Parliament approves Fixed-term Rental Contracts Act: Effective July 1, 2024
It’s official; the Fixed-term Rental Contracts Act, which was approved by the Senate in 2023, will come into effect on July 1, 2024.
What does the Fixed-term Rental Contracts Act entail?
From the effective date, the law grants tenants of both independent and non-independent living spaces rental protection from the start of their tenancy agreement. This means landlords will need a legal ground for termination to end the rental agreement. It will no longer be possible to rent out a property temporarily unless it is an owner-occupied home. If you have purchased a property as an investment or do not live there yourself, it will no longer be possible to enter into a fixed-term rental contract from July 1, 2024.
Exceptions to the act
There are some exceptions to the Act.
The "Decree on Specific Groups for Temporary Rental Contracts" lists the exceptions. These groups can still enter into temporary rental agreements of up to two years after July 1, 2024. The rental agreement will then automatically end on the agreed end date, provided the landlord informs the tenant between three months and one month before this end date. The categories are:
Students
Tenants temporarily residing elsewhere due to urgent work or renovation
Urgent housing seekers (declared urgent by the municipality)
Tenants with a second-chance contract
Orphans and survivors
Divorced parents
Tenants working on the Wadden Islands
Permit holders (status holders) from COA reception locations
Knowledge migrants (expats) are not included in the exceptions. This group must also be offered a contract with rental protection directly.
Transitional Law
The Act applies to tenancy agreements concluded on or after July 1, 2024. Tenancy agreements concluded before this date fall under the old regulations.
The possibility of temporary renting was only introduced in 2015. Before this time, fixed contracts with rental protection were always used, something that now becomes the standard again.
Curious what this means for you? Our real estate agents are ready to provide you with more information. Contact us at 023-5329817 or haarlem@koopsmakelaardij.nl.