Discover the financial aid available to renovate your second home
Financial aid is not reserved exclusively for primary residences but is also available to finance work on your second home.
CEE premiums
According to ADEME (the French agency for ecological transition), energy suppliers can offer incentives to help you finance your renovation work and thus make energy savings.
They concern:
- Replacing a boiler with a more energy-efficient heating appliance
- Installation of a solar water heater or a thermodynamic tank
- Insulation of walls and attics
- Replacing single glazing with double glazing
You have access to: exemption from property tax, VAT at 5.5%, CEE premiums and local aid
VAT :reduced rate
It is possible to benefit from a reduction in VAT for certain works. This is reduced from 20% to 10% or 5.5%.
When can I benefit from a 10% VAT rate?
The VAT rate can be reduced by half for certain works. These works concern renovations and installation but also the supply of certain equipment.
This reduced rate may, for example, cover :
– the supply of labour
– the purchase of raw materials and supplies
– kitchen, bathroom or storage equipment that is incorporated into the building and can be removed without damage
– certain heating equipment
– the openings or closures of the dwelling: doors, windows etc.
The 5.5% VAT rate
This reduction in VAT applies only to energy renovation work. Insulation and equipment that produces energy from renewable sources are eligible. However, it does not apply if you buy your equipment (e.g. a new stove) and/or install it yourself.
Examples of operations subject to 5.5% VAT:
– the installation of an air-water heat pump
– the installation of a biomass boiler
– the installation of a very high energy performance boiler
– insulation of attics
– wall insulation
The full list is available on the French tax website.
For information: To benefit from this reduced VAT rate, your holiday home must have been built more than two years ago.
Exemption from property tax
This aid is only granted for energy improvement work on housing built before 1 January 1989. It is temporary and can represent 50% or 100% of the total amount of the property tax, depending on the local authority. The exemption lasts for 3 years, provided that the energy saving work undertaken is over €10,000 excluding labour. It is up to each municipality to decide whether or not to offer it. It is therefore advisable to contact your local council directly for information.
Local grants
Here are the types of grants you can apply for:
- Regional aid: apply to your regional council
- Departmental aid: apply to your departmental council
- Municipal grants: apply to your local council
There are hundreds of grants available in the country. Their eligibility conditions and amounts differ depending on your locality.
In summary:
- You have access to: exemption from property tax, VAT at 5.5%, CEE premiums and local aid
- There are various eligibility criteria for these grants but only one criterion is common to all of them: the use of a certified company for your work
- Thanks to their network of partners, our Property Managers can help you set up your renovation project