Mortgage loan repurchase

Home renovation work: aid to individuals

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The government has set up several financial aids for individuals. More particularly with the aim of financially helping the French to carry out more easily home improvement work in their main residence.

Home renovation work

Energy transition tax credit (CITE)

How to benefit from a tax credit which represents fifteen to thirty percent of the amount of work to be carried out? The energy transition tax credit, known by the initials of CITE, offers owners and tenants, but also free guests, the benefit of deducting part of the amount of the work from their taxation.

The various items of expenditure eligible for the CITE are :

  • Boiler with high performance performance
  • Regulation and programming device
  • Individual meter for heating and domestic hot water in the condominiums
  • Heat pumps
  • Water heater and solar heater
  • Energy performance diagnostic equipment
  • Energetic audience
  • Electric vehicle charging station
  • Etc.

If the work carried out was financed by a non-taxable household, then the tax credit is transferred to them by the Public Treasury. This also applies in the event that the tax credit is greater than the amount of household tax. It should be noted that the tax credit can reach 30% of the cost of the work, limited to eight thousand us dollars for a single person and sixteen thousand us dollars for a couple.

Article 57 of the 2019 Finance Bill provides for some changes concerning the energy transition tax credit. For more information, follow the government link to learn all about CITE !

The zero rate eco loan and the social housing eco loan

Léco-PTZ concerns all people who own and co-own their main residence. The aid consists of obtaining financing with an interest rate of 0% . The eco-PTZ is amortized over a period of 180 months (15 years) . Its limit is thirty thousand us dollars ($ 30,000) . To be entitled to it, the nature of the work undertaken must be of an insulation or renovation nature linked to the heating system of the property.

In order to be able to claim to obtain eco-PTZ financing, the date of construction of the property must be prior to January 1, one thousand nine hundred and ninety. In order to benefit from the eco-PTZ, the work must be carried out by acompany having the RGE label . This indicates that the craftsman is recognized as guarantor of the environment.

The purpose of the social housing loan (éco-PLS) is to finance energy improvement work in social housing that consumes the most kWh. The eco-PLS aims to renovate at least 70,000 social housing units per year by 2020 . Thus, work to improve public housing or other social housing can be financed over 25 years at a competitive interest rate.

The calculation of the eco-PLS interest rate is based on the livret A rate . Depending on the amortization period of the eco-PLS credit, the Livret A rate is to be reduced or increased by a certain number of points.

Article published by on , in Real Estate .

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