To provide better regulation for short-term rentals, authorities have implemented new Airbnb rules for 2024, adopted by the National Assembly in January 2024 – especially in France. These regulations aim to balance the rental market in France, particularly between permanent housing and vacation rentals.
This article outlines the new Airbnb rules for 2024 and their impact on real estate investment for short-term rental property owners starting this year.
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Key Points of the New Airbnb Rules 2024
The short-term rental sector has been booming lately. Due to its success, short-term rentals are now seen as direct competition to hotels and permanent housing. In tourist areas, the supply of permanent housing has struggled to meet the increasing demand, as permanent residence rentals have become increasingly rare.
Discover the key points of these new Airbnb rules for 2024, which will certainly tighten existing regulations and impact the short-term rental industry.
Mandatory Energy Performance Diagnostic
Starting in 2024, vacation rentals will be subject to energy performance checks according to a pre-established energy renovation schedule to combat energy-inefficient properties. This measure aims to evaluate energy consumption and only offer properties with a classification between A and D, in line with the Climate and Resilience Law of 2021. This diagnostic is now mandatory and at the owner’s expense.
Increased Powers for Local Officials
In several major cities in France, the housing crisis has negatively impacted residents’ lives. Mayors are thus compelled to find solutions to house workers, students, and investors permanently. This new law allows local officials to limit short-term rental nights to 90 days instead of 120 days to better address the housing crisis in these cities.
Revised Fiscal Regime for Short-Term Rentals
The fiscal regime for short-term rentals will also undergo significant changes according to these new Airbnb rules for 2024, although the details remain unclear for some investors. For more information, click here. This measure aims to reevaluate the thresholds and fiscal deductions for short-term rentals, already affecting rents collected starting in 2024.
Here are the changes in taxation:
- If your property is not classified, you must not exceed an annual turnover of 15,000 euros (down from 77,000 euros) to qualify for a 30% tax deduction on your rental income (down from 50%).
- For classified properties (ranging from 1 to 5 stars), the turnover must not exceed 30,000 euros (down from 188,700 euros) for a 30% tax deduction (down from 71%).
Implementation of a Unified Platform in All Municipalities
One of the major reforms of this law is the implementation of a unified platform to centralize all tele-declarations made by property owners involved, or wishing to be involved, in the short-term rental market when registering with the town hall. Following this registration, which is now mandatory for all municipalities, whether in high demand or not, owners receive a tele-declarant number that must appear in each of their listings. The creation of this unified platform will not only constitute a national database of all short-term rental actors but also facilitate administrative processes.
Increasingly Strict Restrictions
In addition to these new Airbnb rules for 2024 regarding short-term rentals, Airbnb announced on March 28 that a major change to its refund policy for extraordinary circumstances such as natural disasters, pandemics, or large-scale emergencies will also take effect on June 6. This new policy aims to clarify refund conditions.
These new Airbnb rules for 2024 will clearly transform the short-term rental landscape in France. However, these limitations do not aim to weaken this type of activity. On the contrary, they will regulate the sector to balance the rental market and reassure clients. Nevertheless, the short-term rental industry can still remain highly lucrative. Simply comply with the regulations and revise marketing strategies to ensure an optimal occupancy rate to earn an additional annual income.
