Landlords and the Climate Law: new obligations for the real estate market
The Climate and Resilience Law of August 22, 2021 represents a major shift for the real estate market, including high-end residential property in Paris and internationally.
This legislation introduces strong measures aimed at eliminating energy-inefficient properties, directly impacting landlords and rental investors.
Rent increase ban for energy-inefficient properties
Since August 2022 (postponed to July 1, 2024 in overseas territories), landlords can no longer increase the rent of properties classified F or G.
This restriction applies to:
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primary residences,
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furnished and unfurnished rentals,
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new leases and lease renewals,
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annual rent indexation based on the IRL.
Energy Performance Diagnosis (DPE)
The Energy Performance Certificate (DPE) determines the energy rating of a property, from A (most efficient) to G (least efficient).
A new, more reliable and legally binding DPE has been in force since July 1, 2021.
Progressive ban on renting energy-inefficient properties
In mainland France:
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G-rated properties banned from rental in 2025,
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F-rated properties in 2028,
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E-rated properties in 2034.
More than 4 million properties are impacted nationwide.
Sanctions for non-compliant landlords
Tenants may require landlords to carry out energy renovation works, seek rent reductions or initiate legal action if the property does not comply with legal standards.
MaPrimeRénov: financial support for landlords
Since July 2021, landlords can benefit from MaPrimeRénov, a government subsidy managed by the National Housing Agency, to finance energy renovation works.
This scheme is a key tool for preserving the value of high-end and historic real estate assets.
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