The tax aid which was to end with the scheduled disappearance of the Scellier Law will therefore continue to support the construction of new housing. Cécile Duflot, the Minister of Housing begins to draw the outlines. The point with Wire-of-credit.
A real estate market in great difficulty
Need we remind you that the real estate market is bloodless and has suffered many attacks since the beginning of the financial crisis. The phasing out of accession aid dates back to 2009 with the end of the pass-foncier system which allowed property candidates to buy new housing by deferring the financing of the land with that of the building. This formula had been deemed too complex and ultimately proved to be too costly.
More recently, during the 2012 Finance Law, the zero-interest loan was also called into question and refocused solely on new housing ( off-plan apartments and construction of individual houses ) before being extended to renovation work. Old real estate was thus losing valuable support and what is more, in one of its most difficult periods.
Preventing the housing crisis
The government’s objective is to build 500,000 housing units per year, including 150,000 social ones. In this sense, tax incentives are deemed essential. But will it be enough to combat the crisis that is impacting the real estate market today in two ways:
- Fall in household demand
- Limitation of access to credit by banks .
Concerning the hardening of banks’ positions, the reason is obviously the “ Basel 3 ” agreements and the requirement to reconstitute a sufficient level of capital . To achieve this objective, lenders have decided to limit the risk associated with loans so as not to affect the assets on their balance sheet.
Social housing is certainly one of the possible responses to the housing crisis provided that the construction methods are applied in a coherent manner throughout the territory and provide for a fair distribution between the municipalities.
In addition, some believe that the recent decision by Cécile Duflot to regulate the rise in rents goes against common sense and risks limiting supply by worrying investors. The “ new Duflot tax exemption law ” may help to remedy this.
The contours of the Duflot device
It is now clear that the tax incentive will go in favor of so- called intermediate housing . The tax reduction should be close to that practiced on the “Intermediate Scellier” which, let us remember, allows up to 21% tax reduction to those who keep the property for 15 years.
Ecology requires, a bonus is planned for housing that has a “high energy performance” label. The reduction base should be capped at €300,000 and cumulative reductions limited to €10,000 annually.
But the fears aroused by the next Duflot Law stem from the rent ceilings that the Minister plans to set at amounts 20% lower than those of the market, far from those practiced by the intermediary Scellier.
It will probably be necessary to wait for the new zoning currently under study at the rent observatory to judge the impact of the new reform. Only the analysis agglomeration by agglomeration will make it possible to check whether the level of risk is acceptable for the landlords.
It will also be necessary to wait for the promulgation of the decree to know the ceilings of resources, even if we already know that they will be lower than the wages of the middle classes.
Finally, Cécile Duflot recalled that the government is studying the possibility of restoring the PTZ + by including a possible obligation for energy improvement works.