The specifics of buying rental property in Paris in 2025

Investing in rental property in Paris remains a safe bet in 2025. The French capital, with its strong economic and cultural appeal, attracts thousands of new residents every year. Students, young professionals and expatriates flock here, creating a constant demand for rental accommodation.

However, a successful rental investment in Paris requires a sound strategy. Property prices here are among the highest in Europe(€9,299/m2 on average in 2024), but rental yields remain attractive if you choose the right property and location. This blog will guide you in maximizing your return on investment while avoiding common mistakes.

Preferred property types: studio to T2 apartments in in-demand neighborhoods

Preferred property types: studio and one-bedroom apartments, or family homes in high-demand neighborhoods

In Paris, two types of housing are particularly attractive for rental investment: studios and T2 on the one hand, and family housing on the other. The choice of property depends above all on your budget, the type of tenants you wish to attract and the strategy you wish to follow for your project.

Studios and T2s: a versatile, cost-effective choice

Studios and T2 apartments are highly sought-after in Paris, particularly by two types of tenant. Students, attracted by the many universities and grandes écoles, are looking for small, often furnished, apartments located close to campus or with good public transport links. Young professionals, on the other hand, prefer T2 apartments for their space and comfort, particularly in dynamic districts close to business hubs such as La Défense, the 8ᵉ and 9ᵉ arrondissements, or major railway stations.

These types of property offer many advantages for investors: their purchase price is often more affordable, they attract strong rental demand, and the rapid turnover of tenants guarantees regular occupancy, making the investment particularly profitable.

Family housing: long-term stability 

For investors looking for a stable long-term rental, units with three rooms or more are an excellent choice. Families prefer spacious properties in residential neighborhoods close to schools, parks and local shops, such as the 15ᵉ and 16ᵉ arrondissement. Although their purchase price is higher, these homes generally ensure long-term occupancy and steady rental income.

Analysis of neighborhoods and arrondissements with high rental potential in Paris

Choosing the right neighborhood is essential for a successful rental investment. In Paris, certain areas are particularly well suited to the type of tenant you're targeting, whether students, young professionals or families. Here's a selection of neighborhoods that stand out for their potential.

1. The 10ᵉ and 11ᵉ arrondissement: ideal for studios and T2s 

The 10ᵉ and 11ᵉ arrondissements, lively central districts, attract a young population, especially students and young professionals. Thanks to their many bars, restaurants and boutiques, these areas offer a dynamic and pleasant living environment. What's more, their prices remain affordable(€9,106/m² on average in the 10ᵉ and €9,678/m² on average in the 11ᵉ), compared with the more upscale arrondissements, making them an excellent choice for investing in studios or T2s in high demand.

2. The 13ᵉ arrondissement: a popular choice for students and young professionals 

With its universities, grandes écoles and new student residences, the 13ᵉ arrondissement is becoming a top choice for students and young professionals. The presence of metro line 14, the modern district around the Bibliothèque François-Mitterrand with its many new buildings, as well as affordable Asian restaurants and grocery stores near Place d'Italie and the Asian Quarter, make it a particularly attractive area for furnished studios and T2s, which rent out very quickly.

3. Neighborhoods close to the inner suburbs: a competitive alternative

Areas such as Montreuil, Bagnolet and Ivry-sur-Seine, on the immediate outskirts of Paris, are attracting more and more investors. Well connected by metro, these neighborhoods offer more affordable prices while remaining close to the amenities of inner Paris. They are ideally suited to compact housing for students or young workers.

4. The 19ᵉ and 20ᵉ arrondissement: booming 

The 19ᵉ and 20ᵉ arrondissements are increasingly attractive thanks to their friendly atmosphere and diversity. Butte Chaumont and the area around the Canal de l'Ourcq have become very popular, with many trendy restaurants, bars and boutiques. These dynamic areas are ideal for investing in studio and one-bedroom apartments, which are in high demand. For families, neighborhoods such as La Campagne in Paris or the Mouzaïa district offer a calm and pleasant setting, with beautiful houses full of charm. These rapidly evolving districts represent an excellent opportunity for all types of rental investment.

5. The 15ᵉ and 16ᵉ arrondissement: perfect for families and expatriates 

The 15ᵉ arrondissement is very popular with families for its friendly atmosphere and pleasant living environment. It offers beautiful green spaces, such as Parc Georges Brassens and Parc André Citroën, which add to its charm. Rents are also more affordable than in other parts of Paris. For example, a furnished two-bedroom apartment (T3/3 rooms) in the 15th arrondissement costs an average of €38.87 per m², while a three-bedroom apartment (T4/4 rooms) costs €39.30 per m².

The 16ᵉ arrondissement, known for its prestige, attracts an international clientele, including diplomats and expatriates. This district is distinguished by its large, elegant Haussmann-style apartments and upscale residential living. It is also close to magnificent green spaces such as the Bois de Boulogne and the Jardin du Ranelagh, enhancing its appeal to families. With over 70 embassies and numerous international and private schools, the 16ᵉ offers an exclusive environment, ideal for those seeking calm and comfort. 

Whether you prefer the friendly, accessible atmosphere of 15ᵉ or the elegance of 16ᵉ, these two arrondissements are perfect for family living in Paris.

Tax benefits and assistance for rental investment in Paris

Rental investment in Paris can be optimized thanks to various tax incentives. Here are the main advantages for investors:

1. The Pinel scheme

The Pinel scheme allows you to benefit from a tax reduction if you invest in a new or renovated property in eligible areas. To qualify, you must rent the property at a capped rate (maximum €18.25 per m² in Paris), unfurnished, and intended as the tenant's principal residence.

The tax reduction depends on the length of the rental period:

  • 6-year lease reduction of 10,5 % of the investment.
  • 9-year lease reduction of 15 % of the investment.
  • 12-year lease reduction of 17,5 % of the investment.

These options allow you to tailor your rental commitment to your fiscal and financial needs.

However, investing in Pinel in Paris also presents challenges. The city of Paris has mostly older housing, and new properties are rare. The projects

France Ermitage's support for optimized rental acquisition

Investing in Paris may seem complicated, but with France Ermitageeverything becomes simpler. Their experts, specialized in the Paris real estate market, are with you every step of the way: from finding the ideal property, to tax advice on how to reduce your tax bill, to complete rental management, including tenant search and maintenance.

Buying to rent in Paris in 2025 is an opportunity full of potential. By choosing the right property in the right neighborhood and taking advantage of tax incentives, you can secure a regular rental income and increase the value of your assets.

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