Rents are to be frozen

OWNERS will be unable to raise rents on properties each time a new tenant moves in as the government is introducing a decree to restrict rises to index-linked increases.

Housing Minister Cécile Duflot revealed the freeze and a tight timetable for the measure to be in force for the September rentrée. The decree links new tenancies to a measure already in force for a Rental Reference Index which limits the amount that rents can be raised during a tenancy.

Property firms have attacked the move saying it will stop maintenance spending; however, the decree specifies that if the owner has carried out work the rent can rise by 15% of the cost.