Affordable Rent Law: the key points summarized

The Housing Valuation System (WWS) is on the verge of undergoing significant changes, with direct implications for landlords in the Netherlands. The new legislation, known as the Affordable Rent Act, is part of a broader legislative proposal and includes an amendment to the Dutch Civil Code. This law sets out the maximum allowable rent for rental properties, including social housing, mid-segment rentals, and the private rental sector. Vragen aan ChatGPT

The municipality will take on a supervisory role, and private landlords may face fines if they do not comply with the maximum rent cap. The law is expected to come into effect on July 1, 2024, although different provisions may enter into force at various times—such as January 1, 2025 or July 2025, depending on the specific regulation. The Implementation Act on Residential Rent Prices and other laws have been amended to enable regulation of middle‑segment rents. The WOZ valuation and service charges are factors in determining the maximum allowable rent.

This new legislation brings greater clarity to private landlords, including those renting student rooms and unlicensed dwellings. Tenants and landlords must be aware of the rules that apply to their rental agreements; if the rent is incorrect, an adjustment to the legal maximum may be demanded immediately. The law applies to both existing and new rental contracts, and covers all rental housing, including social housing, middle‑segment rent, and the free‑market sector. Under the new points‑based system, an accurate calculation of the maximum rent becomes essential.

Introduction of a Middle‑Segment Rent Category

With the introduction of the middle‑segment rent bracket, Dutch housing policy enters a new chapter. The liberalization threshold is raised to 187 points, meaning the Housing Valuation System (WWS) is now used to determine rent prices across different types of rental housing. The middle‑rent regulation ensures affordable rents in the mid‑segment and offers stronger tenant protection.

There are now three clearly defined categories:

  • Social rent: 0–140 points — strictly regulated to provide affordable housing for lower-income tenants.
  • Middle rent: 141–186 points — regulated to keep rents reasonable for middle-income tenants.
  • Free sector: 187 points and above — rent is fully market-driven.

For the first two categories, a legal maximum rent now applies, based on the WWS point total. WOZ valuation plays a significant role in determining this maximum.


Mandatory Use of the WWS Point System

One of the major changes brought by the Affordable Rent Act is that the WWS becomes mandatory. Landlords are legally required to comply with the maximum rent based on the point count. The implementation law defines the obligations and procedures for all rental contracts.


Concrete Changes in Practice:

  • Mandatory point scoring at the start of the tenancy: Landlords must provide tenants with a WWS points breakdown at the beginning of the lease, clarifying the factors that influence the rent.
  • Supervision and enforcement: Tenants can now report suspected rent overcharges directly to the Rent Tribunal (Huurcommissie), which can retroactively reduce the rent. They may also contest service charges.
  • Fines for landlords: Deliberately overcharging rent or ignoring WWS rules may result in a fine of up to €22,500 per dwelling.
  • Municipal oversight: Municipalities may proactively enforce limits on excessive rents under the new legislation. The WWS is no longer advisory—it is now binding for the majority of the market, applying to both existing and new contracts.

Energy Performance: Sustainability Matters

Another key development is the linkage between energy performance and WWS point scoring. From July 1, 2024, a property’s energy label and WOZ value play a greater role in calculating the maximum rent.

  • Properties with energy label A or higher receive extra WWS points, allowing a higher rent within legal limits.
  • Properties with poor labels (E, F, or G) receive fewer points, reducing their permissible rent.
  • ​If there is no energy label, the year of construction is used—often resulting in fewer points and a lower allowable rent.

This means sustainability investments are rewarded: good energy labels result in higher WWS scores, make properties more attractive to tenants, and allow for higher rent under the rules. Securing a valid energy label before the lease begins is essential.


Tenant Protection and Rent Reductions

Under the Affordable Rent Act, tenants have greater protection against excessive rent—especially in the middle segment. If rent exceeds the legal maximum based on WWS scoring, tenants can:

  • Lodge a complaint with the Huurcommissie within 6 months of contract start.
  • Request a rent reduction to the legally allowed level.
  • ​Possibly recover overpaid rent retroactively.

In some cases, an immediate rent adjustment may be demanded—even for existing contracts—if the rent does not align with the WWS score or current regulations. Tenants may also file disputes if an energy label is missing or incorrect. Landlords must therefore keep all documentation, scoring calculations, and validation accurate at lease start.


Exceptions & Special Cases

Some exceptions apply:

  • Furnished units may charge up to 20% additional rent above the base rent—only if clearly justified and specified in the contract.
  • Short‑stay rentals (less than 6 months) are not covered by WWS, although local authorities are increasingly scrutinizing them.
  • Care housing, student complexes, and room rentals may fall under specific rules; WWS application varies by tenancy type and target group.

Note: Regulations also apply to student rooms and unlicensed accommodations. Private landlords must comply regardless of contract type. Service charges must be clearly itemized in the lease and may fall under the Rent Tribunal’s oversight. Legal advice or consultation with a rental specialist is advisable if in doubt.


Implementation & Monitoring

Effective enforcement of the Affordable Rent Act relies on multiple parties: municipalities, the Rent Tribunal, and the Ministry of the Interior and Kingdom Relations.

  • Municipalities oversee compliance with maximal rent limits and can issue fines when landlords fail to meet obligations—e.g., overcharging at lease start or omitting required point scoring.
  • The Huurcommissie serves as the dispute body for renters and landlords. If a tenant suspects mispricing, the committee verifies WWS alignment and may order rent reduction.
  • ​The Minister of the Interior and Kingdom Relations issues implementation rules and monitors the act’s enforcement. Annual reporting to Parliament includes usage statistics, compliance rates, and monitoring outcomes.

Landlords must provide point-scoring overviews with every new lease to give tenants immediate insight into rent legitimacy. Collected data on rents and compliance allows government to adjust policy proactively. This structured approach offers both landlords and tenants clarity, fairness, and transparency in the rental market.


What Steps Should Landlords Take Now?

  1. Recalculate the maximum rent
    Use the updated calculation model to determine legal rent limits under the new rules. Consider engaging a specialist—such as Extate Housing—to prepare a personalized scoring report and highlight areas for improvement.

  2. Focus on sustainability
    Investing in energy efficiency can boost WWS points and improve rent potential.

  3. Stay informed
    Keep up with changes in relevant legislation (such as the Affordable Rent Act, the Good Landlord Law, and the Implementation Act on Residential Rent Prices).

By proactively adapting and implementing these changes, landlords can navigate the evolving rental regulation landscape in the Netherlands effectively.


Conclusion: What This Means for You as a Landlord

The Affordable Rent Act marks a significant shift in Dutch housing policy. It makes mid‑segment housing more regulated, putting an end to informal “advised rents” and replacing them with binding limits and sanctions. This strengthens tenant protection and clarifies landlord responsibilities.

As a landlord, you should:

  • Accurately apply the WWS point system
  • Provide tenants with point breakdowns at lease commencement
  • Ensure you hold a valid energy label
  • Present transparent rental pricing in accordance with the rules
  • ​Be ready to adjust rent if necessary

While this adds administrative duties, it also enhances clarity, fairness, and verifiability in the rental market. If you rent in the middle segment or manage multiple properties, now is the time to review your portfolio, update energy labels, and prepare for the new legal framework. Need help or have questions? Get in touch—we're happy to assist!

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