🏡 Sale of a second home: exemption period reduced from 22 to 17 years – what does this mean for you
The objectives of this reform
Fluidifying the market
- Promoting the sale of vacant homes
- Boosting transactions in the old
- Maintaining a deterrent framework for short-term speculation
Free up resources
- Many second homes remain unoccupied for a large part of the year
- To allow the transformation of secondary properties into primary residences, especially in tense and tourist areas
Corentin Le Fur
A vote won despite the government's reluctance
The amendment was adopted despite the reservations of the Minister of Public Accounts, Amélie de Montchalin, and the Finance Committee, who feared a lack of transition for taxpayers.
The general rapporteur for the budget, Philippe Juvin, nevertheless gave personal support to the measure, allowing its adoption.
It now remains to be seen whether the Senate will confirm this provision during the examination of the 2026 Finance Bill (source: Journal de l'Agence).
An opportunity in a recovering market
This reform comes in a context of revival of the real estate market. After two years of marked slowdown, the market is regaining its dynamism in 2025. FNAIM's forecasts announce 940,000 transactions for 2025, compared to 845,000 the previous year, an increase of 11.2%.
This recovery can be explained in particular by the stabilisation of interest rates at around 3% since March 2025, making access to real estate loans more accessible. Transaction volumes are on the rise again and the prices of second-hand homes are no longer falling.
An issue that is particularly relevant for the Pays de Gex
In the Pays de Gex, a particularly dynamic territory, this reform could have a significant impact. The local real estate market is characterized by high demand and limited supply. The median price per m² stood at €4,433/m² in Gex in November 2025, with stability over one year but an increase of 15% over 5 years.
The rental market remains under high pressure with more than 5,000 new arrivals each year, while the median price per m² on the new apartment market continues to climb, with a 4.4% increase to €5,980 in the Pays de Gex. In this context where "demand will remain strong thanks to a sustained demographic", the marketing of second homes transformed into primary residences could help relieve real estate pressure.
In conclusion
If confirmed by the Senate, it should :
- ✅ Helping to make the real estate market more fluid
- ✅ Freeing up vacant housing
- ✅ Responding to the growing need for housing in tense areas such as the Pays de Gex
📞 Do you own a second home in the Pays de Gex?
👉 Contact the IFIC Immobilier team to get a free estimate and find out how to take advantage of this new measure.
The National Assembly has just adopted a measure likely to revitalize the French real estate market. On 3 November 2025, MPs voted on an amendment reducing by 5 years the period needed to benefit from a total exemption on the capital gain on the sale of second homes.
This is excellent news for owners wishing to sell their property, and an opportunity to be seized in a context of a recovering market.
An exemption period reduced from 22 to 17 years
This period, introduced in 2014, was often considered to be a brake on the fluidity of the real estate market.
The amendment proposed by MP Corentin Le Fur (UDI, Côtes-d'Armor), as part of the 2026 finance bill, aims to reduce this period to 17 years (source: Capital.fr).
What changes in concrete terms:
- ⏱️ Before : 22 years of ownership required for full exoneration
- 🚀 After : 17 years of detention is enough
- 📈 Properties concerned : second homes and other properties not assigned to the main residence
Understanding the current taxation of real estate capital gains
The overall tax rate is 36.2%, consisting of:
- 19% for income tax
- 17.2% social security contributions
However, this rate decreases thanks to a system of progressive allowances:
- Up to 5 years of ownership : no allowance is applied, the tax rate remains at 36.2%
- From the 6th to the 21st year : an allowance of 6% per year applies for income tax, and 1.65% per year for social security contributions
- The 22nd year : 4% allowance for income tax and 1.60% for social security contributions
- Beyond the age of 22: total exemption from income tax, but social security contributions remain due for up to 30 years of ownership
- Beyond the age of 30: complete exemption from all taxation
If the amendment is definitively adopted, the total exemption from income tax would therefore take place from the 17th year of ownership instead of the 22nd.
IFIC Immobilier's advice for homeowners
If you own a second home that is approaching 17 years of ownership, this measure could represent an interesting opportunity. Here are our recommendations:
1️⃣ Anticipate your sales project:
If the amendment is definitively adopted by the Senate, you will be able to benefit from a tax exemption 5 years earlier than expected. It could be an opportune time to consider a sale, especially as the real estate market is currently experiencing a favourable recovery phase.
2️ ⃣ Enhance the value of your property :
In a market that is regaining its dynamism, good preparation considerably increases your chances of closing a quick sale at the best price. Carry out the mandatory diagnostics, maintain your property and adjust the price to the reality of the local market.
3️ ⃣ Get support :
The tax rules for real estate capital gains are complex and change regularly. Professional support will allow you to optimize your sales strategy and secure your transaction.
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Assistante de direction
Posted on 20/11/2025 by
Marie MASSON
