HLM: evict tenants who exceed income ceilings… and where to house them?


Free forum

Reading Time:


4 minutes


TRIBUNE – According to Henry Buzy-Cazaux, founding president of the Institute for the Management of Real Estate Services, an offer of affordable housing must be created in the private sector in France. Without this assumption, it is illusory to want to tighten the rules imposed on HLM tenants.

Capital Video: HLM: evicting tenants who exceed income ceilings… where to house them?


© Barbalis/Unsplash

It’s been a long time since a housing bill has stirred so much passion. The one signed by Guillaume Kasbarian, presented on Friday at the Council of Ministers, certainly caused a lot of ink and saliva to flow even before it was introduced into the legislative process. Even before that: it will be debated in the Senate in June before going to the National Assembly at the start of the school year, next September or October. The media picked up on this… and to be more precise, they focused their attention in particular on the provision relating to the exceeding of resource caps by HLM tenants. Three decisions of the housing minister are controversial: use further rent from the first euro overshooting the ceilings instead of the 20% overshoot under the current system,possible eviction of tenants whose resources reach or exceed 120% of resource ceilings, and by taking into account possible real estate when assessing the tenant’s situation, assess whether he can continue to apply for occupation of social housing.

The rest under this ad

The rest under this ad

The liveliness of the debate testifies above all to the attachment of the French to HLM housing, which is a national originality and, frankly, a source of pride. Invented between two wars, this social dampener reached full expansion after the second and its current form dates back to the 1950s the main buffer of social shocks and other comparable countries envy us. The public rent fund enabled the country, without really realizing it, to overcome the worst economic crises without social disaster.

Also read:

Social housing: where controls are already in place and how they will be tightened

Overpayment, a fair and virtuous mechanism

Regardless of whether we are liberal or not, right, left or centre, we have to face the fact that without the approximately 5.5 million public social housing units where almost 20 million of our compatriots live, France’s balance sheet would not be what it is. This is essentially the maximum public support: The state provides shelter under favorable conditions to those who could not find accommodation on the free market, that is, they do not rent or acquire private accommodation. It is the topic that concerns the government that is at the forefront of social justice.

The rest under this ad

Because it is normal that households that increase their income through their personal progress so that they can do without the help of the community are somehow weaned from it. This is also the basis excessive rent mechanism, which Minister Pierre-André Périssol introduced as binding in 1995. It first leveled the situation and gradually reduced the difference between social rent and market rent, which had increased as the income of paid rent increased, to the point that social rent was interest-free and household management to leave the HLM park. It is itself democratically just and virtuous.

Also read:

HLM: what are the rules in force today?

It is necessary to prepare a rental offer at an acceptable price

But then why this debate? As the current minister considers this insufficiently robust, considering that any surplus of resources will lead to an increase in rents, that ownership of property, whether inherited or purchased, may disqualify and that it is necessary to activate more at the beginning of the economic the progression of households throwing out the park. The real issue is beyond the borders: those who earn 20%, 30% or maybe even 50% more than the administrative caps to qualify for HLM housing and who got it a few years earlier can pay free rent in the same city or nearby or they can buy their first home? In short, the debate is not conducted where we believe, on the functioning of the HLM park, but outside: are the rents, the price of housing within the reach of those who we think could leave the HLM?

The rest under this ad

The rest under this ad

Also read:

“Does the housing minister want us to evict 400,000 families?” : Wrath of the HLM World Boss

Households earning twice the ceilings, set by territorial tension and of course family composition, undoubtedly can. For others, even those who belong to the upper middle class in the heart of the metropolis, it is no less certain. It is clear that we can debate this point endlessly and Parliament is likely to do so. We might even suggest that a household whose income has moved in the right direction away from the income ceiling must attest to the search for private housing and possibly justify the failure in order to stay. Or even an attempt at first ownership, within or outside the HLM park.

Also read:

HLM housing: should we really evict tenants with excessively high incomes?

Above all, we must focus on developing an affordable rental offer by all means. Sure, intermediate case more open to HLM organizations is the path explored by the same law. It is expected that institutional investors will also invest in this housing, an agreement has already been signed with several major insurance companies. The fact remains that we need households attract rental investment by entering into a partnership agreement with them: a tax status recognizing the service provided, allowing depreciation of the new property, with the possibility of faster depreciation if the landlord agrees to rent below market or significantly below. This depreciation would also be possible for the existing property, provided that it is reconstructed and its energy efficiency is increased to a certain level.

The rest under this ad

>> Our service – Energy renovation: calculate the amount of your support (MaPrimeRénov’, CEE, etc.) and find the right craftsman for your job

Treat the disease at the root and stop being satisfied with palliatives

The legislator must not deceive himself, the minister at the head: if the law is not socially binding, because the step between the HLM rent, even if increased by another rent, and the market rent, the residents will not leave the house. HLM and the organization will not put them on the pavement. The prefect and the police force will not do so more willingly, despite their sense of mission. A question of humanity.

It is clear that we need to create the conditions for the applicability of the future law, whether it remains what Guillaume Kasbarian wants, or the deputies and senators soften it. It is urgent and necessary to revive affordable private rental investment and we expect the Finance Bill to deliver this. That’s the crux of the problem. A posteriori solutions, such asrent regulationdon’t treat it and just provide a sedative for the pain, the origin of which is not being treated.

The rest under this ad

The rest under this ad

Also read:

Real estate: overpriced, the cancer that is eating the French?

It is not economically acceptable that the majority of the population does not earn enough money to get into rental properties, and what’s more, many are entitled to personal assistance! AND republican fiscal compact between investor households and the state, in order to stabilize a rich supply of rents at affordable rents, away from tax loopholes and taxpayer opportunism, must be closed. Great job, more enlightening than strengthening penalty mechanisms for HLM tenants who are slightly less poor or slightly better off than public housing eligibility criteria.

>> Our service – Save money by testing our home loan insurance comparison tool



Source link

Leave a Comment