PTZ. The government is modifying the eligibility conditions for a zero interest loan. Income, ceilings, changes… We tell you everything.
The zero rate loan (PTZ) will go into overtime. While the device was to be buried at the end of 2023, its existence will finally be extended until 2027, it is announced on the side of Matignon. Prime Minister Elisabeth Borne should make it official this Thursday, June 5, 2023, during a press conference. This boost, which mainly targets first-time buyers, has however been shunned for several years. Launched in 1995 by Alain Juppé, the number of PTZs climbed to 123,477 agreements over the year 2017, but has fallen by almost half since then, with only 63,962 PTZs granted in 2022. However, the rules that will govern the system for the next four years will be modified, reducing the eligible properties since only apartments can be purchased with the help of a PTZ. Exit individual houses. A decision criticized in the professional real estate sector. How do I get this state-funded help? What criteria must be met? Our complete guide.
The Zero Rate Loan (PTZ) is a state-assisted loan. You must repay the amount lent to you, but you do not have to pay any application fees, expert fees or, above all, interest. It is free, with a term of 20, 22 or 25 years with a deferred repayment period of 5, 10 or 15 years, during which you pay no monthly installment on the PTZ.
This zero rate loan (PTZ) allows you to finance part of the purchase or construction of your future principal residence. You must also live there quickly apart from within the framework of certain derogations. Also, you must apply for the PTZ in addition to at least one other loan, for example a social home loan (PAS) or an approved loan, a classic bank mortgage, a home savings loan, or an additional loan. The zero-rate loan thus appears as a replacement for the personal contribution for those who do not have savings available during a purchase.
To obtain a PTZ, your income must not exceed a maximum amount. This amount depends on the location of the accommodation. In general, you must not have owned your home in the last two years.
With the reform of the zero-rate loan, the government has modified the real estate purchase projects that may be eligible for the PTZ. Thus, from now on, only the purchase of a new apartment in a “tense zone” (the list of all the municipalities concerned can be found by clicking here) or an “old dwelling subject to renovation” in a relaxed zone (the rest of the communes not being registered in the decree), will make it possible to obtain a PTZ.
First of all, obtaining the PTZ is subject to income conditions. These must not exceed a maximum amount. It depends on the number of people to be accommodated and the area of ??your future accommodation. The amount of income to be taken into account corresponds to the total of the reference tax income of the borrower and of the other people who will live in the accommodation (when they are not fiscally attached to the borrower).
The tax income to be taken into account is that of year N-2 (for a PTZ application in 2023, this is the reference tax income for 2020, entered on the 2022 tax notice). If you have income from abroad, they must be taken into account. You will have to provide supporting documents when applying for PTZ.
Then, to obtain a PTZ, living conditions exist. You must not have owned your primary residence in the two years prior to the PTZ. However, this condition does not apply if you are in one of the following situations:
Also, the accommodation purchased with the PTZ must become your main residence no later than one year after the end of the work or the purchase. You are prohibited from renting out the accommodation purchased with a PTZ for six years following the payment of the loan.
Since 2015, it has been possible to request a zero-interest loan for the acquisition of an old home and the carrying out of work (energy renovation or improvement). Please note, this must be located exclusively in zone B2 or C. Also bear in mind that the work must represent 25% of the total amount of the operation. For example, if the amount of your operation is 180,000 euros, the work must count for at least 45,000 euros (180,000 x 25%).
Mainly set up to help with the acquisition of new housing, the zero-rate loan can only be obtained in this context if the income of the applicant for a loan does not exceed these sums:
The different amounts granted by the zero-rate loan scheme vary depending on the area in which the home is located. For this, the government has divided the territory into five large areas:
To be certain of the zone in which the municipality that concerns you for your project is located, an official simulator has been set up and allows you to find the answer for each city, by clicking here.
The zero-rate loan is distributed by banks that have signed an agreement with the State. That is to say almost all banks. You can also choose the establishment of your choice. Check with your bank to find out if it distributes the PTZ. Each establishment freely assesses your ability to repay a loan (what is called your creditworthiness) and your guarantees. The establishment is not obliged to grant you the PTZ.
It can be difficult to calculate the potential amount of your zero-rate loan yourself. In order to check your eligibility and know the amount of your loan, for a targeted operation, you can carry out a simulation on the Internet. Go now to the website of the National Agency for Information on Housing ANIL, here. You will then need to enter several pieces of information:
You then obtain an estimate of the maximum amount of the PTZ depending on the nature of the accommodation, the repayment period, etc. Don’t take the result at face value. “The above results are communicated for information only”, recalls the ANIL on its website. “For any further clarification, contact your ADIL”.
To determine the amount of the zero-rate loan, a percentage is applied to the total cost of the operation (all taxes included), within the limits of certain ceilings. The cost of the operation takes into account the amount of the construction or purchase and the negotiation fees. Notary fees are not included. The percentage applied to these maximum transaction amounts depends on the type of accommodation.
For new housing, this percentage is 40% in tense areas and 20% in relaxed areas. Here are the operating cost ceilings used, depending on the location of the accommodation and the number of people intended to occupy it:
For old housing, it is 40% of the cost of the operation in zones B2 and C (as a reminder, old housing located in tight areas is no longer eligible for the PTZ). Here is the maximum total amount of the PTZ for an old dwelling:
The works must represent at least 25% of the total cost of the operation to be financed. Work should not begin before obtaining the PTZ. It could be :
To obtain the PTZ, you must provide a sworn statement (buyer), an estimate of the work and proof of the work carried out at the end of the work.
Can you rent a home you acquired with a zero interest loan? It all depends on when the PTZ was granted to you. For a loan granted before 2016, it is possible to rent out your property beyond the six years following the date of payment of the loan and if the loan has been fully repaid. Be careful, you cannot rent it if the loan is not yet repaid. For a loan granted since 2016, it is not possible to rent out your property within six years of the date of payment of the loan. Only situations can be exceptions:
If you are in one of the cases mentioned above, remember that the tenancy should not last more than six years. Your accommodation must be rented as a main residence and not as a second home or furnished tourist accommodation.
The repayment period of the PTZ depends on the income conditions of the loan applicant, the composition of the accommodation and its geographical location. The maximum repayment term is 25 years. The higher the income of the loan recipient, the shorter the term of the loan. However, it is always spread over two periods: a deferred period during which the beneficiary does not repay his PTZ (for 5, 10 or 15 years, depending on the situation) and a loan repayment period, which follows the deferred period. .
