Renters & Property Investors: Changes in Rental Contracts

26 February 2025

Egle Kemezyte

Growth Marketer

Are you a landlord or landlady, or do you plan to buy an investment property in the Netherlands? It is good to know that as of July 2024, the Permanent Rental Contracts Act has been introduced to provide better tenant protection.

Furthermore, the point system has been introduced to regular prices in the mid-segment, and you can learn more about it in our blog here.

Rent and temporary contracts in the Netherlands

Since July 1, 2024, landlords must immediately provide tenants with a permanent rental contract. This requirement applies to both private landlords and housing corporations. This legal change aims to offer tenants greater certainty regarding their housing arrangements.

What has changed?

The option to sign a temporary lease—previously up to two years for independent living spaces and up to five years for non-independent spaces—is no longer allowed. Under the new law, all rental agreements are now assumed to be indefinite unless a specific exception applies. However, such exceptions are rare and must meet strict legal requirements.

Exceptions to temporary rental agreements

Certain individuals can still sign temporary rental agreements of up to two years, such as students, temporary workers, and tenants who need to relocate due to renovations or new construction.

Conditions for termination of fixed rental contracts

Additionally, there are several situations where a fixed rental contract can still be terminated under specific conditions, for example:

Renting a temporarily vacant home, such as one for sale where the owner has moved out, with permission from the municipality under the Vacancy Act.
Renting a home from someone temporarily absent, like during a long trip or work abroad, is an intermediate lease or diplomatic clause with agreed-upon start and end dates.
Having a target group contract, such as renting a student room. If you cease to be a student, your rental agreement may end.
Living as a landlady in the same home as your landlord, sharing common facilities.
Renting a home for a short period, like a holiday home.

Are you planning to get a buy-to-let mortgage and need guidance? Not sure where to start or how these regulations affect your situation? Schedule a free call with our mortgage specialists today!

Are you planning to buy a rental property and looking for an investor mortgage?

Schedule a free introductory call with our mortgage specialist to understand your mortgage options in the Netherlands.