This bad news that Barnier is preparing for property owners

The measure was in the pipeline, it is now official. And it's still bad news for property owners. The fault of Michel Barnier who decided to give a helping hand to the departments which say they are financially exhausted. The collapse in sales has caused damage to their accounts: the shortfall has exceeded three billion euros over the last three years. And around two billion over the last 12 months, according to forecasts from the Départements de France association revealed in Figaro.

The return of housing tax, disguised as a “universal contribution” (paid by owners and tenants), is growing day by day. “If the housing tax is reinstated for mayors, the departmental share of the property tax must return to us», affirms Figaro the Departments of France association. But there is another measure which has become increasingly important in recent weeks and which will soon see the light of day. It will also raise eyebrows among both owners and real estate professionals.

1250 euros more to pay for the French

It concerns transfer fees, better known wrongly as “notary fees”. They are usually paid by buyers during a real estate sale. These costs weigh between 7% and 8% of the price of old housing (between 2 and 3% for the purchase of new housing), or around 19,000 euros for a property costing 250,000 euros. The departments are demanding, loud and clear, that their share, set at 4.5% maximum, increase to improve their financial situation.

As Le Figaro announced it a month ago, Matignon was studying this avenue. Michel Barnier has just granted the wishes of the departments, during the meetings of the Départements de France association. The Prime Minister certainly announced an increase of “only” 0.5 points in transfer taxes, and not by one point as the departments wanted. But this increase will be valid for three years. It is equivalent to 1,250 euros for a household that buys housing for 250,000 euros. “This +0.5% will give the departments a little breathing room without putting too much pressure on real estate purchases, particularly because there is an exemption from transfer taxes for valuable consideration on new properties. But the question of a new recipe does not exempt us from a real reflection on the expenses imposed», reacted to the Figaro the Departments of France.