Finding an accommodation in France is not easy, especially in Paris and its suburb with an extremely tense real estate.
Employees under a trial period face the issue all the more so if the owner has decided to subscribe to a ”GLI – Garantie de Loyers Impayés” (an insurance on unpaid rent).
In France and especially in Paris, more and more landlords/lessors opt for this insurance. For a monthly fee equal to 3% to 6% of the monthly rent, the GLI protects property owners against the risk of unpaid or overdue rent. Many real estate agencies negotiate group rates and resell this insurance to their own customers, which make them the main decision-maker.
To measure the risk of unpaid/overdue rent, strict criteria are defined and they are not negotiable. Among those, the future tenant should have a net salary of 3 times the amount of the rent (including rental charges) and be under a confirmed permanent contract.
Consequently, any employee under a trial period is not a suitable candidate and files of applicants under a trial period are automatically rejected.
This leads to a high number of inaccessible properties to foreign or newly hired employees and although we screen the properties that will be presented to you, the presence of a GLI is not always advertised or even known by the person putting the property on the market.
When no GLI is subscribed to on a property, the following options can facilitate the situation:
All our Relocation Team is available to discuss the best way to make sure your assignees find the property that fit them best!