Register - if you don't have an account

Yes! Sign me up for Global Property Guide's fortnightly email newsletter.

Login - for registered users

Forgot Password?
Explore destinations
continent map couldn't be loaded Pacific Europe & Russia North America Latin America Asia Africa Middle East Caribbean


Property Portal was first established in 2003 and has evolved over the following years to become one of the leading International portals in existence today. was awarded the CNBC \"Best Property Portal\" award.

My company


New property tax proposed for foreign-owned second homes in France

Jul 06, 2012 | 1 Comment(s)

New property tax proposed for foreign-owned second homes in FranceFrench president Francois Hollande has put forward proposals to increase the level of tax paid by foreigners with second homes in the country.

At present, a duty of 20 per cent is levied on any rental income, while the capital gains tax (CGT) on sales is charged at 19 per cent.

If Mr Hollande's plans go ahead, this will increase significantly, with 35.5 per cent being collected on rental income - which will be applied retrospectively to January 1st 2012 - while the CGT will climb to 34.5 per cent from the end of July.

Speaking to the Telegraph, Graeme Perry, a partner at Sykes Anderson, stated the new tax regime could damage the French property market by encouraging Brits and other overseas buyers to look elsewhere for a real estate investment.

Earlier this year, there were indications of how a change in CGT tax can affect the French property sector, with owners rushing to dispose of their assets before February 1st when the new higher rate came into force.

A report released by property firm Lonres last month revealed the level of activity in the Parisian real estate sector has fallen since February and is stagnant, apart from at the prime end of the market.


Download free property reports from international research houses

Our Newsletter

Fortnightly updates from the global property arena directly to your inbox.

Manage subscriptions