Owner Buyout Simulator
Owner Buy Out — Optimize your wealth by selling to your own company
Real estate OBO allows selling a property to your own company to release cash, optimize taxation and prepare wealth transmission.
Understanding OBO (Owner Buy Out)
Understanding OBO (Owner Buy Out)
Real estate OBO (Owner Buy Out) is a wealth optimization technique that involves selling a property to a company you control (SCI, SAS, SARL). This operation allows you to release cash, optimize taxation and prepare the transmission of your wealth.
OBO operation diagram
You (owner)
Property holder in personal name
Sale
Your company
SCI with IS, SAS or SARL
Rental
You (tenant)
You rent the property from your company
The 4 main objectives of OBO
Recover cash by selling the property while retaining use through rental.
Switch from IR (up to 45%) to IS (25%) and depreciate the property.
Reduce IFI base as only the net value of shares is taxable.
Facilitate donation of shares rather than real estate.
OBO advantages
- Cash-out: Recover liquidity without selling to a third party
- Depreciation: Deduct property wear at IS
- Leverage effect: Finance purchase through bank loan
- Purified capital gain: Allowances for holding period
- Facilitated transmission: Donation of company shares
Points of attention
- Abuse of law: Operation must have a real economic purpose
- Sale price: Must correspond to market value
- Market rent: Rent must be at market price
- Fees: Registration fees, notary, expert
- IS on resale: Professional capital gain taxed
Important: Secure your operation
To avoid any risk of requalification by the tax administration, be accompanied by a notary, an accountant and possibly a tax lawyer. The total cost of fees (5-8% of the price) must be included in your profitability calculation.
Related Tools
Continue your simulation with our other free calculators