Every expatriate destination comes with a unique housing market along with unique nuances for finding and securing a tenancy agreement with landlords. That is why we have amazing destination service partners to help navigate these unique elements and facilitate the process for getting quality lease agreements in place to support expatriates for the duration of their assignment.
While France is often ranked as one of the top destinations for expatriation, it can be one of the more challenging. France comes with it's own set of particular challenges for expatriates to secure housing, and some have said it is easier to find a job in France than a place to live. While tenant rights in France are fairly supportive of the tenant, some of the common problems (per Expatica) that expatriates bump into are:
- slow real estate agents
- understanding the differences between furnished and unfurnished accommodations
- a lengthy list of required French paperwork
- landlords are apt to ask for larger security deposits than French law allows them to require
- getting security deposits back
But one thing left off this list was how to secure a lease for an expatriate that is currently on their probationary period. Per Home Conseil, a destination service provider in France that supports expatriates coming into the country, "This leads to a high number of inaccessible properties to foreign or newly hired employees and although we screen the properties that will be presented to you, the presence of a GLI is not always advertised or even known by the person putting the property on the market."
Employees under a trial period face the issue all the more so if the owner has decided to subscribe to a ”GLI – Garantie de Loyers Impayés” (an insurance on unpaid rent). In France and especially in Paris, more and more landlords/lessors opt for this insurance. For a monthly fee equal to 3% to 6% of the monthly rent, the GLI protects property owners against the risk of unpaid or overdue rent. Many real estate agencies negotiate group rates and resell this insurance to their own customers, which make them the main decision-maker. To measure the risk of unpaid/overdue rent, strict criteria are defined and they are not negotiable. Among those, the future tenant should have a net salary of 3 times the amount of the rent (including rental charges) and be under a confirmed permanent contract.