From January 1, 2025 mandatory to include rent calculation to rental contract
From January 1st, 2025, it is mandatory for all hosts and landlords to include a rent calculation in the rental contract. In this blogs we will explain what this means for you.
Since January 1, 2025, all landlords, including those offering homestay rentals, are required to include a copy of the WWS points calculation with the rental contract. This requirement is a result of the implementation of the Affordable Rent Act and the Good Landlordship Act, aimed at making the rental market more transparent and fair, and protecting tenants in the Netherlands from excessively high rents. This blog explains what the WWS(O) is, how to calculate the maximum rent price, and what homestay landlords need to pay attention to.
What is the WWS(O) Points System?
The WWS points system is a method developed by the Rent Commission to determine the maximum rent price for both independent and dependent (WWSO) living spaces. The WWS (housing valuation system) assigns points based on various criteria such as size, amenities, location, and quality of the living space. The higher the score, the higher the maximum allowable rent price.
Are you renting out a room in the home where you live? This is considered a dependent living space and the WWSO applies. If you are renting a complete house or apartment, then the WWS applies. Not sure whether you are renting an independent or dependent living space? This depends on the amenities in the home and the number of people living there. More information about this can be found on the Dutch government's website.
Important Changes and Legislation
Recent changes in the WWSO are mainly focused on increasing transparency and protecting the tenant. Due to the Good Landlordship Act and the Affordable Rent Act, it is now mandatory for landlords to make the points calculation transparent when entering into a rental contract. This provides tenants with a clear understanding of how their rent price is constructed and protects against exorbitant rent prices.
Over the past few years, significant changes have been made to the Dutch rental market. These changes aim to create a fairer rental market, provide more transparency to tenants, and encourage landlords to maintain fairer prices. This blog discusses the changes in laws and regulations over the past year and what this means for you as a landlord.
Establishing a Fair Rent Price
To determine a fair rent price, you should do the following:
- Calculate the WWSO score: Use the online tool from the Rent Commission to determine the score of your living space. This gives an indication of the maximum rent price. You can save the rent price check midway and continue later. This blog provides tips on calculating the right rent price.
- Compare with the market: Also look at comparable rooms in your area to see if your price is competitive and fair. Hospi Housing can advise on this if desired.
- Inform the tenant: Ensure that all calculations and references to the WWSO points are clearly included in the rental contract. For example, you can print out a PDF and add it to the rental contract, or you can send it separately to the future tenant.
Annual Rent Increase and Service Charges
By law, rent increases can only occur once a year and must be tied to legally established percentages unless otherwise agreed in the rental contract. It is important to:
- Clearly communicate rent increases: Inform your tenants at least two months in advance about the increase. This blog tells you everything about the annual allowable rent increase.
- Service and energy costs: These costs can be passed on to the tenant. Ensure that these costs are clearly and specifically stated in the rental contract, so there is no confusion. If the costs at the end of the year are higher, you may pass these on to the tenant. You must be able to demonstrate this clearly. Conversely, if the costs are lower, the tenant is entitled to a refund of the overpaid advance.
Personal Guidance and Advice
Temporarily renting out a room in your home or part of your property brings many benefits. You receive monthly rent, help someone find a nice living space, and it provides pleasant social contact. But there is also a lot to consider. Hospi Housing understands that it can sometimes be overwhelming and lead to doubts or questions. We always offer free and unlimited personal service. Sign up via this link and schedule an intake. We look forward to seeing you soon!