Basic rules for landlords

To ensure that landlords behave in a fair and just manner, a number of basic rules have been established by the Good Landlord Law. These rules include, among others:

• Not to discriminate: Landlords may not discriminate based on race, gender, religion, nationality, or other protected characteristics when selecting tenants.
• Not to intimidate: Landlords must treat their tenants with respect and may not engage in any form of intimidation, threat, or bullying.
• Maximum security deposit: Landlords can demand a maximum of 2 months’ rent as a security deposit (it is not mandatory to do so, but exceeding this limit is not allowed). This security deposit may only be used to offset rent arrears, service charges, or damages.
• Written rental agreement: Landlords are required to establish a written rental agreement that outlines all key terms and conditions.
• Informing about rights and responsibilities: Landlords have an obligation to inform their tenants about their rights and responsibilities, such as maintenance responsibilities and house rules. Additionally, they must provide tenants with the contact information of the local reporting point for unwanted landlord behavior.
• Policy against housing discrimination: Landlords must establish a written policy to combat housing discrimination. This policy must be clear and transparent, and include objective selection criteria that are made known to potential tenants in advance.
• Reasons for rejection: If a tenant is rejected, the landlord must provide the reasons for this decision to the tenant in a motivated manner. This provides tenants with insight into the selection process and allows them to raise any objections if necessary.
• Security deposit and payment arrangement: If there are no deductions to be made, the landlord must return the security deposit within 14 days. If deductions are made, the amount must be settled within 30 days.

Rental permit and obligations

In addition to the basic rules, the Good Landlord Law also introduces the possibility for municipalities to establish a rental permit. Below are the key points regarding the rental permit:

Mayors and Aldermen can establish a rental ordinance in which they can prohibit renting without a permit. The permit requirement may apply to a specific category of housing in a particular area or accommodation for migrant workers; note that this may also include expatriates from EU countries! For new lease agreements, a rental permit is required immediately. For existing lease agreements, there is a transition period of at least six months before the permit requirement comes into effect.

Grounds for refusal of a rental permit may include:

• No building or zoning permit,
• In the past eight years, enforcement has been carried out based on this law or similar regulations, such as the duty of care of the Housing Act.
• One or more properties of the landlord have been taken under management.
• Failing the Bibob test.

When can a rental permit be revoked?

The Good Landlord Law has various provisions to ensure that landlords behave responsibly and comply with certain standards. One of these provisions is that the rental permit can be revoked in various situations.

• If a landlord repeatedly violates the rules and regulations, the permit may be revoked to prevent further violations.
• If inaccurate or incomplete information has been provided in the application Providing misleading information can result in the revocation of the license.
• If there is a revocation of a building permit or occupancy permit for construction or use, this may also result in the revocation of the rental permit. This means that if a landlord fails to comply with the licensing requirements for the construction or use of a property, the rental permit can be revoked.
• If there is a revocation of a subdivision, conversion, or withdrawal permit. This is related to the rules and regulations related to subdividing, converting or withdrawing a property from the housing market. If a landlord no longer meets the licensing requirements, the rental permit can be revoked
• If a landlord has received a fine due to violation of the rules and regulations regarding housing, this can result in the revocation of the permit.
• Bibob is an abbreviation for the Act for the Promotion of Integrity Assessments by Public Administration. This law provides the opportunity to assess the integrity of a landlord. If a Bibob investigation reveals that the landlord does not meet the integrity requirements, the rental permit can be revoked.

Sanctions and enforcement of the law on good landlordship.

Mayors and Aldermen must enforce this law, allowing them to impose an injunction subject to a penalty payment on landlords who violate the law.

Mayors and Aldermen are also authorized to impose an administrative fine. The fine can amount to a maximum of €22,500 for the first offense and €90,000 for repeated offenses within a period of four years.

In extreme cases, the municipality can even take (rented) housing under management. The management costs will then be borne by the landlord, without the landlord being allowed to interfere with the property for a certain period.

Imposed fines are made public, so that other potential tenants are aware of any violations. In case of repeated violations, the municipal authorities (B&W) can take over the management of the property. Please note that these sanctions apply not only to landlords but also to intermediaries!

The Good Landlordship Act ensures a fair and just rental market.

With the introduction of the Good Landlordship Act, landlords in the Netherlands are obliged to adhere to certain basic rules and comply with new regulations. It is essential that landlords are aware of this new legislation and ensure that they fully comply with the requirements of the Good Landlordship Act. By doing so, landlords can promote a fair and equitable rental market and contribute to a positive rental experience for all parties involved.

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