Lower the cost of your buy-to-rent investment with a Prêt Locatif Social

• You benefit from the lower VAT rate of 5.5% applying to the construction of new rental property, rather than the normal rate of 19.6%. The purchase price of your property is therefore lower.
  
• You are exempt from property tax for up to 25 years.
  
• You can finance up to 100% of your investment (50% minimum).
  
• You get a special long-term interest rate (over 15 to 30 years). This rate shadows the Livret A rate.
  

"Rental investments funded using a PLS may also qualify for the tax breaks offered under the Borloo legislation, which makes them ideal for maximizing the tax benefits of your investment!”, explains Karine Gaillard.

So you can combine the tax benefits offered by a PLS with those of the Borloo scheme. Why wait?

• The tax advantages of buying new properties using a PLS can significantly reduce the purchase price, at a time when property prices just keep on rising.
  
• The rental payments give you a regular income: extra cash that may come in very handy when you retire!
  
• You’re making a safe and profitable long-term investment.
  

The Prêt Locatif Social is granted by selected banks, subject to the following conditions:

• A PLS may be taken out by a physical person (private individual) or legal entity (e.g. a Société Civile Immobilière or Property Management Company).
  
• Your property must be rented to a household whose income falls below the applicable maximum level.
  
• You must charge a capped rent.
  
• You must agree to comply with these conditions by signing an agreement with the government covering the period of the loan (at least 15 years).
  

Bouygues Immobilier Sales Manager Karine Gaillard stresses one of the benefits of this type of investment: “Tenants in homes funded using a PLS are entitled to the Allocation Personnalisée au Logement (APL). This form of financial support is paid direct to the property owner: it’s a considerable help!”