Undervalued rent of a dwelling: increase on renewal of the lease

Verified 01 August 2026 - Public Service / (Prime Minister)

When the housing is used as primary residence by the tenant, and the rent is undervalued relative to market prices, the landlord can increase the rent at the time of renewal of the lease, under certain conditions. But the rules for doing so are different, depending on whether the municipality of the dwelling is located in tense area. We present you the information to know.

Warning  

Specific rules apply in the municipalities of Paris, of Bordeaux, of Lille, Hellemmes and Lomme, of Lyon and Villeurbanne, of Montpellier, and the constituent municipalities Is Together, Common plain, Basque Countryand part of the territory of Grenoble-Alpes metropolis.

A simulator allows you to know whether or not your municipality is in a tense area:

Know the municipalities where the rent control applies

Tense area

The conditions differ according to the date of renewal of the lease:

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Since 1 July 2024

When the lease concerns a dwelling classified F or G (class indicated on the DPE: titleContent), it is forbidden to increase the obviously undervalued rent.

Between 24 August 2022 and 30 June 2024

In metropolitan France, when the lease concerns a dwelling classified F or G (class indicated on DPE: titleContent), it is forbidden to increase the obviously undervalued rent.

FYI  

In Guadeloupe, Martinique, French Guiana, Reunion and Mayotte, the landlord freely sets the amount of the rent, regardless of the class of housing.

Before 24 August 2022

In metropolitan France, the landlord can increase the rent provided that the dwelling meets an energy performance criterion. The primary energy consumption of the dwelling must be less than 331 per m2 and per year. One energy performance diagnostics less than 4 years old must attest to this.

Estimate undervaluation

The undervaluation of rent is estimated by comparison with rents in the neighborhood for comparable housing.

These dwellings must be located in the same group of buildings or in another group of buildings with similar characteristics and located in the same geographical area.

If the municipality is part of an agglomeration of more than one million inhabitants, the owner must identify at least 6 rents.

If the municipality is in another geographical area, the owner must identify at least 3 rents.

References should cover not only recently concluded leases, but also leases concluded for more than 3 years.

Each reference shall contain the following information:

  • Name of street
  • Partial indication of the building number (by dozen),
  • Quality and time of construction of the building
  • Housing floor and possible presence of an elevator
  • Living area of the dwelling and number of its living rooms
  • Existence of possible annexes
  • Equipment condition, including presence of running water, indoor toilet, bathroom, heating
  • Period of construction of the building
  • Indication that the tenant has been in the premises for at least 3 years
  • Amount of monthly rent excluding charges actually required.

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General scenario

Some references (period of construction of a building, typology of housing...) can be obtained from the network of local rent observatories.

Department 75, 78, 91, 92, 93 or 94

Some references (period of construction of a building, typology of housing...) can be obtained from the network of local rent observatories or the rent observatory of the Paris metropolitan area (Olap).

Calculate the new rent

The proposed new rent is to be calculated on the basis of rents in the neighborhood for comparable housing.

However, the proposed increase shall not exceed the higher of the following 2 limits:

  • 50% the difference between the rent which corresponds to the rents charged in the neighborhood for comparable dwellings and the last rent applied to the tenant before the renewal of the lease (possibly revised if not done)
  • An annual rent increase equal to 15% the actual cost of Improvement works or upgrading since the last renewal of the lease if the amount of these works is at least equivalent to that of the last year of rent.

Example :

If the works amount to €4,000 TTC for a monthly rent of €300 (or €3,600 the monthly rent may be increased by €4,000 X 15%, or €600 / 12 = €50.

In the case of an empty dwelling, this increase being greater than 10% monthly rent (300 X 10% = €30), its application will be spread over 6 years.

The rent will be reassessed by 1/6 per year, an increase on the 1re year of €8.33 per month (600 X 1/ 6) / 12), the 2e year of €16.67 per month (600 X 2 / 6) / 12), then the following years, respectively €25 per month, €33.33 per month, €41.67 per month, €50 per month.

Offer the new rent to the tenant

To reassess the rent, the landlord must make the proposal to his tenant respecting certain conditions of form and time.

The owner must make this proposal at least 6 months before the end of the lease.

He must address his request to the tenant in one of the following ways:

  • Registered letter with acknowledgement of receipt request
  • Act of Commissioner of Justice (formerly act of judicial officer)
  • Hand delivery against receipt or sign-in.

Warning  

The period runs from the day of receipt of the letter recommended by the tenant, service of the act of commissioner of justice or delivery by hand to the tenant.

The proposed re-evaluation shall contain the following information:

Warning  

When the landlord proposes the renewal of the lease with a revalued rent, he is not entitled to give notice to the tenant for the term of the lease in progress. Because it would come back to force the hand the tenant who wants to stay in the accommodation.

The tenant can accept or refuse the proposal of the new rent.

FYI  

The absence of response from the tenant is considered as refusal.

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To accept the new rent

To accept the owner's proposal for an increase, the tenant must send him his written agreement no later than 4 months before the end of the lease.

To refuse the new rent

To refuse the proposed increase, the tenant must send a letter to the owner no later than 4 months before the end of the lease.

The tenant can use this document template:

Tenant: dispute the rent increase upon lease renewal

In case of refusal, the increase proposed by the owner cannot be applied to the renewal of the lease.

Reminder

The absence of response from the tenant is considered as refusal. The increase proposed by the owner cannot be applied to the renewal of the lease.

In case of disagreement, the tenant or owner has recourse.

The approach to be taken consists of 2 successive steps:

1. Referral to the Conciliation Commission

If the tenant refuses or does not respond at the latest 4 months before the end of the lease, the owner (or tenant) must seize the departmental conciliation commission (CDC) to try to reach an agreement on the amount of the rent. This is essential in order to be able to refer the case to the judge, if necessary.

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You own it

You are a tenant

Before the CDC, the tenant can challenge the proposed increase by referring to the rents charged in the neighborhood for comparable housing.

The CDC has 2 months to deliver its opinion.

In case of agreement on the rent increase, the rent can be increased upon renewal of the lease.

2. Bringing the matter before the judge

If the disagreement persists despite the intervention of the CDC, the owner or tenant may refer the matter to the protection litigation judge, provided that it is done before the end of the lease.

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The judge is seized before the end of the lease

The judge sets the amount of the new rent.

The judge was not seized before the end of the lease

It is no longer possible to refer the matter to the judge.

If the disagreement persists despite the intervention of the CDC and until the end of the lease, the lease is then renewed to the previous rental conditions (last rent, possibly revised according to the evolution of theIRL: titleContent, if the review has not taken place in the last 12 months).

The revaluation of the rent at the renewal of the lease is acquired either by agreement between the owner and the tenant, or by decision of the judge.

In the two cases, the rules for applying the rent increase depend on the type of rented accommodation:

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empty Accommodation

At the renewal of the lease, the new rent is not immediately applicable. The increase must be applied gradually, by 1/3 annual or by 1/6 annual depending on the duration of the new lease.

But if the increase is more than 10% and that the new lease term is less than 6 years, then the increase applies by 1/6 yearly during this lease, then by 1/6 yearly at the subsequent renewal.

Example :

For a lease is 3 years, the last monthly rent applied is €600 and the increase to be applied is €50 monthly:

  • This increase is less than 10% rent, because 600 x 10% = €60, then its application will be 1/3 per year
  • Monthly rent will be increased on 1re year of €16.67 per month (€50 x 1/3 = €16.67), then the 2e year of €33.33 per month (€50 x 2/3 = €33.33 ), and the 3e year of €50 per month.

Accommodation furnished

Warning  

It is forbidden to renew a mobility lease.

The rent increase applies to the renewed contract.

However, if the increase is greater than 10% of the initial rent, it applies by 1/3 annual to the renewed contract and at subsequent renewals.

Other area

The conditions differ according to the date of renewal of the lease:

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Since 1 July 2024

When the lease concerns a dwelling classified F or G (class indicated on the DPE: titleContent), it is forbidden to increase the obviously undervalued rent.

Between 24 August 2022 and 30 June 2024

In metropolitan France, when the lease concerns a dwelling classified F or G (class indicated on DPE: titleContent), it is forbidden to increase the obviously undervalued rent.

In Guadeloupe, Martinique, Guyana, Reunion and Mayotte, the landlord freely sets the amount of the rent, regardless of the class of housing.

Estimate the new rent

The proposed new rent is to be calculated on the basis of rents in the neighborhood for comparable housing.

These dwellings must be located either in the same group of buildings or in another group of buildings with similar characteristics and located in the same geographical area.

In municipalities that are part of an agglomeration of more than one million inhabitants, the owner must provide at least 6 rents.

In other geographical areas, the owner must provide at least 3 rents.

References should cover not only recently concluded leases, but also leases concluded for more than 3 years.

Each reference shall include the following:

  • Name of street
  • Partial indication of the number of the building (by dozen)
  • Quality and time of construction of the building
  • Housing floor and possible presence of an elevator
  • Living area of the dwelling and number of its living rooms
  • Existence of possible annexes
  • Equipment condition of the dwelling, including presence of running water, indoor toilet, bathroom, heating
  • Period of construction of the building
  • Indication of the occupancy of the premises for at least 3 years by the tenant
  • Amount of monthly rent excluding charges actually required.

Some references (period of construction of a building, typology of housing...) can be obtained from the network of local rent observatories.

Offer the new rent to the tenant

The landlord must make his proposal at least 6 months before the end of the lease.

He must address his proposal to the tenant in one of the following ways:

  • Registered letter with acknowledgement of receipt request
  • Act of Commissioner of Justice
  • Hand delivery to the tenant against receipt or deposit.

The period shall run from the day of receipt of the registered letter, service of the act of commissioner of justice or hand delivery.

The text of the proposal should contain the following information:

Warning  

When the landlord offers the tenant the renewal of the lease with a revalued rent, he is not entitled to give the tenant leave for the term of the lease in progress. Because it would be like force the hand from the tenant wanting to stay within the walls.

The tenant can accept or refuse the proposal of the new rent.

FYI  

The absence of response from the tenant is considered as refusal.

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To accept the new rent

To accept the owner's proposal for an increase, the tenant must send him his written agreement no later than 4 months before the end of the lease.

To refuse the new rent

The tenant may refuse the proposed increase. To do this, he must send a letter to his owner no later than 4 months before the term of the lease.

The tenant can use this mail template:

Tenant: dispute the rent increase upon lease renewal

In case of refusal, the increase proposed by the owner cannot be applied to the renewal of the lease.

Reminder

The absence of response from the tenant is considered as refusal. The increase proposed by the owner cannot be applied to the renewal of the lease.

In case of disagreement, the tenant or owner has recourse.

The approach to be taken consists of 2 successive steps:

1. Referral to the Conciliation Commission

If the tenant refuses or does not respond at the latest 4 months before the end of the lease, the owner (or tenant) must seize the departmental conciliation commission (CDC) to reach an agreement on the price.

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You own it

To enter the CDC, you can use this document template:

Owner: refer a request for rent revaluation to the departmental conciliation commission

Before the CDC, the tenant can challenge the proposed increase by referring to rents in the neighborhood for comparable housing.

You are a tenant

The CDC has 2 months to deliver its opinion.

2. Bringing the matter before the judge

If the disagreement persists despite the intervention of the CDC, the protection litigation judge the court on which the dwelling depends must be seised. We have to do it first the term of the lease.

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The judge is seized before the expiry of the lease

The judge sets the amount of the new rent.

The judge was not seized before the end of the lease

It is no longer possible to refer the matter to the judge.

If the disagreement persists despite the intervention of the CDC and until the term of the lease, the lease is then renewed to the previous rental conditions (the amount of which is possibly revised).

The revaluation of the rent at the renewal of the lease is acquired either by agreement between the owner and the tenant, or by decision of the judge.

In the two cases, the rules for applying the rent increase depend on the type of rented accommodation:

Répondez aux questions successives et les réponses s’afficheront automatiquement

empty Accommodation

At the renewal of the lease, the new rent is not immediately applicable. The increase must be applied gradually, by 1/3 annual or by 1/6 annual depending on the duration of the new lease.

But if the increase is more than 10% and that the new lease term is less than 6 years, then the increase applies by 1/6 yearly during this lease, then by 1/6 yearly at the subsequent renewal.

Example :

For a lease is 3 years, the last monthly rent applied is €600 and the increase to be applied is €50 monthly:

  • This increase is less than 10% rent, because 600 x 10% = €60, then its application will be 1/3 per year
  • Monthly rent will be increased on 1re year of €16.67 per month (€50 x 1/3 = €16.67), then the 2e year of €33.33 per month (€50 x 2/3 = €33.33 ), and the 3e year of €50 per month.

Accommodation furnished

Warning  

It is forbidden to renew a mobility lease.

The rent increase applies to the renewed contract.

However, if the increase is greater than 10% of the initial rent, it applies by 1/3 annual to the renewed contract and at subsequent renewals.

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