The non-regulated market

The non-regulated rental market is quite small, but demand for non-regulated rental housing has increased substantially in recent years. This increase is expected to continue in the future.

In the non-regulated market rent-setting is free, there is no maximum rent. Rents may be increased each year and the maximum rent increase is generally agreed on in the rental contract. It is generally accepted that homes with a rent between €710-€1.000 are part of the mid-priced rental sector. A landlord cannot unconditionally cancel a rental agreement. In this case, the legal position of tenants in the non-regulated market is the same as in the social housing sector.

The government is reforming the rental market in order to increase the diversity of the rental stock. The government aims to improve the allocation of regulated homes to lower-income households and increase the supply of non-regulated rental homes for middle incomes. Private investors can play an important role in fulfilling these goals.

Level playing field

Government reforms have improved the level playing field for private investors by focusing the role of social housing associations mainly on housing for lower income households.

Increased demand

Economic developments and governments reforms have improved demand for non-regulated housing by limiting access to the mortgage market and by increasing demand for non-regulated rental housing.

Real estate sales regulation

Social housing associations can sell a part of their residential property portfolio, especially non-regulated rental houses and regulated houses that have the characteristics to enter the non-regulated market.

Performance of Dutch residential property investments

Rental yields in the Netherlands are currently among the highest in Europe and exceed those in neighbouring countries.