The measure taken by the French government to regulate short-term rental nationally allows municipalities with more than 200,000 inhabitants to compel renters on digital platforms to declare themselves in town halls which helps the country face the housing crisis. As various municipalities now enact various rules to address the housing crisis. The rules are stricter from municipality to municipality.
If your secondary residential property is located in Paris, you are obligated to respect compensation rules; that is, for every 1 square meter of housing transformed into a short-term rental, you must acquire another 1 square meter of a commercial estate which must be transformed into habitation. This means that an investor that intends to carry out a short-term rental in Paris must buy two properties instead of one, while one is used for short-term rental, the other will be a commercial building that will be transformed for habitation to compensate for the housing shortage. Some boroughs are subject to strict compensation which requires compensation of 2 square meters of a commercial estate for 1 square meter of housing transformed into a short-term rental.
Non-compliance with this rule in Paris exposes the owner of the property to a fine of up to 50,000 euros per dwelling and a penalty payment of up to 1,000 euros per day per square meter until regularization.