Energy Inefficient Rentals Now Banned in France: Expat Guide

Since January 1, 2023, the French rental market has been undergoing an unprecedented green revolution that is shaking up the habits of both landlords and tenants. Faced with the climate emergency and the cost-of-living crisis linked to rising energy prices, the government has declared war on passoires thermiques (energy-inefficient homes, literally "thermal sieves")—properties classified as F or G on the Diagnostic de Performance Énergétique (DPE / Energy Performance Certificate). Whether you are a landlord concerned about the compliance of your property portfolio or a tenant wishing to assert your rights to decent housing, this comprehensive guide written by AvocatAI gives you all the legal and practical keys to navigate this new regulation.

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The Legal Framework: What is a "Passoire Thermique" According to the Law?

The fight against energy-inefficient housing is part of a precise legislative framework, primarily stemming from Law No. 2021-1104 of August 22, 2021, on combating climate change and strengthening resilience to its effects, known as the loi Climat et Résilience ("Climate and Resilience" Law).

This law modified the very definition of "decent housing" under French law. Article 6 of Law No. 89-462 of July 6, 1989, which aims to improve rental relations, now stipulates that the landlord is obliged to provide the tenant with decent housing that does not present manifest risks to physical safety or health, and meets a minimum energy performance criterion.

The Diagnostic de Performance Énergétique (DPE): The Unique Measurement Tool

To determine whether a property is a passoire thermique, the law relies exclusively on the Diagnostic de Performance Énergétique (DPE / Energy Performance Certificate). Reformed on July 1, 2021, the DPE has become fully opposable (legally enforceable, meaning it no longer has merely informative value). It classifies housing from A (the most energy-efficient) to G (the most energy-consuming) based on primary energy consumption and greenhouse gas emissions.

The Progressive Timeline of the Rental Ban

The ban on renting out energy-inefficient homes does not apply all at once, but according to a progressive schedule designed to give landlords time to carry out energy renovation works.

• Since January 1, 2023: Properties with a final energy consumption exceeding the threshold of 450 kWh/m²/year (sometimes referred to as "G+" or "super-G") are banned from being rented. This threshold is set by Decree No. 2021-19 of January 11, 2021.
• As of January 1, 2025: The ban extends to all properties classified as G (primary energy consumption greater than or equal to 420 kWh/m²/year).
• As of January 1, 2028: The ban applies to properties classified as F (consumption between 330 and 420 kWh/m²/year).
• As of January 1, 2034: The ban will affect properties classified as E (consumption between 250 and 330 kWh/m²/year).

Important Note: These bans apply upon the signature of a new lease agreement, a lease renewal, or a tacite reconduction (tacit/automatic lease renewal). They concern properties rented unfurnished or furnished as a primary residence.

The Rent Freeze on Energy-Inefficient Housing

In addition to the rental ban, the Climate and Resilience Law introduced an immediate financial penalty. Since August 24, 2022, it has been strictly forbidden to increase the rent of properties classified as F or G, whether during lease renewal, re-letting, or as part of the annual rent review based on the Indice de Référence des Loyers (IRL / Rent Reference Index).

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Step-by-Step Practical Steps to Achieve Compliance

If you are the owner of a potentially energy-inefficient property, or if you are a tenant of a property that seems to consume excessive energy, here is the step-by-step procedure to follow.

Step 1: Verify the Validity and Rating of the Current DPE

The first step is to consult the property's DPE.

• If the DPE was carried out before July 1, 2021: Its validity period has been reduced by law. DPEs carried out between January 1, 2013, and December 31, 2017, are no longer valid since January 1, 2023. Those carried out between January 1, 2018, and June 30, 2021, will definitively expire on December 31, 2024.
• If you do not have a recent DPE: Call upon a certified diagnostician (a directory is available on the official website of the Ministry of Ecological Transition). The average cost of a DPE ranges between 100 € and 250 €.

Step 2: Carry Out an Energy Audit (Recommended)

For passoires thermiques (F and G), a simple DPE is not always enough to plan works effectively. A more comprehensive audit énergétique (energy audit) allows for the modeling of different renovation scenarios, estimating their precise cost, and evaluating the performance gain.

Step 3: Plan and Budget the Renovation Works

To escape the passoire thermique status, several types of work are generally required:

• Thermal insulation (roof spaces, walls from the inside or outside, low floors).
• Replacing the heating system (installing a heat pump, connecting to an urban heating network, biomass boiler).
• Replacing windows and doors (double or triple glazing).
• Installing a ventilation mécanique contrôlée (VMC / mechanical ventilation system) double flow to prevent humidity.

Step 4: Mobilize State Financial Aid

Energy renovation represents a significant cost, but the State offers several cumulative financial schemes to lighten the bill:

• MaPrimeRénov': Aid from the Anah (Agence nationale de l'habitat / National Housing Agency) where the amount depends on household income and the ecological gain of the works.
• Certificats d'économie d'énergie (CEE): Energy savings certificates/premiums paid by energy suppliers.
• Éco-prêt à taux zéro (Éco-PTZ): Allows you to finance works up to 50,000 € interest-free.
• Déficit foncier: For landlords under the régime réel (actual tax regime), renovation expenses can be deducted from property income up to 10,700 € per year (a threshold temporarily doubled to 21,400 € under conditions of escaping passoire thermique status).

Step 5: Have the Works Carried Out by RGE Professionals

To benefit from public financial aid and guarantee the compliance of the works, you must hire artisans certified as RGE (Reconnu Garant de l'Environnement / Recognized Guarantor of the Environment).

Step 6: Carry Out a Post-Renovation DPE

Once the works are completed, have a new DPE carried out to certify the property's new energy class (which must be at least E before 2025, then D before 2028) to legally rent it out or review its rent.

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Concrete and Quantified Examples

To better understand the financial and legal impact of these measures, let us analyze two concrete situations.

Example 1: The Case of Marie, Owner of a G-Rated Studio in Paris

Marie owns a 25 m² studio in Paris, rented for 900 € per month including charges. The DPE carried out in 2023 classifies the property as G with a final energy consumption of 490 kWh/m²/year.

• The legal situation: As the property consumes more than 450 kWh/m²/year, it has been considered non-decent since January 1, 2023. Marie's current tenant, whose lease was renewed by tacite reconduction in September 2023, is entitled to demand works. Furthermore, Marie can no longer apply the annual rent review based on the IRL.
• The renovation project: The audit recommends internal wall insulation (isolation thermique par l'intérieur - ITI) and replacing old electric heaters with high-performance inertia heaters, for a total cost of 8,500 €.
• The financing: Marie obtains 2,500 € in aid (MaPrimeRénov' Copropriété and CEE). The remaining out-of-pocket cost is 6,000 €. She finances this amount with an Éco-PTZ.
• The result: After the works, the new DPE classifies the studio as D. The property is once again perfectly compliant, and Marie will be able to review the rent again at the next annual anniversary.

Example 2: The Case of Jean, Tenant of an F-Rated Apartment in Lyon

Jean rents a 70 m² apartment in Lyon for a rent of 1,100 € per month. The DPE attached to his lease signed in November 2022 indicates an F rating.

• The current legal situation: Jean's apartment is not yet banned from being rented (the ban on F-rated properties only takes effect in 2028). However, his landlord attempted to increase the rent by 3.5% in November 2023 under the IRL.
• Jean's action: Jean contested this increase by reminding his landlord of the article in the Climate and Resilience Law freezing the rents of F and G-rated passoires thermiques. The rent increase of 38.50 € per month was cancelled. Jean thus saves 462 € over the year. In 2028, if the landlord has not carried out works, Jean will be able to demand the global compliance of the property.

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Mistakes to Avoid

• Ignoring the validity date of your old DPE: Using a "blank" DPE or a DPE carried out before 2018 to sign a new lease after 2023 exposes the landlord to a cancellation of the lease or a request for a rent reduction from the tenant.
• Carrying out the works yourself to save money: If you carry out the energy renovation works yourself, you will lose the benefit of all State aid (which requires an RGE-certified professional) and you will have no garantie décennale (ten-year builder's warranty) in the event of poor workmanship.
• Waiting until the deadline to plan the works: The order books of RGE artisans are often saturated. Waiting until December 2024 to renovate a G-rated property risks leading to a period of forced rental vacancy starting in January 2025.
• Negotiating a verbal agreement for a rent reduction "in exchange" for no works: Such an agreement is legally void. The decent character of a property is a matter of ordre public (public policy/mandatory law); a tenant cannot validly waive their right to live in decent housing, either in writing or verbally.

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FAQ (Frequently Asked Questions)

Can my current tenant evict me or stop paying their rent if my property is rated G?

No. Under no circumstances can a tenant unilaterally stop paying their rent (which would constitute a serious breach that could lead to the termination of the lease). They must follow the legal procedure: send a formal notice (mise en demeure) to the landlord to carry out the works, then refer the matter to the Commission Départementale de Conciliation (CDC / Departmental Conciliation Commission) or the Tribunal judiciaire (Judicial Court). Only a judge can authorize the escrow of rents (consignation des loyers) or decide on a rent reduction.

Are tourist rentals (such as Airbnb) affected by these bans?

Currently, the Climate and Resilience Law primarily targets residential leases governed by the 1989 Law (primary residences). However, several bills aim to align the regulations of tourist rentals with those of long-term rentals to prevent passoires thermiques from flooding seasonal rental platforms. Several municipalities already apply local restrictions, and the obligation of energy decency for tourist rentals is currently being generalized through legislation.

Are there any exemptions to the obligation to carry out works?

Yes, the law provides for three main exceptions where a judge cannot order the execution of works:

1. If the energy renovation works result in changes to the exterior appearance of the building that are refused by the Architecte des Bâtiments de France (the French official heritage architect for historical monuments or protected areas).

2. If the works affect the structure of the building and jeopardize its solidity.

3. If the cost of the works is manifestly disproportionate to the market value of the property (a criterion strictly framed by the courts).

What happens if the co-ownership association (copropriété) refuses to vote for insulation works?

This is a frequent and complex case. If a landlord demonstrates that they proposed a vote on insulation works for the common areas at the assemblée générale de copropriété (general meeting of the co-ownership), but the latter rejected the resolution, their liability may be mitigated. Nevertheless, the landlord remains obliged to carry out all possible works within their private areas (changing windows, interior insulation, radiators).

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Summary

• The rental ban timeline is progressive: banning properties consuming more than 450 kWh/m²/year (2023), G-rated properties (2025), F-rated properties (2028), and E-rated properties (2034).
• The rent freeze has already been in force since August 24, 2022, for all F or G-rated passoires thermiques.
• The Diagnostic de Performance Énergétique (DPE) is now fully legally enforceable, and its validity period has been reduced for older diagnostics.
• Significant judicial sanctions await non-compliant landlords: suspension or reduction of rent, court-ordered obligation to carry out works under penalty (astreinte), and payment of damages to the tenant.
• Massive financial aid (MaPrimeRénov', CEE, Éco-PTZ, doubled déficit foncier) exists to support landlords who undertake works with certified RGE artisans.

Legal information for guidance only, not personalised legal advice. For your specific situation, ask your question free of charge on AvocatAI — answers based on French law, in your language.