Why invest in a new apartment in Bordeaux? | Bordeaux Metropolis

An outstanding cultural heritage, student life, business, communications, an ever-growing housing stock… Bordeaux is also and above all a city that has never stopped modernizing at the city level, with the arrival of many new residents every year.

Bordeaux, invested in new property development, is the preferred location for those looking to invest in rentals. Some devices also allow, in addition to being able to increase their assets, to reduce taxation, such as Pinel’s law. Discover all the benefits of investing in a new apartment in Bordeaux in this article.

Reduced notary fees

This is one of the first advantages of new real estate. While on the old property market transfer fees can be as high as 8%, on new properties they are divided by 4 and range from 2 to 3%: a saving of several thousand euros on the total purchase price.

Indeed, when you invest in new flat or in VEFA, the price is indicated in TTC (including VAT) and is limited to land registration tax and notary fees.

Key tax incentives

To encourage taxpayers to invest in new real estate, the government has introduced tax exemption schemes. These laws allow individuals through rental investments to reduce taxation, as is the case with the Pinel law or the Sensi Bouvard system.

The Pinel law allows tax relief of up to 63,000 euros for 12 years. As part of an investment in Pinel, the tax relief rates vary depending on the duration of the chosen lease obligation:

  • 12% for 6 years of rent;
  • 18% for 9 years;
  • and 21% for 12 years.

Please note that these reduction factors will be reduced from 1uh January 2023 In order to continue to enjoy the maximum rates, several requirements must apply to investable property:

  • Apartments with building permit up to 1uh January 2022.
  • Apartments that comply with the RE2020 environmental standards.
  • The apartments meet certain standards in terms of use, in terms of orientation and area.

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Possibility to create a quality legacy

In addition to the tax breaks and regular annuities that a rental investment can offer, the benefit is the ability to build a legacy of real estate. Investing in new apartment in Bordeauxyou provide your descendants with a quality legacy.

According to the Pinel law, the investor can dispose of his property at his own discretion at the end of the chosen lease term (6, 9 or 12 years). It then has several options available to it:

  • live in the property as the main place of residence;
  • resell real estate and receive capital gains;
  • rent a property, no longer dependent on Pinel ceilings;
  • use the property as secondary housing;
  • bequeath property to their descendants.

Cost savings thanks to building standards

As mentioned earlier, the new apartments are designed to strict standards in terms of environmental regulations (RT2012, RE2020). These requirements take into account the quality of heat and sound insulation, energy consumption and production…

Several labels are also setting building standards to shape “more sustainable” real estate programs. In addition to being more environmentally friendly, these products have the advantage of being much less energy intensive. For the tenant, as well as for the investor, the costs are divided into 2…

State assistance for the acquisition of the main place of residence

When buying a primary home, several government benefits can allow first-time buyers to receive financial support… as long as the property is new.

Among the devices we are thinking about:

  • Zero Interest Loan (PTZ) that can finance up to 40% of the acquisition of real estate in new conditions, subject to the availability of resources.
  • 0% loan from Bordeaux Métropole that can finance a house or new apartment in Bordeaux up to 10,000, 15,000 or 20,000 euros depending on the number of people in the family.
  • The first housing passport, still intended for new buyers who plan to buy their main residence in Bordeaux, if the value of the relevant property is limited to between 3,000 and 6,000 euros per m² (depending on the number of people in the family).
  • Controlled Price Attachment, which was created to facilitate the acquisition of home ownership by households with modest or moderate incomes in new real estate. A little new apartments in Bordeaux thus, can be offered at prices per m² lower than on the traditional market (20-30% discount).
  • Reduced VAT in the ANRU zone: Some new homes can benefit from a VAT reduction (5.5% instead of the usual 20%). This assistance, designed for new buyers, can save buyers several thousand euros on the total purchase amount. However, the property must be located in an area known as “ANRU” (National Urban Improvement Agency).