The City significantly increases the tax applied to second homes

Les résidences secondaires et les logements vacants seront davantage taxés dès le 1er janvier Midi Libre – MICHAEL ESDOURRUBAILH

This Tuesday, meeting at the town hall, the elected representatives of the majority approved a 60% increase in the municipal share of the contribution paid for the housing tax.

Unsurprisingly, it was a financial issue that was the most divisive, this Tuesday evening, at the town hall, during the back-to-school municipal council. The municipality has in fact decided to apply, from January 1, 2025, to all owners with a second home in the municipality, the increase in the housing tax. And not just a little, since in order to align with the tax that the State will apply, on the same date, on vacant housing for the benefit of the National Agency for Housing Improvement, a 60% increase in the municipal share of the housing tax (i.e. a tax rate that goes from 20 to 33%) was voted.

An adjustment with the rate of the tax on vacant housing

A decision justified in advance by the deputy Finance Delegate Michel Créchet. « The demand for housing exceeds the available supply and in 2023, Lunel joined the cities classified as a tense zone. This implies the implementation by the State on January 1, 2025 of a tax of 34% on the rental value of abandoned properties and for the City this opens the possibility of increasing the housing tax. »

The RN fiercely opposed to the measure

A possibility that the municipality has therefore decided to apply. « The objective is to encourage owners to return their property to the normal rental market and to diversify the City's tax revenues, which are currently too focused on built land “, the elected official said. Furthermore, to justify the significant level of the increase, Michel Créchet added:« By balancing the two taxes from January 1st, we hope to avoid the transfer of vacant housing to second homes. » « We will vote against it because too much tax kills the tax », Julia Plane (RN) immediately replied.
Admitting however that the housing situation is tense in the municipality, the head of the RN group estimated that « if someone does not rent their apartment it is perhaps because they do not have the means to meet the required standards. » « False », Michel Créchet replied immediately, « provisions are made and in this case, vacant housing can be exempt from taxation. » Julia Plane admitted her mistake but maintained that « landlords may be irritated by certain tenants or wait to put their children in the accommodation later ». Finally, the RN saw in this decision a way for the municipality « to take back with another hand, from the Lunel taxpayer, the reduction in the built property tax ».

Response to the need for housing and fight against unsanitary housing according to Pierre Soujol

For his part, Cyril Barbato (BVL) felt that he was « quite divided on this decision ». Agreeing that the attractiveness of the territory « complicates the situation », the opposition elected representative nevertheless launched: « I think of the unfortunate pescalunes, owners of second homes, who have gone far away to work and would like to return one day. » The Bien vivre à Lunel group abstained, concluding: « You have a good feeling but I am not sure that you take the right decision. »
Mayor Pierre Soujol acknowledged that « the issue of housing supply is complex but we believe that this decision contributes to the fight against substandard housing and that it is a response to the need for housing ».