Making money from your primary residence requires knowledge of the current tax regulations, local regulatory constraints, and actual profitability thresholds. We review ten concrete levers, from the most technical to the most accessible, to transform your home into a source of additional income.
1. Tax-exempt rental of a furnished room under Article 35 bis of the CGI
The most underutilized scheme remains the rental of a room in the primary residence completely exempt from tax. Article 35 bis of the CGI allows you to rent one or more rooms without declaring the rent received, provided that the tenant establishes their primary residence there and that the rent remains below the ceilings published each year by the tax administration.
This scheme has been extended by the finance law for 2024 until December 31, 2026. It is clearly distinct from the micro-BIC or LMNP status: no declaration, no tax, no social contributions on these rents if the ceiling is respected. We recommend checking the updated thresholds per square meter each year on the Official Bulletin of Public Finances.
Find more effective tips on Mes Petites Annonces to identify potential income from your home.
2. Short-term seasonal rental like Airbnb with declaration at the town hall
Renting your primary residence for short periods during your absences is allowed up to 120 days per year. Beyond that, the property loses its status as a primary residence in the eyes of the tax administration.
Most municipalities with more than 200,000 inhabitants require a registration number at the town hall. The rules have tightened in recent years, and the net profitability of tourist rentals is decreasing due to increased reporting costs and competition on platforms. We observe that the most profitable niche concerns properties located in tight tourist areas, rented only during peak seasons.
3. Subletting a parking space or garage
In densely populated urban areas, an unoccupied parking space generates regular income without the constraints of furnished rentals. The lease is not subject to the law of July 6, 1989: the parties freely set the duration, rent, and termination conditions.
Income from renting a parking space is taxable under the category of property income. Under the micro-property regime, a flat-rate deduction applies if your total property income remains below the legal threshold. This lever is particularly suitable for owners who have a garage or box in a city where parking is saturated.
4. Installation of solar panels for self-consumption with resale of surplus
Installing photovoltaic panels on the roof of your primary residence allows you to reduce your electricity bill and sell the surplus to an energy supplier through a purchase obligation contract. The resale of surplus electricity is tax-exempt for installations with a power of 3 kWc or less.
The return on investment depends on sunlight exposure, roof orientation, and the applicable buyback rate. We recommend prioritizing maximum self-consumption before focusing on resale, as the buyback rate changes every quarter.
5. Availability for filming and photography
Production companies are constantly looking for authentic settings. Renting your home for a shoot, photo session, or advertisement can earn several hundred euros per day depending on the size and appeal of the location.
List your property on platforms specializing in connecting owners and producers. Income is declared as BIC if the service includes additional services (cleaning, hosting). Be careful: check that your home insurance covers temporary professional use of your property.
6. Renting your garden or land for storage
Peer-to-peer storage is growing. Your basement, attic, or part of your land can accommodate furniture, boxes, or vehicles for neighbors in need of space. Storage platforms connect owners and tenants securely.
The storage or space rental contract is not subject to residential lease rules, simplifying management. The income received falls under BIC and benefits from the micro-BIC regime if the annual threshold is not exceeded.
7. Hosting in exchange for services with a contractual framework
Hosting a student or young professional in exchange for services (shopping, gardening, companionship) is a model supported by several associations. The owner does not receive rent but saves on expenses they would have incurred otherwise.
This arrangement does not generate taxable income since there is no financial compensation. It is necessary to formalize the agreement with a hosting convention specifying the nature and duration of the expected services to avoid any reclassification as a lease.
8. Partial coliving in a large property
If your primary residence has extra rooms, coliving allows you to rent furnished rooms with shared spaces (kitchen, living room). The difference from simple flat-sharing lies in the provision of services: cleaning, laundry, wifi. This falls under professional or non-professional furnished rental depending on income thresholds.
We recommend drafting a mobility lease for stays of one to ten months, suitable for individuals in training or on professional assignments. This lease, created by the ELAN law, does not require a security deposit.
9. Monetizing a vegetable garden or orchard through short supply chains
Selling the fruits and vegetables from your garden at a local market or through a direct sales platform is allowed as part of an occasional non-commercial activity. As long as the volumes remain modest and the activity is not regular, no registration is required.
Beyond a certain level of production, the activity shifts to the status of a micro-agricultural entrepreneur. We observe that the demand for hyper-local products is increasing, making this lever relevant for owners with sufficient land.
10. Lending your address for the registration of a micro-entrepreneur
Registering your own micro-enterprise at your primary residence avoids the costs of renting a commercial space or using a domiciliation company. Most leases and co-ownership regulations allow this practice if the activity does not generate nuisance or customer reception.
- Check the clauses of your lease or co-ownership regulations before any domiciliation
- Declare the mixed use to your insurer to adjust coverage
- No additional tax is due if the activity remains exclusively administrative
This lever does not generate direct income, but it reduces your fixed business expenses by several hundred euros per year, which effectively increases your saving or investment capacity from your primary residence.
Each primary residence offers different possibilities depending on its location, size, and the owner’s tax profile. The exemption regime of Article 35 bis of the CGI, valid until the end of 2026, remains the most advantageous starting point for those with a free room.
