Insurance against unpaid rent

[NormanH]

Is available, but not  as easily as one might expect.

Now the new Minister is making a proposal to introduce a system where the landlord pays this, and all rents are subject to 2% to cover the costs of the body being set up.

Still in an early stage

http://lci.tf1.fr/france/societe/logement-duflot-prepare-une-garantie-contre-les-loyers-impayes-7795103.html

[idun]

What a good idea. I posted about my son having so many problems finding somewhere to rent because of guarantees etc.This feels like the right solution to it.

I have an insurance policy  here for unpaid rent, I doubt I would have been happy about renting if I had not.

[Chancer]

If it happens dont expect the money to ever be paid out to the landlords that have been bumped, it will just be a political measure to bring in lots of money, stealth tax if you will, that will employ even more fonctionaires, it will be a complete new department of course, when a landlord makes a claim there will be an army of people to gerer the dossier, mainly to help the poor locataire prepare his defence against the rich proprietaire public enemy.

If this ever happens it will make French insurance companies seem like benevolent angels.

[Pickles]

[quote user="Chancer"]If it happens dont expect the money to ever be paid out to the landlords that have been bumped, it will just be a political measure to bring in lots of money, stealth tax if you will, that will employ even more fonctionaires, it will be a complete new department of course, when a landlord makes a claim there will be an army of people to gerer the dossier, mainly to help the poor locataire prepare his defence against the rich proprietaire public enemy.

If this ever happens it will make French insurance companies seem like benevolent angels.[/quote]

Agreed. The mandatory UK Tenancy deposit schemes are so useless that it is now pretty pointless taking a deposit from a tenant. The proposed French scheme looks like a licence to tenants to default, whilst the landlord will be accused of attempted fraud if he/she tries to claim. And this is supposed to entice people into letting out their property? I'm glad we've just sold the residential investment flat.

[NormanH]

While I share the doubts I can't see that it would be worse than the non-system which exists at the moment.

I can't get any insurance because I let furnished for example.

[Chancer]

Ah the devil is in the detail!!!

The 2% does not get you the insurance, its a new tax to pay for the setting up of the government body you would then have to pay extra for the insurance [:-))], its bad enough dealing with French insurance companies but a greedy lying insurance agent rather is by far preferable to me rather an overpaid underperforming unmotivated probably socialist fonctionnaire.

2% to start with and once they start to grow 3%, 5% these taxes never cease to go up, in the meantime a landlord can get this type of insurance for less than 2% of the rental value, not worth a to55 in my opinion like most French insurance but with thought of a government body being the supplier it will be worse still. 

[NormanH]

Well my rents are paid directly to me via the CAF, which is administered by 'underperforming unmotivated probably socialist fonctionnaires', and it has the merit at least of working. I get the money as long as I ensure that my tenants jump through the hoops, and those hoops are clear.

On the other hand once you start to deal with agents and insurances you are into the total sleaze of lies and misrepresentation that we all know

[Cappicenno]

Just be sure you thoroughly vet all renters before them coming into property and then also be sure you've got next of kin information so you can sue the little blighters if they don't pay and put off.