By Ruben Brami

As summer draws to a close and economic uncertainty persists, it’s time to take a look at recent changes that could impact your personal finances. To help you avoid hasty decisions and better structure your assets, here are 8 recent developments that could affect you.

1. Lower interest rates on mortgages
Conditions on mortgages are improving slightly. In July 2024, the average interest rate was 3.62%, compared with 4.24% last December. This decline, while still modest, could help revitalize a real estate market that is currently in difficulty.

2. Mandatory investment in non-listed assets for new PERs
From October 2024, retirement savings plans (PERs) will have to include a minimum proportion of non-listed investments. Managers will have to allocate at least 4% for balanced profiles and 8% for dynamic profiles to assets such as private equity. An exception will be made for free management investors. This reform aims to diversify investments by supporting sectors less accessible to traditional investors.

3. Rent control extended in high-demand areas
The rent control system, renewed until July 2025, continues to limit rent increases in cities where demand is high. This measure applies to both furnished and unfurnished accommodation, except in the case of renovation. Paris remains one of the main cities concerned by this regulation, with a recent adjustment to rent ceilings.

4. New possibilities for early unlocking of employee savings
Since July 2024, three new options have enabled employees to unlock their employee savings invested in a PEE plan early (energy-efficient renovation of the main residence, activity as a family carer and purchase of an own vehicle). In addition, the ceilings for employer contributions to collective retirement savings plans have been raised, offering greater flexibility to savers while reinforcing responsible investment.

5. Revision of Diagnostic de Performance Énergétique (DPE) criteria
Since July 2024, smaller properties have benefited from a revision of DPE thresholds. This means that some homes under 40 m² can change energy class, a development eagerly awaited by the real estate industry. This measure improves the value of these properties and makes them more attractive to investors.

6. Stable Livret A rates and lower LEP rates
From August 1, 2024, Livret A and LDDS rates remain unchanged at 3% until February 2025. The Livret d’Epargne Populaire (LEP) rate, meanwhile, has been reduced from 5% to 4%. Despite this reduction, the LEP remains one of the most advantageous savings products for modest-income households.

7. Increased property tax for certain second homes
Owners of second homes in tourist areas could see an increase in their property tax. This year, an additional 2,500 communes will be able to apply this increase, particularly in high-demand areas.

8. Insolvency of a Luxembourg life insurer
In August 2024, the ACPR declared the insolvency of FWU Life Insurance Lux S.A., a Luxembourg life insurer. Around 30,000 French policyholders are affected by this insolvency, a reminder that foreign life insurances are not necessarily safer than French products.