Super Pinel, Wargon law, Pinel Vert… What future for new real estate investment in France?

#PINEL #Nantes #Real Estate #Investment Pinel is dead... long live Pinel! The Pinel real estate tax exemption scheme, the first of its name, is in its final years and the related tax reductions (up to €63,000) will begin to be reduced from 2023. As of December 31, 2024, Pinel premier will not will be more. To succeed him, Emmanuelle Wargon, Minister of Housing, announces the creation of a new support system for new purchases focused on “green” and comfort. So Pinel Vert, Pinel + or Wargon law... What new developments does the new Pinel in gestation have in store? Read also: Bordeaux: what future for the Pinel system?

Pinel, a pillar system for new real estate

The Pinel system represents between a quarter and a third of housing sales today. What does it consist of? Currently and until December 31, 2022, invest in Pinel in Nantes as everywhere in France means:

Buy a new apartment in a tense urban area;
Commit to renting it at a capped price for 6.9 or 12 years;
See your income tax reduced by 12%, 18% or 21% of the purchase price of the property, depending on the commitment time.

The calculation of the tax reduction is based on a maximum of €300,000. The maximum tax reduction can therefore reach €63,000.

A split disappearance

Between 1^er January and December 31, 2023, the reductions will be less advantageous and the reduction rates will increase to 10.5, 15 and 17.5%. From 1^er on December 31, 2024, these same rates will fall further to 9, 12 and 14%. Please note, the dates taken into account are not those of your reservation signature, but those of the building permit submission.

Explanation of Super Pinel 2022 by BFMTV

The super Pinel: what’s new?

The Minister of Housing, Emmanuelle Wargon, announced, on the sidelines of a conference on the housing of tomorrow, that a device, temporarily called “super-Pinel” was under study. In all likelihood, this new Pinel law should concern housing that is most respectful of the environment and the comfort of the occupants. It will be based, among other things, on the report by François Leclercq and Laurent Girometti. The general director of Epamarne and the architect-urban planner, commissioned by the ministry to carry out an inventory of French housing, sent their report on September 8. It highlights the faults of current construction, particularly the cramped conditions of housing, and attempts to determine “action levers to increase their quality of use” in a “quality housing benchmark (available on ecologie.gouv.fr). Guided by this report, the Minister of Housing initiated a series of round tables around the theme “Living in the France of tomorrow”. They take place from August 30 to October 14. Period during which regional trips are also planned.

Green

The energy performance of housing is clearly the hobby horse of Emmanuelle Wargon whose arrival in government saw for the first time the role of Minister of Housing evolve in concert with the Ministry of Ecological Transition. As a reminder, Emmanuelle Wargon's full title is Minister Delegate to the Minister of Ecological Transition, responsible for Housing. It is almost certain that new housing potentially eligible for the super Pinel which should come into force from 2023 will have to comply with RE2020. This new environmental regulation for buildings constitutes a giant step forward in taking into account the energy costs of housing, its thermal comfort and the environmental impact of construction. It will gradually come into force from 2022 with 3 stages in 2025, 2028 and 2031. A small green revolution in buildings, the 2020 Environmental Regulations will involve, among other things:

overall energy consumption of the home less than 100 kWh/m², i.e. 2 times lower than the requirements of RT2012 still in force;
heating consumption less than 12 kWhep/m2;
CO2 emissions due to energy consumption of less than 4 kilos/m²/year

Comfort

The successive confinements of the Covid 19 health crisis, teleworking and home schooling have given rise to new expectations among the French regarding the layout of their homes. Based on the report of Laurent Girometti And François Leclercq and created after consultation with professionals in the sector, the benchmark on housing quality was unveiled on September 8, 2021 during the second round table “Interiors/exteriors: living well in your home”. Faced with the observation of a drop in the average surface area of new housing (In Paris, T3s have lost around 15 m² in 20 years) and the unique orientation of housing, among others, the report defines 5 major objectives: Relationship to the exterior space, brightness, feeling of space, scalability and practicality of use. The framework proposes to impose a minimum surface area by typology, which will imply increased comfort and optimization of the versatility of housing in the long term. Access to an exterior space and through openings allowing optimization of natural light must also be widespread. Certain recommendations will be used for the constitution of the “super Pinel” which will be revealed in mid-October.

“This framework... constitutes a balanced basis which elected officials and operators could use. For citizens to accept densification, construction near their homes, and to make cities attractive, desirable housing is needed. » Emmanuelle Wargon, Minister Delegate to the Minister of Ecological Transition, responsible for housing

Pinel green growth

In mid-July 2020, the FPI anticipated the movement and sent the government 15 proposals for a revitalization of the new real estate market. A way of “directing household money towards new ecological housing” according to President Alexandra François-Cuxac. The federation is calling for an increase in Pinel tax benefits, subject to investing in eco-responsible housing. She is calling for a tax reduction of up to 33%, for a duration of commitment to “Pinel Green Growth” of 15 years. In addition, it wishes to exempt Pinel from the cap applied to the majority of tax niches to give it greater attractiveness. It further proposes the elimination of the 30-month completion period inherent in the initial system. Finally, it proposes the extension of the system to cities eligible for the Denormandie device (245 municipalities).

Le Figaro Immobilier talks about it

A “super Pinel” in the making to revive new housing https://t.co/FfSYBFCM0j
— Figaro Immobilier (@Le_Figaro_Immo) October 10, 2021

A boost expected by the FPI

In a press release dated 10 November 2020, published on the fpifrance.fr website, the only professional organisation representing real estate development in France expressed its outrage at the amendments relating to Pinel introduced in the 2021 finance bill. The federation accused the government of not seizing the opportunity to strengthen the Pinel and PTZ schemes and thus further weakening a sector in crisis. Since 2017, the construction sector has suffered a drop in production of almost 100,000 homes. However, Pinel provides housing for 50,000 low-income households at affordable prices and in areas of high real estate tension. The annual redefinition of Pinel rents, potentially municipality by municipality, implied by the amendments also caused reactions in addition to the applicability of these new rules on 1 January 2021, while many questions remained unanswered. An uncompromising press release that illustrates, if need be, to what extent the announcement of this new Pinel law, which could well be called the Wargon law, was awaited like the messiah by the entire French new real estate sector.^{Generali talks about the PINEL law on TWITTER} ? #Real estate

rental: the #Pinel

Law system is extended until 2024. What are the changes? How will the #tax reduction be revised downwards? A quick recap ⬇ #Investment https://t.co/hHHQDviMYv — Generali France (@generalifrance)September 29, 2021