Running costs
When buying a Paris apartment, it's important to budget for the various running costs that come with owning a property. These include:
Property taxes: As a property owner in Paris, you'll be required to pay annual property taxes consisting of two main components: the taxe foncière and the taxe d'habitation. Despite the increase in 2023, they are considerably lower than in many other countries. The taxe foncière is a calculated based on the theoretical rental value of the property and local municipal charges, not market value. This tax is collected annually and is due in October.
If you are the owner on January 1st, you are liable for the taxe foncière for the entire year, even if you sell the property during the year.
The taxe d'habitation, due in November, is also based mainly on the rental value of the property - therefore size and location. It's payable by the person occupying the property – the owner or tenant with a lease of 1 year or more. As of 2023, this tax only applies to secondary residences.
Common area charges : If the property is part of a co-owned building which applies to almost every Parisian apartment, you'll be required to pay co-ownership or common area charges for building maintenance and repairs, insurance, administration, water and heat if applicable in your building. These charges typically range from 1,500 to 4,000 euros per year. They can vary widely depending on the number of units in the building, the size of the apartment and building and amenities such as caretaker or elevator.
Homeowner's Insurance: It's important to insure your Paris apartment against damage and theft. The cost can vary depending on the level of contents coverage, typically 30 to 100 euros per month.
Utilities: As a property owner, you'll be responsible for paying utilities such as electricity, gas, water, and internet/TV. The cost of these utilities depend on the energy efficiency of your apart and usage, typically 100 to 200 euros per month.
Maintenance and repairs: It's essential to budget for maintenance and repairs, which can range from minor repairs to major renovations. The exact cost will depend on the apartment's age and condition, among other factors.
Property management: If you live outside of Paris or don't have the time to manage the property yourself, you may want to hire a property management company to handle day- to-day tasks such as maintenance, key holding, cleaning, attendance and voting at annual co-owner's meetings and if applicable check in/out, tenant communication, and rent collection. The cost of property management services can vary depending on the specific services provided and the size of the property.
| TOP TIP – It's standard in France to pay bills on a monthly basis using direct debit. Do this immediately and then ensure your French bank account remains funded to cover your monthly charges. This is set up either automatically upon inscription (utilities and internet) or upon request (co-ownership charges, taxes). You will need to provide a “RIB” from your French bank account and sign a form to put the direct debit in place. |
Not sure how to manage if you don't speak French? Don't worry, we have excellent English speaking property administrators who can help you. Contact us for more information.
| Property tax (paid by the owner of the apartment) | 1 777 € |
| Residency tax (paid by the person who occupies the apartment – only due for 2nd homes, not primary) | 3 839 € |
| Electricity bill | 1 114 € |
| Common area charges | 2 829 € |
| Homeowner's insurance | 614 € |
| French bank account and gold debit card fee | 330 € |
| Wealth tax (IFI) – as applicable – triggered when fair market value for all French real estate assets net of debt is greater than 1 300 000€ |
1 753 € |
| Total Annual Running Costs | 12 256 € |
Case study: 55 m2 primary residence apartment in central Paris with elevator and caretaker
| Property tax (paid by the owner of the apartment) | 561 € |
| Residency tax (paid by the person who occupies the apartment – only due for 2nd homes, not primary) | 0 € |
| Electricity bill | 1 234 € |
| Homeowner's insurance | 325 € |
| Common area charges | 3 128 € |
| French bank account and basic debit card fee | 220€ |
| Total Annual Running Costs | 5 468 € |
75004 Paris