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Investing in the French Overseas Territories

The French overseas territories combine tight real estate markets, massive housing needs and tax incentives unique in France, but also specific legal rules and fast-changing schemes: the overseas Pinel scheme ended at the close of 2024, the Girardin scheme is subject to strict conditions, and securing property title remains a major issue in Mayotte and French Guiana. This Briveo guide sets out the stable principles (the appeal of overseas markets, how the Girardin scheme works, the legal specifics of buying, how to read prices, an overview of tax incentives) and systematically refers you to the official texts to check the scheme and the scale in force in the year of your investment.

All questions

Why and how should you invest in real estate in the French overseas territories?

Investing in the French overseas territories lets you target strong rental demand, markets with a structural housing shortage and specific tax incentives, in exchange for particular risks: remoteness, higher construction costs, natural hazards and sometimes complex land-title security. The applicable tax rules depend on the territory (DROM or COM) and change every year.

How does the Girardin tax-reduction scheme work in the French overseas territories?

The Girardin scheme is a "one-shot" tax reduction: you contribute funds to an overseas project (productive equipment or social housing) and obtain, for the year of the investment, a tax reduction greater than your contribution. In return, the advantage may be clawed back over about five years if the arrangement fails.

What are the legal specifics of a real estate purchase in the French overseas territories?

A real estate purchase in the overseas territories follows the general law (preliminary agreement, notary, land registration), with local particularities: long-standing succession co-ownership made easier to exit by the law of December 27, 2018, property titling still incomplete in Mayotte and French Guiana, and the fifty geometric paces zone on the Antillean coast.

Which tax-reduction schemes apply to a rental investment in the French overseas territories?

Overseas tax incentives rest on tax reductions and credits under the CGI (Articles 199 undecies A to C, 244 quater W to Y), supplemented by general-law regimes such as the LMNP (non-professional furnished rental) or property deficit. The list changes with each budget act: the overseas Pinel scheme thus ended at the close of 2024.

How can you find out real estate prices in the French overseas territories?

Overseas real estate prices are checked with the DVF database (impots.gouv.fr, sales data for the last five years), available in Guadeloupe, Martinique, French Guiana and Réunion, but not in Mayotte or the Pacific collectivities. Supplement it with notarial data and local housing observatories.

Does the overseas Pinel scheme still exist?

No: the Pinel scheme, including its overseas version, ended for acquisitions and constructions after December 31, 2024 (Article 199 novovicies of the CGI). Investments already made keep their tax reduction until the end of the rental commitment. No direct successor exists: check the schemes open for the current year.

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Investing in the French overseas territories: real estate and tax guide