Rent review : applying the IRL each year

An IRL rent review may only be applied each year if the tenancy agreement contains a review clause, on a specified date, and within the limit of the annual change in the rent reference index.

For a property let year-round in Veules-les-Roses, on the Alabaster Coast or elsewhere in Seine-Maritime, several points must therefore be checked before making any request to the tenant: the type of lease, whether the clause is present, the reference date, the property’s EPC and the calculation. According to the official information sheet on rent revision, the increase is not automatic and has no retrospective effect.

Key points to remember

• For ordinary private-sector residential tenancies, an annual review is possible once a year if the tenancy agreement contains a clause providing for it. Specific rules apply in particular to housing governed by the 1948 Act, Anah-approved housing or social housing.
• The amount obtained must be rounded to the nearest 2nd decimal place.
• The request must be made within the year following the review date, with no retroactive effect.
• For a mobility lease, rent revision during the tenancy is prohibited.

When is the annual rent review permitted

For an unfurnished or furnished property in the private sector let under a standard residential tenancy, the owner may request a rent revision once a year when the contract contains a revision clause. This is the starting condition. If there is no such clause, no annual revision may be requested during the tenancy. Properties governed by the 1948 Act, Anah-approved or social housing follow specific rules.

The rule applies to main-residence lets. It should not be confused with other mechanisms, such as an increase related to works. For a mobility lease, rent reviews during the tenancy are prohibited.

If you are a landlord of a property let year-round, it is useful to review the rent review clause before writing to the tenant. If you entrust a property to year-round property management, this check is one of the verifications to be carried out on the review date.

Situations in which an increase is prohibited

The presence of a review clause is not sufficient in every case. Review is prohibited :

• in mainland France, for leases signed, renewed or tacitly renewed from 24 August 2022 concerning a dwelling classified F or G according to the DPE ;
• in Guadeloupe, French Guiana, Martinique, Réunion and Mayotte, for leases signed, renewed or tacitly renewed from 1 July 2024 concerning a dwelling classified F or G according to the DPE.

Before applying the IRL, you must therefore check the property's energy rating and the date of the tenancy agreement, its renewal or continuation. This determines whether the revision is valid. A property rated F or G that changes rating during the tenancy cannot nevertheless have its rent revised before the agreement is renewed; tacit continuation is not sufficient ; the revision then requires a certificate confirming the change in rating or a new valid EPC (ministerial reply published in the Official Journal on 11 August 2026).

Which date and which index should be used

The relevant date is first and foremost the one set out in the lease. It may correspond to the contract's annual renewal date or another date agreed between the landlord and tenant.

If the tenancy agreement does not specify this date, the review takes place on the anniversary of the contract. If the tenancy agreement does not specify the reference quarter, the latest IRL published by Insee at the time the tenancy agreement was signed must be used. Insee also points out that the correct index must be used depending on the location of the property: mainland France, Corsica or the overseas departments and regions. Since the third quarter of 2022, these indices have differed according to the territory.

You can consult the IRL figures and, if necessary, the benchmarks published by Insee to identify the reference quarter.

If the tenancy agreement does not clearly state the quarter

In this case, you should not choose a more favourable quarter. The rule is precise: use the latest index published on the date the tenancy agreement is signed. Insee gives a simple example: for a contract concluded on 1 March, the index used is that for the 4th quarter of the previous year, as this is the latest quarter known on that date.

Where an additional rent is charged

Where the property is subject to an additional rent, the amount to be revised corresponds to the total of the basic rent and the additional rent.

How to calculate it correctly

The calculation is based on 3 elements:

• the current monthly rent ;
• the IRL for the reference quarter of the current year;
• the IRL for the same quarter of the previous year (the reference quarter is the one provided for in the lease or, if the contract says nothing, that of the latest index published when the lease was signed).

The amount obtained must be rounded to the nearest 2nd decimal place.

This method makes it possible to determine the maximum revised rent. You must neither add a percentage freely nor combine several years of indices at once.

When should the application be sent

The request must be made within the year following the rent review date. However, it does not apply retroactively: the increase takes effect from the date of the request.

The official example is very clear. If the revision date is 13 March 2025, the revision may be requested until 12 March 2026. Once the one-year period has elapsed, a revision not applied is lost to the owner.

The most common mistakes to avoid

Here are the mistakes to avoid.

Forgetting to check the lease clause

A rent review without an annual review clause is not valid. It is not enough for the tenancy agreement to be a residential tenancy agreement.

Using the wrong IRL

You must use the index corresponding to the correct territory and quarter. Since the third quarter of 2022, mainland France, Corsica and the overseas departments and regions have not used the same IRL.

Renovating an F or G-rated property even though it is prohibited

In mainland France, this prohibition applies to tenancies signed, renewed or tacitly renewed from 24 August 2022 for a property rated F or G. A property that is no longer rated F or G during the tenancy remains concerned until the contract is renewed. This is an essential point to check before making any request.

Apply the increase retrospectively by claiming the past months

The review has no retrospective effect. If you request the increase several months after the scheduled date, you cannot recover rent already collected.

Perform a calculation without rounding correctly

The result should be rounded to the nearest second decimal place. A difference of a few cents may be enough to trigger a dispute.

Confusing annual letting with other arrangements

The rules concern residential tenancies. Cabinet Soudey offers homes to rent year-round and property management with PCG Gestion for this type of tenancy, not holiday lets.

What to do in the event of a dispute

In the event of a calculation error, the tenant may challenge the requested increase. It is possible to first send a recorded-delivery letter setting out the facts precisely and enclosing the relevant documents, such as the tenancy agreement and rent receipts.

For a dispute of €5,000 or less, an amicable resolution procedure is compulsory before applying to the court. This may involve the departmental conciliation commission, a justice conciliator or a civil mediator. If it fails, the protection litigation judge of the court covering the property may be petitioned within 3 years of the rent revision date in dispute.

If your situation involves a particular difficulty, ADIL or a legal professional can help you review the tenancy agreement and the calculation.

Frequently asked questions