As pressure mounts on the student rental market, a new rental permit reform is reshaping relations between landlords and local authorities. Landlords are responding cautiously, sometimes employing creative strategies to adapt.
With the student housing crisis showing no signs of easing, the rollout of rental permits in over 500 French municipalities is disrupting traditional rental practices. Now mandatory in high-demand areas, this system raises concerns about the economic viability of student rentals and has prompted various attempts at circumvention.
A reform that transforms the rules of the game
The rental permit marks a major shift for landlords aiming to rent their properties. Two systems are in place: prior authorization and rental declaration. Depending on the municipality, landlords must submit either an application (Cerfa 1565201) or a simple declaration (Cerfa 1565101), sometimes accompanied by a municipal inspection.
This regulatory oversight comes with fees ranging from €60 to €114 per tenant turnover, a significant consideration in student rental properties where annual tenancy changes are frequent.
New Administrative and Technical Constraints
The permit requires more than paperwork:
- Submission of technical reports, including electricity, gas, surface area, and DPE certifications
- Possible on-site inspections assessing decency and habitability
- Limited validity, with prior authorizations lasting two years, renewable
For many small landlords, these requirements turn supplemental income from student rentals into an increasingly tight budget challenge.
Landlords are organizing themselves, sometimes at the limits of the legal framework
Faced with mounting regulatory pressure, some landlords are exploring alternatives: delegating management to agencies, relocating properties to municipalities not yet affected, or reclassifying rentals for tax exemptions.
“I’ve decided to stop renting to students in Lille. Between the permit, diagnostics, and annual renewals, it’s too much. I’ve moved my investments to Arras, which isn’t yet affected,” explains Romain D., owner of three studios.
Some landlords go further, skirting legal requirements. Reports indicate that certain property owners ignore the rental permit obligations, exploiting the limited enforcement capacity of local authorities. Others turn to informal shared accommodations or short-term rentals via platforms, bypassing the standard student furnished lease framework.
A direct impact on students
The first to feel the impact of rental permit reforms are students. Reduced availability in the private market drives higher rents and often a decline in property quality, with some units even being withdrawn entirely.
Meanwhile, Crous university residences remain in high demand, fully booked each year. Ministry data shows that in 2024, only 192,000 Crous units were available for 2.9 million students. While rents are relatively affordable (between €200 and €500), access is limited by strict schedules, time-bound allocations, and significant geographical disparities.
Housing assistance made more accessible
In response to rising student rental costs, the 2025 reform of the APL student benefit seeks to partially offset the impact of new rental permit regulations. Aid amounts have been recalculated to reflect local rent increases in major university cities.
The reform also introduces real-time processing based on income from the past 12 months, helping to reduce the gap between current earnings and housing assistance eligibility.
| Old APL rules (until 2024) | New APL rules 2025 |
|---|---|
| Income from N-2 taken into account | Income for the last 12 months |
| Annual review of rights | Monthly review possible |
| Administrative processing time of 3 to 6 weeks | Real-time processing (subject to complete file) |
FAQ’s
What is the new student housing reform about?
The reform introduces rental permits for landlords in high-demand student cities, requiring authorization or declaration before renting properties.
Which cities are affected by rental permit requirements?
Over 500 French municipalities, mostly major university cities, now require landlords to comply with rental permit regulations.
How do rental permits affect landlords?
Landlords must submit applications, attach technical diagnostics, and sometimes undergo property inspections, adding administrative tasks and costs.
What types of rental permits exist?
Two systems exist: prior authorization, which requires approval before renting, and rental declaration, a simpler notification process.
How much does it cost to obtain a rental permit?
Fees range from €60 to €114 per tenant change, making frequent turnovers in student housing more costly.
How are landlords responding to these reforms?
Some delegate management to agencies, relocate properties, or adjust rental classifications, while others may seek informal or short-term rental alternatives.
How does the reform impact students?
Reduced supply in the private rental market can lead to higher rents, lower property quality, and limited housing availability.
Conclusion
The introduction of rental permits in the student housing sector marks a significant shift for landlords and tenants alike. While the reform aims to improve housing quality and safety, it also adds administrative burdens, costs, and constraints for landlords, prompting some to adapt creatively or relocate investments. For students, these changes contribute to higher rents and reduced availability in the private market, intensifying competition for housing.
