Buy-to-let investing
The right property, at the right net yield
Buying bricks and mortar to let out means aiming for an income — not simply buying a home. Everything turns on the location, on being able to let without void periods, and above all on the net-net yield, once costs and tax have been deducted. Here is the method, with no promise of gain.
What actually matters
Three yields, only one decides
- Gross — annual rent ÷ price. The figure used in listings, and the most flattering.
- Net — after voids, service charges, taxe foncière (the French local property tax paid by the owner) and management, measured against the total cost (frais de notaire, the French purchase costs, and works included).
- Net-net — after tax. The only one that says what the property really earns you.
Step 1
Choosing the property: what creates the income
A good buy-to-let investment is decided at purchase. Three criteria outweigh falling in love with a place: where it is, how easily it lets, and the state of its DPE.
Location and rental demand
This is the first criterion, ahead of price. A property that is easy to let sits where demand outstrips supply: a dynamic employment area, a student population, transport, shops. The French term for this is a “zone tendue”, a designated high-demand area. A slightly lower rent in a town that lets quickly often beats a high rent in a town where the property stands empty.
The type of property and void periods
Studios and T2 flats (one bedroom) often show the highest gross yield but turn over more (tenant turnover means voids and costs). A family T3/T4 (two or three bedrooms) looks less rewarding but is kept longer. Rental voids — the months without rent — eat into the real yield: always build them into the calculation.
The DPE and the timetable for energy sieves
The DPE now governs whether a property can be let at all. The timetable of the loi Climat et Résilience, as in force on 06/08/2026: homes rated G can no longer be put on the rental market since 1 January 2025, F homes from 1 January 2028 and E homes from 1 January 2034 (mainland France). The ban bites on leases signed, renewed or tacitly renewed after each deadline, not on leases already running. A poor DPE therefore means works (or a discount at purchase) to plan for.
Step 2
Gross, net, net-net: the real return
Gross yield divides the annual rent (rent × 12) by the purchase price alone. It is the figure used in listings: handy for a quick comparison, misleading as a basis for deciding.
Net yield is far more honest. It first strips out rental voids (the months without a tenant), then non-recoverable service charges, the taxe foncière and management fees, and it measures that income against the true total cost — that is, price + frais de notaire + works, not just the advertised price.
Net-net yield finally deducts tax. A consistency reminder: buy-to-let property is never subject to the flat tax (PFU, prélèvement forfaitaire unique). Rents are taxed at the income tax scale, plus prélèvements sociaux (social levies): 17.2% on an unfurnished letting, 18.6% on a furnished one from 2025 income onwards (rates in force, checked 08/2026). It is this net-net yield, the most prudent one, that you should look at: a yield remains an assumption, never a promise.
Gross
rent × 12 ÷ purchase price
Net
(rents − voids − charges − taxe foncière − management) ÷ total cost
Net-net
net yield, once tax (income tax scale + prélèvements sociaux: 17.2% unfurnished, 18.6% furnished) has been deducted
Managing a let is not the only route into property
SCPIs (sociétés civiles de placement immobilier, French property funds) and property crowdfunding give exposure to the same market with no tenant and no building works, at a far lower entry ticket — and with risks of their own, set out on the comparison page.
Estimate
Put a figure on your project’s yield
Enter the price, the costs, the rent, the void rate and your income tax band: the calculator displays all three yields. Everything is worked out in your browser — nothing is sent to our servers.
Prix du bien, frais d’agence inclus (FAI).
≈ 7 à 8,5 % dans l’ancien, ≈ 2 à 3 % dans le neuf.
Budget rénovation à l’acquisition (0 si aucun).
Loyer hors charges, par mois.
Part de l’année sans locataire. Défaut : 5 %.
Par an : copropriété non récupérable, assurance PNO, entretien…
Cotisation annuelle, à la charge du propriétaire.
Agence / gestion locative, en % des loyers encaissés. 0 en direct.
Votre taux d’imposition sur le revenu (0, 11, 30, 41 ou 45 %).
Location nue (revenus fonciers) : 17,2 % (l’immobilier n’est pas soumis au PFU).
- Rendement net-net (après impôt)
- 1,86 %
- Le plus proche de ce que le bien vous rapporte réellement.
Les trois rendements
- Brut (loyer annuel / prix)
- 4,80 %
- Net de charges
- 3,53 %
- Net-net (après impôt)
- 1,86 %
Le détail du calcul
- Coût total (prix + notaire + travaux)
- 216 000 €
- Loyers bruts / an
- 9 600 €
- Loyers encaissés (après vacance)
- 9 120 €
- Frais de gestion / an
- 0 €
- Revenu net avant impôt / an
- 7 620 €
- Impôt (TMI + PS) / an
- -3 597 €
- Revenu net après impôt / an
- 4 023 €
An estimate, not advice
Indicative estimate, not a contractual offer — the actual terms depend on your own situation and are set by the institution or the tax authority. Check with a professional.
Need to go further? See all the property calculators (monthly repayment, frais de notaire, rental tax, capital gain…).
Step 3
Where to invest? A method, not a ranking
We deliberately do not publish a “league table of the most profitable towns”: such rankings date quickly and depend on the specific property, the neighbourhood and the moment. Here instead are the signals to cross-check yourself, using reliable sources.
Rental demand
Does demand outstrip supply? The average time taken to let, the number of applicants per listing. A tight market protects you from the risk of voids.
Real price per m² (DVF)
The official DVF database records the transactions actually completed: it is more reliable than advertised listing prices for judging whether a property is expensive.
Market rents
Local rent observatories (and the rent caps that apply in a zone tendue) set a realistic range. Never start from the rent the seller “hopes for”.
Employment and student catchment
Jobs, colleges, population growth (INSEE data): these drive lasting rental demand far more than an isolated gross yield.
Step 4
Let unfurnished or furnished (LMNP)?
The choice changes the tax treatment, the management and the type of tenant. Neither option is “better” in absolute terms: it all depends on the property, the charges and your income tax band.
Unfurnished letting (revenus fonciers)
- A three-year lease, a more stable tenant, simpler management.
- Micro-foncier: a 30% allowance if annual rents are ≤ €15,000 (checked 07/2026).
- Régime réel (actual costs): you deduct the real charges and works, with the déficit foncier offsettable against your overall income (up to €10,700 a year; €21,400 for certain energy-renovation works, a scheme extended to 31/12/2027 by the 2026 finance act — checked 08/2026).
Furnished letting (LMNP, BIC)
- A shorter lease, often a slightly higher rent, but turnover and furniture to look after.
- Micro-BIC: a 50% allowance for long-term furnished letting (ceiling of €83,600 for 2026 income, against €77,700 for 2025 income — service-public.gouv.fr, checked 08/2026). Unclassified holiday lets were tightened (30%, ceiling of €15,000) by the loi Le Meur.
- Régime réel: depreciation of the property can neutralise the tax on the rents. Note: since the 2025 reform, the depreciation deducted is added back into the capital gain calculation on resale, which increases the tax due on disposal.
Going further
Three ways to sharpen your project
Frequently asked questions
Buy-to-let, without nasty surprises
How do you work out the return on a buy-to-let investment?
There are three levels. Gross yield = annual rent (rent × 12) ÷ purchase price. Net yield first deducts rental voids, then non-recoverable charges, the taxe foncière and management fees, and measures that income against the true total cost (price + frais de notaire + works). Net-net yield finally subtracts tax. It is this last figure, the most prudent one, that reflects what the property really earns. A yield remains an assumption, not a guarantee.
Unfurnished or furnished letting (LMNP): what is the tax difference in 2026?
Unfurnished letting falls under revenus fonciers, French property income (micro-foncier with a 30% allowance, capped at €15,000 of rents per year, or the régime réel with déficit foncier). Furnished letting falls under BIC, industrial and commercial profits: the LMNP regime, with micro-BIC (a 50% allowance for long-term furnished letting) or the réel with depreciation of the property. Neither is subject to the flat tax (PFU): buy-to-let property is taxed at the income tax scale, plus prélèvements sociaux (social levies) — 17.2% on an unfurnished letting, 18.6% on a furnished one from 2025 income onwards. The choice depends on the level of charges, the works and your income tax band.
Is buy-to-let property subject to the flat tax (PFU)?
No. Unlike investment income or crypto, rents (unfurnished and furnished alike) and property capital gains are never subject to the prélèvement forfaitaire unique. They are taxed at the progressive income tax scale, to which prélèvements sociaux are added: 17.2% on unfurnished rents and on property capital gains, 18.6% on furnished rents from 2025 income onwards. It is a common mistake to avoid in simulations.
Can a home rated F or G still be let in 2026?
The timetable of the loi Climat et Résilience, as in force on 06/08/2026: homes rated G can no longer be put on the rental market since 1 January 2025, F homes from 1 January 2028 and E homes from 1 January 2034 (mainland France; later deadlines overseas). The ban applies to leases signed, renewed or tacitly renewed after each deadline, not to leases already running. Two developments to know about: since 1 January 2026 the DPE calculation method has changed (the primary-energy coefficient for electricity was cut from 2.3 to 1.9), which takes electrically heated homes out of energy-sieve status without any works — DPEs issued before then remain valid and can be updated free of charge on the ADEME DPE-Audit observatory; and the timetable itself is being reviewed by Parliament (the “relance et décentralisation du logement” bill, adopted by the Senate at first reading on 8 July 2026, whose article 6 would create derogations from the energy decency criterion). Nothing is settled until that text is finally passed: check the current rule on service-public.gouv.fr before buying a property to renovate.
Which towns are the most profitable to invest in?
We do not publish a numbered “league table” of towns, because such rankings date quickly and depend on the specific property, the neighbourhood and the moment. The right approach is a method: cross-check rental demand (demand vs supply), the observed price per m² (the DVF database of actual transactions), market rents (local rent observatories), the employment and student catchment (INSEE data) and planned developments. A “profitable town” figure is indicative at a point in time and liable to change.