Top 5 differences between Airbnb, the Civil Code, and the 1989 Act

Airbnb, Civil Code lease, 1989 Act lease: 5 decisive differences for your rental in Paris

Three rental regimes coexist in France, and the majority of Parisian landlords genuinely only know one of them — usually the classic 1989 Act lease, because that is what their own landlord signed when they were tenants. However, the choice between a short-term rental like Airbnb, a Civil Code lease, or a 1989 Act lease conditions everything: the monthly rent, the level of risk, the applicable taxation, and now, the very legality of your rental.

In 2026, this choice is no longer a matter of preference: it is a strategic decision that deserves to be made knowingly. Here are the five differences that really matter — the ones that mean an identical property can generate from single to double depending on the chosen regime.

1. The legal framework — and what it actually allows

This is the entry point, the one that determines whether or not you have the right to use the regime you are considering.

The 1989 Act lease is governed by the law of July 6, 1989. This is the "classic lease" for a primary residence, unfurnished or furnished, signed for three years (six years for a legal entity) unfurnished, or one year furnished. The tenant occupies the accommodation as their primary residence. This regime applies everywhere, without any specific conditions related to the city.

The Civil Code lease, or common law lease, is governed by articles 1708 et seq. of the Civil Code. It escapes the 1989 Act because the accommodation is not the tenant's primary residence. The durations are free, negotiable between the parties — generally a few months to two years. It specifically targets executives in professional mobility, expatriates, diplomats, researchers on a mission, families in transition, or companies housing their employees.

Short-term tourist rentals (Airbnb regime) are governed by the Tourism Code and, in Paris, by particularly strict municipal regulations. Rentals of a primary residence are capped at 90 days per year since 2025. Renting out a secondary residence requires prior authorization for change of use, with compensation, the cost of which ranges between €1,000 and €3,000 per square meter in central districts. Fines can reach up to €100,000 per accommodation in case of infringement.

2. Monthly rent — and what you actually receive

This is the most tangible difference for a landlord.

Under unfurnished 1989 Act, Parisian rent is strictly regulated: it cannot exceed the increased reference rent set by prefectural decree. The lease lasts for a renewable three years, and the annual revision follows the IRL (Rent Reference Index). It is a regular but capped income.

Under furnished 1989 Act, the rent remains subject to rent control, but the rent supplement for exceptional characteristics is more easily justifiable, and the furnished segment allows for capturing an average of 10 to 15% more than an equivalent unfurnished property.

Under a Civil Code lease, Parisian rent control does not apply. The rent is set at the market price of the target audience — an audience that willingly pays a premium for flexibility because they do not intend to settle long-term. On the same property, switching from a furnished 1989 Act lease to a Civil Code lease frequently represents 20 to 30% additional rent.

Under Airbnb, the theoretical gross income is even higher, but it must be adjusted: occupancy rates rarely exceed 65% over the year in Paris, platform commissions, cleaning fees between stays, laundry, and energy included in the rate. The net profitability per square meter, once these costs are deducted and the management effort is integrated, is not systematically higher than that of a well-positioned Civil Code lease.

3. Taxation — which is changing profoundly in 2026

All furnished rentals fall under the industrial and commercial profits (BIC) tax category. However, the treatment differs radically depending on the rental regime.

For a furnished 1989 Act lease (the tenant's primary residence), the micro-BIC remains advantageous: a standard tax allowance of 50%, with the ceiling maintained at €77,700 in annual revenue. The LMNP (non-professional furnished landlord) status under actual expenses also remains fully usable, with property depreciation and the deduction of all expenses.

For a Civil Code lease, the tax treatment is identical to long-term furnished rentals — it is a furnished rental that does not fall under tourist rentals. You therefore benefit from the same LMNP framework, with operational flexibility on top.

For an unclassified tourist furnished rental (standard Airbnb), the micro-BIC reform resulting from the law of November 19, 2024, has profoundly changed the situation: the tax allowance has dropped to 30% and the ceiling to €15,000 in annual revenue. Beyond that, the actual expenses regime applies — which has real tax benefits, but comes with an obligation of furnished rental accounting. Classified furnished rentals retain more favorable treatment (50% allowance up to €77,700), but classification involves a process, a cost, and compliance with quality criteria.

4. The level of risk — and operational control

The 1989 Act lease strongly protects the tenant. This is its historical purpose. Notice period reduced to one month in high-demand areas, right to remain in the property, and eviction procedures that frequently stretch over eighteen to thirty months in Paris. It is the most rigid regime from the landlord's point of view — and one where a bad tenant file can cost the most.

The Civil Code lease is freely negotiated. Its duration is fixed in advance, and its term is final. Upon expiry, the tenant vacates the property without any formal procedure. The risk of unpaid rent exists, but a more rigorous selection of the target audience — companies, expatriates, files pre-screened by relocation services — reduces it considerably. This is the regime that best combines yield and risk management, provided you know how to capture the right clientele.

The Airbnb regime presents a unique risk profile: no tenant in place, so no classic risk of unpaid rent, but daily operational exposure (cancellations, damage, conflicts with guests, check-in/check-out management, cleaning) and now a major regulatory risk. A co-ownership association that bans tourist rentals, neighbors who file complaints or "sabotage" your rental, a inspection by the Municipal Brigade: these events have become frequent in Paris in 2026.

5. The profile of landlord that each regime serves

The last criterion is most often neglected, even though it should guide the choice from the start.

The 1989 Act lease is suitable for landlords who prioritize absolute regularity, do not want to manage frequent turnover, and whose property matches a demand for a primary residence (families, young active professionals with open-ended contracts, students for studios). This is the regime of peace of mind, provided you have an excellent tenant file.

The Civil Code lease is suitable for landlords who own a property that matches corporate and expatriate demand — central or well-served location, high-quality amenities, premium furnishings — and who accept a turnover every six to twenty-four months in exchange for a higher rent. This is an under-utilized regime in Paris: most eligible landlords are unaware of it, even though it often represents the best risk/yield compromise on the market.

Airbnb is now suitable for a very restricted profile: landlords who occasionally rent out their primary residence (within the 90-day limit), or owners of secondary residences who have obtained a change of use with compensation — a heavy initial investment. For the vast majority of Parisian landlords in 2026, the Airbnb regime is no longer economically justified compared to the other two options.

Choosing the right regime means choosing the right profitability

There is no single best regime in absolute terms — there is a regime tailored to your property, your tax situation, your risk tolerance, and your availability. A 25 m² studio in the 11th arrondissement, a multi-room Haussmann apartment on Rue de Rivoli, and a furnished two-bedroom near La Défense do not call for the same rental strategy.

This diagnostic must be done beforehand, not after signing a lease you might regret. This is precisely the work that a specialized rental management agency must deliver before any commitment: analyze the property, identify the most profitable target, and determine the regime that maximizes net yield.

Hesitating between short, medium, and long-term for your Parisian property? BAUVAUT operates all three rental regimes and assists you in choosing the most efficient one for your situation. Request your valuation and personalized recommendation — with no obligation.