Learn why France real estate tax is becoming a growing financial burden for homeowners. Discover recent data, city-by-city impacts, and expert outlook for expected increases in 2026.
France Real Estate Tax Becomes a Growing Burden for Homeowners in 2026
When it comes to homeownership in France, property tax (“taxe foncière”) is an expense that’s often overlooked—but it is rapidly becoming one of the major costs for French households. According to recent studies, property taxes have skyrocketed in recent years, with a nationwide average increase of 33% over the past decade, and all signs point to a further rise in 2026.
France Real Estate Tax: An Extra Month’s Mortgage—and Then Some
In many French municipalities, the annual property tax now equates to at least one extra month of mortgage payments. Data from broker Meilleurtaux reveals just how impactful this has become on family budgets:
- Nationwide average: Property tax represents 1.3 months of home loan payments per year.
- Saint-Étienne: Homeowners pay property tax equivalent to more than three monthly payments.
- Le Havre: The tax weighs especially heavily, absorbing a much larger share of annual housing costs.
- Villeurbanne (Rhône): Property tax jumped 10% in 2025—an extra €200 per year, or €20/month, a significant portion of income for retirees and fixed-income residents.
Ten-Year Trend: 33% Increase Across France
The rapid growth in property taxes isn’t limited to a handful of cities. On average, France real estate tax have climbed 33% over the past ten years. The upward trajectory shows little sign of stopping, as municipalities seek to make up for reduced support from state grants. In 2024 alone, local government property tax revenues increased by €2 billion across the country.
The Heaviest Burdens in Affordable Cities
Counterintuitively, the cities where real estate is most affordable are often those where property taxes have the greatest impact. In cities like Saint-Étienne, monthly property tax can reach as much as €150—a higher proportional cost relative to home values and incomes compared to pricier markets like Paris or Lyon.
Why Are France Real Estate Tax Rising?
France real estate tax hikes are largely the result of local government policies. As French towns and cities face declining financial support from the state, they’re turning to local real estate taxes to balance their budgets. With France real estate tax revenues on the rise, homeowners are left to absorb the added expense.
Outlook for 2026: Expect Further Increases
All indicators point to continued increases in property tax for 2026. Municipalities are still grappling with funding issues, and the trend of shifting fiscal burden to property owners is likely to persist.
Prepare for Higher Costs of Homeownership in France
Anyone considering buying property in France—or current homeowners planning their budgets—should take rising property taxes into account. As the France real estate tax continues to climb, it can represent a significant share of household spending, particularly in certain cities, and may exceed the equivalent of one or even several months’ mortgage payments per year. With another increase expected in 2026, the cost of owning property in France is set to rise—and so is the need for careful financial planning.
