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How to make a rental investment in Evian-les-Bains ?

    How to make a rental investment in Evian-les-Bains ?

    Some rules to rent your property in Evian

    In Evian-les-Bains, the rental market is as dynamic as the real estate transaction market. The demand is constantly increasing, and the rental files are hardly accepted.

    Here are some rules to be know, in order to rent your property:

    -The condition of the property
    Do not be a slumlord. Your accommodation must imperatively respect the standards according to the decree N°2002-120. Do not hesitate to carry out some works which can be deducted from your rental income.

    -Mandatory diagnostics (DDT)
    When signing the lease, the technical diagnostic file must be completed and included in the rental contract. The new regulations concerning the “DPE” (Energy Diagnostic) since July 1st, 2021 aims that by January 1st, 2028, all housing must be located between class A and class E otherwise it will be no longer possible to rent it out.

    -The type of lease :
    Choosing an empty or furnished lease? Small surfaces, like studios, are generally rented more easily if they are furnished. Since 2015, a list of a minimum of equipment is obligatory in order for the lease type "furnished" to be considered as such.

    Empty rental :                                                Furnished rental:
                                                                            List of mandatory equipment
    2-month deposit                                            1-month deposit
    3 year term                                                    1 year term
    3-month notice period                                  1-month notice period
    Termination from the owner :                       Termination from the owner :
    6-month before the end of contract            3-month before the end of contract
    Technical diagnosis file                                 Technical diagnosis file

    As a general rule, apartments or houses with 3 or more rooms are rented on an unfurnished basis.

    -Individual management or management by an agency:
    35% of owners in France have chosen to entrust the rental management of their property via a real estate agency specialised in rentals. In return for a fee, the agency takes care of finding the tenant, visits, checking the rental files, the rental contract, and the inventory of fixtures on arrival and departure. The management fees are paid by the owner and are approximately from 5 to 10%.

    -Defining the amount of the rent
    As a general rule, the negotiation of the rent is free between the owner and the tenant.
    Except in the case of rental investments with tax advantages such as the Pinel Law or if the property is managed by a real estate agency. Indeed, the latter proceeds to a rental estimate according to the current value of the real estate market. A part of the co-ownership charges are added to the rent (cold water, heating if collective, hot water if collective) as well as the energy bills in case of a furnished lease.

    -Security deposit
    Often, the owner asks for a security deposit in order to protect himself against possible unpaid rents or damage to the property.

    Moreover, in order to have an additional security, he is entitled to ask for a guarantor who will stand as guarantor for the person requesting the accommodation.

    The owners can subscribe to an insurance of unpaid rents (“GLI”) which protects them in the event of non-payment of the rents, of degradation of housing and which takes care of the procedures. This insurance requires buyers to provide complete rental files.

    For their part, tenants can call on guarantee organisations that can act as guarantors (surety) and help them pay the security deposit.

    In the year 2022, it is even more complicated to find housing, Real estate agencies and landlords have become suspicious and very demanding, especially because of the “GLI” insurance. As a general rule, it is necessary to have one or two guarantors, a salary superior to 3 times the amount of the rent with the charges, to be in permanent employment and not to be in trial period. A permanent contract alone is no longer sufficient. Unfortunately, alimonies and housing benefits are not taken into account.

    -Supporting documents
    Before signing the lease contract, the owner or the rental agency is entitled to ask the buyer and his guarantor for the following documents:

    -Valid identity document
    -Tax assessment
    -Salary slips
    -Employment contract
    -Proof of residence

    It is forbidden to ask for: bank statements, criminal record, marriage or divorce certificate, any reservation deposit.

    -The inventory of fixtures
    When signing the rental contract and handing over the keys, an inventory of fixtures on entering the accommodation in the presence of both parties is mandatory. The same applies at the time the tenant's departure. Thus, the owner and the tenant can attest to the general state of the property and justify any works that may be necessary.

    A very common real estate market in the Chablais is the vacation real estate market. Indeed, Evian, based on the famous shores of Lake Geneva and only a few kilometers from the mountains, is a city known by many tourists. Moreover, in an era where private rentals are in vogue, Airbnb accommodations are very successful and can be rented very easily almost all year long. There are also tourist residences where it is possible to invest in non-professional furnished enter “LMNP”, see our announcement. These properties are mostly more affordable than the average range of the real estate market but are intended only for investment and cannot be transformed into a secondary or main residence. The advantage is that you have nothing to manage, and you receive a rent twelve months out of twelve whether the property is rented or not.

    Do you want to invest your money in real estate ? The proximity with Switzerland attracts a lot of new inhabitants who are actively looking for a place to live, so Evian-les-Bains is the ideal investment!

    Do not wait to make an online and free estimate in a few clicks!
    Contact :
    - Evian +33 (0) 4 50 75 15 15 / e-mail : evian@decordier-immobilier.com
    - Thonon +33 (0) 4 50 72 31 95 / e-mail : thonon@decordier-immobilier.com