In summary…
The Pinel scheme ended at the end of 2024; the Jeanbrun scheme (2026 Finance Law, "private landlord status") replaces it with a radically different approach: instead of a flat-rate tax reduction, you DEPRECIATE the property—as with furnished rentals (LMNP), but unfurnished. Combined with Intermediate Rental Housing (LLI), you benefit from a reduced VAT rate of 10% instead of 20% and a 20-year property tax exemption. The simulator calculates the deductible depreciation, the tax savings over 9 years, and the total benefit of combining these schemes.
- Depreciation from 3 % to 5.5 %/year of 80 % of the price, deducted from your property income (IR + 17.2 % of PS)
- LLI VAT at 10 % instead of 20 % on eligible new properties + 20-year property tax exemption (tax credit)
- Jeanbrun + LLI combination via a SCI à l'IR — 9-year lease commitment, acquisitions 2026-2028
Simulate your Jeanbrun + LLI investment
Enter the price, the target rent level (intermediate/social/very social), the type of property, and your marginal tax rate. The simulator applies the depreciation rates and ceilings of the 2026 Finance Law. Your data is neither stored nor transmitted.
Jeanbrun & LLI Simulator
Calculate the deductible depreciation of the Jeanbrun scheme and the advantages of Intermediate Rental Housing (VAT 10 %, property tax credit) — the successor to Pinel.
Results are provided for illustrative and educational purposes only, based on the parameters entered and simplified assumptions (2026 tax year, constant return, excluding inflation). They do not constitute personalized investment advice, tax advice, or an offer to subscribe. Some investments carry a risk of capital loss. Before making any decision, consult an advisor.
Why Jeanbrun is a game changer after the end of the Pinel scheme
The Pinel scheme offered a fixed tax reduction (up to 14% of the price, capped at €300,000) in exchange for a commitment to rent the property at a capped rent. It ended on December 31, 2024, leaving investment in new rental properties without a dedicated support mechanism.
The Jeanbrun scheme, introduced by the 2026 Finance Law and effective February 21, 2026, reverses the logic: there is no longer a direct tax reduction, but rather the possibility of depreciating the building—that is, deducting a portion of the property's price from your rental income each year, exactly as a landlord renting furnished accommodation (LMNP), but with unfurnished rentals. This depreciation is in addition to the deduction of actual expenses (loan interest, property tax, renovations).
The benefit is twofold: the advantage is tied to your marginal tax rate (the higher it is, the greater the tax benefit) and it also applies to the 17.2% social security contributions levied on rental income. This is reserved for apartments in multi-unit buildings, new or renovated older properties, with a minimum rental commitment of 9 years.
The 3 levers of the Jeanbrun + LLI combination
Lever 1: Depreciation, aligned with your tax bracket
The annual depreciation is calculated as 80% of the purchase price (the land, approximately 20%, is not depreciable) multiplied by a rate of 3% to 5.5% depending on the rent level and whether the property is new or renovated, up to a limit of €8,000 (intermediate), €10,000 (social housing), or €12,000 (very low-income housing) per year. This amount is deducted from your rental income: at a marginal tax rate of 41%, €11,000 in depreciation generates €6,510 in annual savings after social security contributions.
Lever 2: VAT at 10 % of the LLI
By purchasing a new property eligible for Intermediate Rental Housing (in high-demand areas A bis, A and B1, subject to rent and tenant income ceilings), the VAT is reduced to 10% instead of 20%. On a pre-tax price of €270,000, the VAT savings amount to approximately €27,000 — an immediate gain at the time of purchase, even before any tax implications.
Lever 3: 20 years without property tax
The LLI (Low-Income Loan) entitles you to a tax credit that offsets property tax for 20 years. For a property tax of €1,200/year, this represents €24,000 in cumulative savings over time — direct support for cash flow, year after year.
Case study: Claire, 44 years old, senior executive in Lyon (TMI 41 %)
Claire buys a brand new apartment for €300,000 in zone A, rented at the intermediate level, through a SCI (real estate investment company) taxed under the personal income tax regime to combine the Jeanbrun depreciation allowance and the LLI (rental lease). Here's what the simulator projects:
| Job | Amount | Over time |
|---|---|---|
| Deductible depreciation / year | €8,400 (capped at €8,000) | €72,000 over 9 years |
| Tax savings / year (TMI 41 % + 17.2 %) | ≈ €4,656 | ≈ €41,900 over 9 years |
| Reduced VAT LLI (10 % instead of 20 %) | — | ≈ €27,270 (immediate) |
| Property tax credit (20 years) | €1,200/year | 24 000 € |
Indicative estimate — the depreciation saving assumes sufficient property income to offset it.
The total cumulative tax benefit approaches €93,000 over time, without any one-off tax reductions but through a stream of recurring savings perfectly aligned with Claire's marginal tax bracket. This is exactly the profile that Jeanbrun favors: taxpayers with a high marginal tax rate investing in new construction in high-demand areas.
A powerful but technical device that needs structuring.
The Jeanbrun + LLI combination requires careful planning: choosing the right SCI taxed under the personal income tax regime (essential for depreciation), adhering to the rent and income limits of the LLI scheme, selecting an eligible program in a high-demand area, and coordinating it with your existing debt and property taxes. A structuring error (SCI taxed under the corporate income tax regime, ineligible area, rent exceeding the limit) will negate the benefits.
Balmont Conseil is an objective wealth management firm and a member of ANACOFI. Start your simulation above, then let's make an appointment to structure your operation and verify your eligibility.
Frequently Asked Questions
Does the Jeanbrun scheme really replace the Pinel scheme?
Yes. The Pinel scheme ended on December 31, 2024. The Jeanbrun scheme, introduced by the 2026 Finance Law (in effect since February 21, 2026), takes over with a different mechanism: instead of a flat-rate tax reduction, the property's depreciation is deducted from rental income. Acquisitions are eligible from February 21, 2026, to December 31, 2028.
How does Jeanbrun depreciation work?
80% of the price (the building; the land, approximately 20%, is excluded) is depreciated at an annual rate of 3% to 5.5% depending on the rent level (intermediate/social/very social) and whether the property is new or renovated, capped at €8,000, €10,000, or €12,000 per year. This depreciation is deducted from your rental income, in addition to actual expenses, and reduces both your income tax (at your marginal tax rate) and your social security contributions by 17.2%.
What is LLI and what is required to combine it with Jeanbrun?
Intermediate Rental Housing (LLI) targets new, moderately rented housing in high-demand areas (A bis, A, B1). It offers a reduced VAT rate of 10% instead of 20% and a property tax exemption through a tax credit over 20 years, in exchange for rent and tenant income ceilings. To combine LLI with the Jeanbrun depreciation scheme, the investment must be made through a company (typically a French SCI) subject to personal income tax (IR), not corporate income tax (IS).
Who is this system primarily intended for?
For high-income taxpayers (TMI 41 % or 45 %) who invest in new-build properties in high-demand areas and agree to a 9-year lease with capped rent, the advantage is greater when depreciation is deducted from rental income. This benefit is further amplified by higher marginal tax rates and existing rental income to offset. In the event of early termination of the lease, the deducted depreciation is reinstated.
This is an indicative simulation based on the rules of the 2026 Finance Law (Jeanbrun scheme / private landlord status) and Intermediate Rental Housing, as of the date of publication. Rates, ceilings, and conditions (zoning, rent and income ceilings, program eligibility) are subject to change and must be verified on a case-by-case basis. This does not constitute tax advice or an offer. Depreciation savings require sufficient rental income to qualify. Before making any decisions, consult an advisor.
