social housing in the European Union (roughly 21 million across the EU) — the largest social housing stock in Europe.
Despite the scale of the social sector, the private rental market is still dominated by small landlords — 95% of private rental apartments belong to individuals.

Frequently asked questions

A landlord can only end an unfurnished residential lease at the end of its three-year term, giving at least six months' written notice and stating one of the law's recognised grounds — taking the home back for personal or family use, selling it with vacant possession, or another serious and legitimate reason. Notice given without a valid ground, or outside the end-of-term window, has no legal effect, and the lease simply renews for another three years.

For an unfurnished letting the security deposit is capped by law at one month's rent, excluding charges. Furnished lets allow up to two months. The deposit doesn't earn interest for the tenant and cannot be used to cover rent during the tenancy — it is only settled, minus any justified deductions, after the exit inventory.

No. If the dwelling is rated F or G on its DPE (energy performance certificate), the rent is frozen — no annual IRL-based revision and no indexation of any kind can apply until the rating improves. This is one of the more consequential recent changes to French tenancy law and catches out landlords who assume the yearly indexation clause always works.

A mandatory diagnostics package: the DPE energy certificate, the état des risques natural/technological risk statement, and — for older buildings — the CREP lead survey plus gas and electrical inspection reports. These are legally required annexes to the lease; missing them can undermine the contract itself.

Yes — unlike some other European markets where it is only best practice, in France the état des lieux is mandatory at both move-in and move-out. It must be drawn up jointly and in writing, and it becomes the reference document for any deposit deduction claim.

No. French law makes any clause imposing a penalty, fine or rent increase for late payment void from the outset. If a tenant falls behind, the landlord's only lawful path is the formal legal process — a commandement de payer followed, if needed, by triggering the lease's resolutory clause through the courts.

Three months by default, or just one month if the property sits in a designated tight-market zone (zone tendue) or the tenant qualifies under one of the law's other exceptions (e.g. job loss, a first job, a work transfer, health grounds, or being over 65 with low income).

France: manage every rental with Brokik

Brokik gives every property the rental agreement, tax rules and language of its own market — in a single account.