Real estate in Seine-et-Marne: students and young workers are always renting more furnished accommodation

The success of furnished accommodation rentals cannot be denied in certain cities of Seine-et-Marne.

Over the past year, their number has increased by a third in Meaux and Champs-sur-Marne and more than 80% in Lagny-sur-Marne according to figures from SeLoger (see table).

“This success is undeniable, most rental investments in new housing are turned to furnished, from studios to two rooms, notes Pascal Galiana, rental advisor for the ERA real estate agency in the Champs-sur-Marne area.

Some large investors will even look for three to five rooms for furnished flatsharing.

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A university breeding ground in Champs-sur-Marne

This predominance of furnished rentals in Champs-sur-Marne, where they represent nearly 46% of rented accommodation, is due in particular to the many schools and post-baccalaureate training in the city.

"There is a large university pool," recalls Pascal Galiana, who cites the Ponts Paris Tech school or the Gustave-Eiffel university [Editor's note: born from the merger of the Paris-est-Marne-la-Vallée university and several large schools in the city of Descartes].

For the most part, students do not yet have the means to furnish themselves, it is also for this financial reason that roommates are in the majority.

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Originally from Guinea Conakry, Thierno Mamadou Bah is pursuing a master's degree in Civil Engineering at Gustave-Eiffel University, which has nearly 17,000 students, after a license obtained in Le Havre.

For the past few months, he has been living in an apartment with four roommates, all students, and has his own 10 m2 room for a rent of 360 euros per month.

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“I'm very mobile because I don't have a stable situation at the moment,” explains the 25-year-old student.

Furnished rentals offer me this flexibility because I just have to pack and unpack my suitcases, which is more complicated if I have furniture to transport, if only for moving expenses. ”

Indeed, the short duration of leases, one year or even nine months for students, constitutes one of the main advantages of furnished rentals for tenants.

“The student can opt out during the two months of the summer vacation and he can also change accommodation from one year to the next,” recalls Pascal Galiana.

Tax advantages for rental owners

Although now residing in Asnières-sur-Seine (Hauts-de-Seine), Divine Ingabire has decided to return to invest in her childhood town, Champs-sur-Marne.

Since December, this management controller in a large group and her sister have owned a two-bedroom apartment of 67 m 2 with a terrace that she intends to rent in shared accommodation from next month.

"I seize the opportunities that there are here with the many students that I target and also the future station of the Grand Paris Express under construction", she indicates.

With a monthly rent set at 680 euros including charges, Divine hopes to amortize her loan of 260,000 euros in ten years.

"Depending on the sector, the type of property furnished and the furniture themselves, we can get 10 to 30% more on rents compared to empty housing," says Pascal Galiana.

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While waiting to welcome her first tenants, the owner is finalizing the arrangement of the furniture necessary for her accommodation to be considered furnished: a double bed, a wardrobe, a table and a chair in each room;

a sofa, a coffee table and a dining table in the living room and finally the kitchen, delivered on April 1st.

All for an envelope of 10,000 euros, the price to pay to benefit from the tax advantages offered by the status of non-professional furnished rental company.

Under the flat-rate scheme (or micro-BIC), the owner can benefit from a reduction of 50% on the receipts if the latter do not exceed 70,000 euros.

Divine Ingabire has opted for the real regime which allows her to deduct from her annual income all charges such as loan interest and depreciation, especially those for furniture.

Furnished rentals also have their detractors

The passage of students in distance learning led to an increase in the rental vacancy rate in Champs-sur-Marne, which explains the slight drop in rents (-2.1%) over the last twelve months (see table).

"Many have been able to disengage to return to live with their parents, but I am starting to have calls from students again," says Pascal Galiana.

Despite their success in some cities of Seine-et-Marne, furnished housing rentals also have their detractors, as explained by Sandra Beckrich, from the IM2B Immobilier agency in Lagny-sur-Marne: “More and more co-owners complain to their property manager that certain homes are rented furnished because this leads to regular changes of tenants and in some cases a non-compliance with the condominium regulations.

It cannot be ruled out that certain condominiums may vote in assembly the prohibition of renting furnished apartments.

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