Corporate Housing vs Traditional Lease: Owner's Guide
Owners of furnished apartments in France now face a choice that barely existed ten years ago: rent to a household for years, or rent to companies for months.
Tourist rentals have become harder and less attractive, and demand from relocating executives keeps growing. This guide compares corporate housing vs a traditional lease from the owner's point of view: the legal options, the money, the risks and the practical questions, so you can decide what fits your property.
The Four Options for a Furnished Home
1. Classic furnished lease
The standard lease for a tenant's main home: one year, renewed automatically (nine months for a student). The tenant can leave at any time with one month's notice; the owner can only end it at the term, for a legal reason and with notice. A deposit of up to two months' rent (excluding charges) is allowed.
2. Bail mobilité
A furnished lease of one to ten months, for tenants on a training course, studies, an internship, civic service, a professional transfer or a temporary assignment. No deposit is allowed, charges are a monthly flat rate, and the lease ends at its term without notice from the owner. Our full guide: the French bail mobilité.
3. Company lease (bail civil)
When a company rents the home to house a member of its staff, the lease generally falls outside the 1989 tenancy law and is governed by the Civil Code: duration, notice and deposit are negotiated. It must reflect a real company tenancy; courts reclassify leases that are in fact an individual's main home.
4. Tourist rental
Short stays for visitors. This option has become much more restricted: limits on the number of nights for a main home (communes in high-demand areas can lower it from 120 to 90 nights a year since 2025), change-of-use authorisations for second homes in many cities, and a less favourable tax regime since the 2024 Le Meur Law.
Side-by-Side Comparison
Classic furnished lease
Bail mobilité
| Company lease | Tenant | Individual |
|---|---|---|
| Individual in an eligible situation | Company | Duration |
| 1 year, renewable | 1–10 months, not renewable | Negotiated |
| Deposit | Up to 2 months' rent | Forbidden |
| Negotiated | Owner ends the lease | At term, legal reason only |
| At term, automatically | Per contract | Rent control |
| Applies where in force | Applies where in force | Generally not applicable |
| Vacancy risk | Low while the tenant stays | Gaps between assignments |
| Depends on the contract | Wear and tear | Normal |
| Higher turnover | Depends on occupancy | Rent control status as of November 2026: the national scheme was due to end on 23 November 2026 unless Parliament extends it. |
The Money Side
- Rent levels. Furnished corporate homes are often rented at a premium for the furniture, equipment and flexibility, but local rent ceilings still apply to residential leases where rent control is in force.
- Vacancy. Short leases mean gaps. A partner with steady corporate demand reduces them.
- Tax. The 2024 Le Meur Law cut the flat-rate allowance for tourist rentals from 2025 income. Furnished leases for a main home, including the bail mobilité, were not affected by that change. Tax rules evolve every year: check your situation with an accountant.
- Energy rating. Since 1 January 2025, homes rated G on the energy performance certificate (DPE) can no longer be rented under a new residential lease, including a bail mobilité.
What Corporate Tenants Expect
- A fully furnished home, ready to live in, with reliable fibre internet
- A professional check-in and check-out, with a detailed inventory
- Fast responses to maintenance issues
- Clear rules on cleaning, linen and pets
- Monthly invoicing and clean paperwork
Owner's Checklist
- Property furnished to legal standards for a furnished let
- Energy rating above G
- Rent checked against local ceilings where they apply
- Building rules (règlement de copropriété) allow furnished residential lettings
- Insurance adapted to furnished lettings
- Lease type chosen for the target tenant
- Inventory and check-in process ready
The Practical Side of Renting to Companies
Furnishing. A furnished home must include the items required by law for a furnished let. Corporate tenants also expect quality: a proper workspace, good beds, a fully equipped kitchen and reliable internet.
Check-in and check-out. A detailed inventory and condition report protect both sides, especially with more frequent changes of occupant.
Maintenance. Corporate tenants and their employers expect quick responses. Decide who handles call-outs and how fast.
Paperwork. Companies need clear invoices and contracts that match their internal policies. A partner used to corporate clients makes this easier.
Common Mistakes Owners Make
Using a company lease for an individual. If the occupant is really the tenant and the home is their main residence, the lease can be reclassified as a residential lease, with all its protections.
Renting a G-rated home. Since 2025, it cannot be let under a new residential lease.
Ignoring local rent ceilings. Where rent control is in force, it applies to the bail mobilité as well as to classic leases.
Underestimating turnover. More frequent check-ins mean more cleaning, more wear and more coordination. Price it in.
Mixing tourist and residential use without checking the rules. Night limits, authorisations and tax rules differ, and many cities enforce them strictly.
How Le Mendèlle Works With Owners
Le Mendèlle places relocating executives and their families in furnished homes across France and works with owners who want to rent to corporate clients. If you own a furnished property, you can present it through the "Entrust My Property" form on our website. See also how corporate tenants approach short-term executive apartments.
FAQ
Is corporate housing more profitable than a traditional lease?
It can be, thanks to higher rents for furnished, flexible homes, but vacancy between assignments and higher turnover must be factored in.
Can a company sign a lease for its employee?
Yes, through a company lease governed by the Civil Code, when the company is genuinely the tenant.
Does rent control apply to corporate housing?
It applies to residential leases, including the bail mobilité, in cities where it is in force. A genuine company lease generally falls outside it.
Can I rent my apartment on a bail mobilité and as a tourist rental?
They are different regimes with different rules. Tourist rentals face night limits, authorisations and stricter tax treatment; check your city's rules first.
Can a G-rated home be let to a corporate tenant?
Not under a new residential lease, including a bail mobilité: since 2025, G-rated homes are considered unfit for new lettings.
Sources: Service-Public.fr – Bail mobilité · Légifrance – Law No. 89-462 of 6 July 1989
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