Lease Back

The French government has introduced "Residence de Tourisme", or "Leaseback" plans in 1976 to increase the quantity of holiday accommodations available in popular regions in order to provide accommodation for more tourists and to increase the tourist revenues for France.


The leaseback scheme in France enables people to buy an investment property in France and to finance most of the mortgage costs with a guaranteed rental income. You sign a rental agreement with a property management company for a minimum period of 9 years. In return you receive a guaranteed rental income between 3% and 6% of your initial investment for at least 9 years. The lease contract with the management company is renewable after the 9 years period. You can also take advantage of your own residence for a couple of weeks to enjoy your holidays. This unique plan enables anyone to buy his dream holiday home or overseas investment property.


Buying a leaseback product offers two major advantages. First, the French government gives back the VAT which is paid on the new development; it currently amounts to 19.6% of the price. But, if the selling price was 100,000 euro then the price on which the VAT was calculated is 83,600 euro. You will get back 16,400 euro which is 16.4% of the price you paid. In other words you get back about one sixth of the total VAT inclusive price. In most cases you receive the VAT back from the government within 4 to 6 months of the purchase of the property. In some cases the purchase price is quoted with the tax already recovered by the contractor. An option is to profit this cash money refund to invest into financial products that will give you the opportunity to develop your capital with a minimum risk. The second benefit is that you profit from a non taxable income. Your investment will be fully transparent regarding you tax bill.


Most of these properties include pools, workout rooms, reception, breakfast, linen, and housekeeping services. The property is purchased furnished and fitted with kitchen and bathroom. Your property is fully managed and serviced by a property company who leases from you; you have no further costs or charges for the period of the leaseback. At the end of the lease period, the property will be returned to the owner in perfect condition. You will be able, at that time, to renew your contract with the property management company.


Invest Immo Conseil gives assistance and advice dealing with all leaseback and investment plans on offer. Specialist in the leaseback scheme, we offer more than twenty different programs allowing our customers to choose between famous and selected locations as between a large range of prices. Please take a tour on our program section to select the most appropriate to your expectations.


We recommend you to contact one of our consultants by emailing us at contact@invest-immo-conseil.com to get dedicated advice and answers to the multiple questions you might have before making your choice.