You may have already heard of it, but the rules regarding rents are going to change radically. This sounds nice, but what exactly changes to the rental price? I’ll put it together for you, but before I do, let’s go back to basics.
How Is the Rental Price Calculated Again?
Rents are calculated using the home valuation system. This is a system in which points are awarded based on housing characteristics such as surface area, energy efficiency and the WOZ value. The total number of points is equal to the highest fair rent for the property. If a higher price is charged, that price is unfair.
Regulated or Free Rental Market? The Rental Price Determines It
The rental market can be divided into the regulated rental market and the free rental market. The difference between these is the degree to which you are protected as a tenant. Tenants in the regulated market are protected against unfair rents and unreasonable rent increases. In addition, they can submit their complaints to the Rent Committee (Huurcommissie), which then makes a binding decision. This does not apply to tenants in the free rental sector. There are no rules for the rent or for rent increases. In addition, tenants in the free rental sector cannot go to the Rent Committee.
Only From a Higher Rental Price There Is a Free Rental Market
The boundary between the regulated rental market and the free rental market is called the ‘liberalization limit’. The liberalization limit is currently set at 142 points. The rent that comes with this is € 808.06. From January 1, 2024, this limit will be increased to 187 points, with a rent of € 1,026.71.
Will Everyone Pay an Unfair Rental Price?
Due to the increase, the regulated rental market will become a lot larger. This means that more tenants are eligible for rent protection. We expect that from 2024 almost all tenants will pay an unfair rent, because few homes are valued with more than 187 points.
Conditions Lower Rental Price
The increase in the liberalization limit will initially only apply to new rental contracts. This means that it is especially important for tenants who will rent a new home from 1 January 2024 to have the rental contract checked by Bumarang.
Energy Labels and Outdoor Spaces More Important for Rental Price
Compared to the current house valuation system, the components of energy efficiency and the presence of an outdoor space will be valued differently from 2024. Homes that are not energy efficient even receive deductions. If your home has an energy label E, F or G, your home performs poorly on energy efficiency. This will lead to deductions and therefore to a lower rental price. If, on the other hand, the house has a garden, extra points are awarded for this.
Restrictions on the Rental Price
The new valuation system also includes a number of restrictions. For example, a high WOZ value alone does not ensure that a home enters the free rental market. The share of the WOZ value in the points calculation is a maximum of 33% if the outcome of the calculation leads to a rent above the liberalization limit. In addition, new-build homes receive a temporary surcharge of 5%, but this surcharge never leads to the home being placed on the free rental market. Surcharge in connection with Protected Townscapes and Villagescapes cannot lead to this either.
Will 2025 Be Even Better for Your Rental Price?
While 2024 will already be a good year for tenant protection in terms of rents, 2025 may be even better. This is because from 2025 it will also be possible for rental contracts from before 2024 to have the rent adjusted based on the new legislation. This means that if you are not eligible in 2024, because your contract already started before 2024, you will still have the option to correct the rent from 2025.
Bumarang already has a list of tenants who will have their rent adjusted from 2025. Do you want this too? Let us check your rental contract and assure yourself of a fair rental price from 2025. You may be wondering whether you are paying an unfair rental price. You can easily calculate this by filling in the Rental Calculator or having Bumarang calculate the fair price.