With increasingly strict regulations governing holiday rentals, reduced tax advantages and fluctuating rental income, many property owners in France are considering switching from short-term tourist accommodation to long-term furnished rentals. This transition offers several significant benefits: more stable monthly rental income (furnished properties managed by Lodgis achieve a 95% occupancy rate), simpler administration compared with the frequent tenant turnover of holiday rentals, utility and service costs generally paid by tenants, and an attractive tax framework under the LMNP status (non-professional furnished rental landlord). The LMNP actual expenses tax regime, which allows eligible expenses and property depreciation to be deducted, can be particularly advantageous for optimizing net rental profitability. Successfully making the transition involves checking local regulations and condominium rules, ensuring the property meets the legal requirements for furnished accommodation, choosing the appropriate rental agreement (mobility lease, primary residence lease or student lease) and preparing a compliant contract. Long-term furnished rentals attract students, young professionals, expatriates and employees relocating for work, creating strong rental demand in major French cities. Although short-term holiday rentals may offer attractive nightly rates, long-term furnished rentals can generate higher annual net returns once management costs, vacancy periods and operating expenses are taken into account.
In recent years, short-term holiday rentals, particularly through platforms such as Airbnb, have attracted many property owners thanks to the prospect of attractive rental income. However, increasingly strict regulations, reduced tax benefits, intensive management requirements and seasonal fluctuations are encouraging many landlords to reconsider their rental strategy.
Switching from short-term holiday rentals to long-term furnished accommodation can be an attractive alternative for securing rental income, optimizing property profitability and simplifying day-to-day management. This guide explains everything you need to know to make a successful transition, understand its advantages, identify the necessary steps and avoid potential difficulties.
Short-term holiday rentals involve renting out a furnished and equipped property for a few nights or weeks, generally to tourists and temporary visitors. This type of rental relies on frequent guest turnover and depends heavily on the destination's tourist appeal.
Advantages
Disadvantages
In France, the average occupancy rate for holiday rentals is generally estimated at around 30%, depending on the city and the season. In cities where short-term rentals of primary residences are regulated, the annual rental period may be limited to 120 days, equivalent to approximately 33% of the year. This means that a property may remain unoccupied for several months.
Long-term furnished rentals are based on furnished residential tenancy agreements. Tenants occupy the property for several months under a mobility lease (bail mobilité) lasting from 1 to 10 months, or for a longer period under a renewable one-year primary residence lease. A nine-month lease is also available for students.
Main characteristics
For example, furnished properties managed by Lodgis achieve an occupancy rate of 95%, helping landlords secure their rental income throughout the year.
Unlike short-term rentals, which depend heavily on seasonal demand, long-term furnished rentals provide a consistent monthly rent. This model reduces vacancy periods and gives landlords greater financial visibility.
Managing a holiday rental requires considerable time and effort: creating listings, handling bookings, organizing cleaning, welcoming guests and coordinating logistics.
By contrast, long-term furnished rentals mainly involve occasional administrative tasks, such as preparing tenancy agreements, conducting property inspections and issuing rent receipts. This significantly reduces the management workload.
Some property market studies estimate that managing a holiday rental requires 15% to 30% more time than managing a traditional furnished rental.
When a furnished property is rented as a primary residence, everyday expenses such as electricity, water and internet are generally paid by the tenant, depending on the rental agreement. In holiday rentals, these costs are often included in the nightly rate, which can reduce the landlord's actual profitability.
Long-term furnished rentals are particularly suited to a long-term investment strategy:
This approach is particularly relevant for investors seeking consistent returns rather than fluctuating income.
Some French cities require specific authorizations for short-term holiday rentals, such as a change-of-use permit, registration with the local authorities or compliance with rental restrictions. Switching to long-term furnished rentals often simplifies these obligations, but landlords should still check:
A property intended for long-term furnished rental must comply with the legal list of mandatory furniture and equipment, including:
A well-equipped property attracts greater rental demand and can help justify a higher rent.
The furnished rental agreement must be adapted to the tenant's circumstances, whether it is a mobility lease or a primary residence lease. It must also comply with French regulations and specify:
Choosing the right rental agreement and drafting it correctly helps protect the legal relationship between the landlord and tenant.
Most landlords renting out furnished accommodation in France fall under the LMNP status (Loueur Meublé Non Professionnel, or non-professional furnished rental landlord), which offers an attractive tax framework for long-term furnished rentals.
Two main tax options are available:
Micro-BIC tax regime
→ A standard 50% allowance on eligible rental income
Actual expenses tax regime (régime réel)
→ Deduction of eligible expenses and depreciation of the property and furniture
The actual expenses regime is often particularly advantageous because it can significantly reduce taxable rental income and optimize net profitability.
Find out which tax regime is best suited to declaring your furnished rental income.
At first glance, short-term holiday rentals may seem more profitable thanks to their higher nightly rates. However, once the following factors are taken into account:
Actual annual profitability may be lower than that of a long-term furnished rental.
A property occupied 95% of the year with a fixed monthly rent can generate more stable and often higher annual income than an irregular holiday rental activity.
To determine an appropriate rental price, landlords should analyze:
A well-located, modern and functional property can attract tenants quickly and minimize vacancy periods.
Estimate your rental income for free using our online rental calculator:
Long-term furnished rentals are particularly attractive to:
Adapting your rental offer to these profiles can help you find tenants more quickly.
A professional property manager can:
Delegating property management can improve rental performance while saving landlords valuable time.
To make this transition under the best possible conditions, working with a specialist in the furnished rental market can be particularly beneficial. At Lodgis, we support landlords at every stage: estimating the optimal rent, finding reliable tenants, ensuring regulatory compliance, preparing suitable rental agreements (mobility leases, corporate leases and primary residence leases) and optimizing rental profitability.
Discover our dedicated support for transitioning from holiday rentals to long-term furnished rentals.
Advantages
Limitations
Switching from short-term holiday rentals to long-term furnished accommodation is an increasingly popular strategy among property owners. It helps secure rental income, reduce management responsibilities and benefit from an attractive tax framework.
When properly planned, this transition can maximize the profitability of your property investment while providing greater peace of mind over the long term. By understanding the regulations and seeking professional support, you can significantly improve your chances of successfully repositioning your rental property.
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