Dec 22, 2023 at 1:26 PM Update: 40 minutes ago
Rental prices of homes in the regulated sector may increase by a maximum of 5.8 percent from 1 July 2024. In practice, many rents increase less quickly, because housing associations are not allowed to increase all rents to the maximum extent.
The government has imposed this on them. The maximum rent increase should mainly ensure that lower incomes see their rent prices rise less rapidly.
The maximum rent increase is equal to the average wage increase in a year. It was 5.8 percent from December 2022 to December 2023. Corporations must remain on average 0.5 percentage points below this.
According to the government, this means that for many tenants the income is rising faster than the rent. That is one of the agreements that the cabinet has made to keep rents affordable. A higher rental allowance should also help with this.
In some cases, rent in the regulated sector may increase by more than 5.8 percent. For example, if someone rents an independent home and has a higher income.
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Rents in the private sector can rise faster
Rents in the private sector may increase by a maximum of 5.5 percent until May 1, 2024, outgoing Minister De Jonge announced last week. That is one percentage point higher than the inflation rate from December 2022 to December 2023.
Since May 2021, there has been a limit to the annual rent increase in the private sector. The law that regulates this maximum rent increase will expire on May 1, 2024. De Jonge is working on a proposal to continue to protect tenants in the private sector against high rental price increases.
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2023-12-22 12:26:41
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