Eighteenth-century facades on Bordeaux's Place de la Bourse, for the taxes a foreign owner pays in France

France property tax for foreigners: on the way in, every year, on the rent, on the way out.

France property tax. Buy, hold, rent, sell. Brinkman Data brand card.

// Short answer

A non-resident owner in France meets tax at four points. On purchase: transfer duty of about 5.81% to 6.32% on a resale. Every year: taxe foncière, taxe d'habitation on a second home, and IFI above EUR 1.3 million. On rent: a minimum 20% income tax plus social charges. On sale: 19% on the gain plus social charges.

Rules and rates as of September 2026. Transfer duty is set by each department and letting rules are changing, so check the dated items again before you sign. Every figure links to its source.

What taxes do you pay when buying property in France?

On a resale, transfer duty made of a departmental rate (up to 5.00% for deeds from 1 April 2025 to 31 March 2028), a 1.20% communal tax and collection costs, for a global maximum of 6.32%. Plus a 0.10% security contribution. A new build carries 20% VAT and about 0.7% transfer tax.

Detail by department: France property buying costs.

What are the annual property taxes in France?

Taxe foncière, payable by whoever owns the property on 1 January, even if it is let, on half the cadastral rental value at locally voted rates. Taxe d'habitation, abolished for main residences, still applies to furnished second homes, owed by whoever has use of the home on 1 January.

In zones tendues, urban areas over 50,000 inhabitants with a marked housing shortage, the commune may vote a surcharge on second homes of up to 60%. DGFiP data are reported to show an average voted surcharge of 41.8% for 2026. The waste-collection tax is usually billed with taxe foncière.

Do non-residents pay IFI wealth tax in France?

Yes, if their net taxable French real estate exceeds EUR 1.3 million on 1 January. It covers French property only, including property held through companies to the extent of its value. Once over the threshold, the 2026 scale applies from EUR 800,000, at 0.50% rising to 1.50% above EUR 10 million.

Net taxable French real estate (2026)IFI rate
Up to EUR 800,0000%
EUR 800,000 to 1.3 million0.50%
EUR 1.3 million to 2.57 million0.70%
EUR 2.57 million to 5 million1.00%
EUR 5 million to 10 million1.25%
Above EUR 10 million1.50%

Changes to IFI for 2027 were debated in the 2026 budget. No outcome was confirmed as of September 2026, so check again before 1 January 2027.

How is rental income taxed for a non-resident in France?

At the progressive scale, with a minimum rate of 20% on French-source income up to EUR 29,579 and 30% above (2025 income). You can elect the average-rate method if lower. Social charges come on top: 17.2% on unfurnished rent, or 7.5% if covered by EEA, Swiss or UK social security, as reported.

What is capital gains tax on French property for non-residents?

19% income tax on the net gain, plus social charges of 17.2%, or 7.5% for sellers resident in the EEA, Switzerland or the UK and affiliated to social security there. The notaire collects the tax at completion. Taper relief ends income tax after 22 years and social charges after 30.

Real estate gains stayed at 17.2% social charges after the 2026 social security budget. A surtax of 2% to 6% applies where the net taxable gain exceeds EUR 50,000. Step by step: selling property in France.

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Frequently Asked Questions

Do foreigners pay more property tax in France?
No separate foreigner rate appears in the sources. Non-residents face a minimum 20% income tax rate on French rent, and pay second-home taxe d'habitation if the home is not a main residence.
What is taxe foncière?
The annual property tax, owed by the owner on 1 January, on half the cadastral rental value at locally voted rates.
Do I pay taxe d'habitation on a French holiday home?
Yes. It still applies to furnished second homes, with a possible surcharge of up to 60% in zones tendues.
Why are my French social charges 7.5% and not 17.2%?
Non-residents affiliated to EEA, Swiss or UK social security pay the 7.5% solidarity levy instead of 17.2%.
When does IFI apply to a non-resident?
When net taxable French real estate exceeds EUR 1.3 million on 1 January.

Header photo: P. Hughes, CC BY 4.0, via Wikimedia Commons. All credits: image credits.

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Disclaimer

Brinkman Data Analytics is an independent research service. Not financial, investment, tax, or legal advice. All yield figures are estimates based on historical research data and are not guaranteed. International real estate carries risk of partial or total loss of capital.