Paris Targets Vacant Second Homes With 60% Tax
In an effort to increase its supply of affordable housing, Paris is tripling the property tax on vacant homes to 60 percent.
Cities worldwide face the obstacle of an "artificial shortage" of housing created in part by vacation homes, owned the wealthiest residents, that sit empty all year, says Better Dwelling. To be precise, Paris has 107,000 vacant homes—representing 7.5 percent of all residences in the city.
Paris first started taxing vacant property in 2015 to "discourage the use of city center homes for secondary residences." This drastic increase is controversial, reports Better Dwelling.
Local developers have argued that more new construction is the solution. However … It appears the city believes they have 107,000 reasons more construction is not the solution.