Furnished rental

Furnished rentals are a particularly popular real estate investment solution among investors. They involve providing accommodation equipped with all the necessary furniture to enable the tenant to move in immediately (bedding, fitted kitchen, basic furniture, etc.).

This type of rental is attractive because it offers higher returns than unfurnished rentals and has tax advantages thanks to the LMNP (non-professional furnished property lessor) and LMP (professional furnished property lessor) schemes.

✅ Advantages for investor

• Higher profitability: rents are generally higher than for unfurnished rentals.

• Tax flexibility: choice between micro-BIC (50% flat-rate allowance) and actual regime (deduction of expenses and depreciation).

• Depreciation of the property and furnishings: often reduces or even eliminates taxation on rents

• Market diversity: students, young professionals, tourist rentals or serviced residences (seniors, nursing homes, business)

• Flexibility: possibility of renting for various durations (short, medium or long term)

👥 The status of a landlord

• LMNP (Non-Professional Furnished Rental):

  Ideal for individuals who want to generate additional income. Rental income remains taxable as BIC (industrial and commercial profits), but the thresholds are accessible and taxation is optimised.

• LMP (Professional Furnished Landlord):

  Reserved for investors whose rental income exceeds £23,000 per year AND represents more than 50% of household income. It offers additional benefits, such as the deduction of losses from overall income and more favourable taxation on capital gains.

🎯 Why invest in furnished rentals?

• Optimise your tax situation while diversifying your assets.

• Meet sustained rental demand, particularly in large student, tourist or dynamic cities.

• Benefit from a scalable strategy: start with LMNP (non-professional furnished letting) to supplement your income, then switch to LMP (professional furnished letting) if the project grows.

• Build up profitable assets that can be passed on in the long term.

  👉 In summary, furnished rentals are a powerful tool for investors seeking to combine profitability, flexibility and tax optimisation. With the right support, they can be used to build an effective asset strategy tailored to different profiles.

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