Liberalisatiegrens

Liberalisation threshold

The liberalization threshold is the rent threshold, set annually, that determines whether a rental dwelling falls under the regulated or the liberalized regime.

The liberalization threshold marks the distinction in Dutch rental legislation between social housing and the private rental sector. Dwellings with a base rent below this threshold fall under the points system and the maximum rent prices prescribed by the Good Landlordship Act, whereas above it the rent may be freely agreed.

The threshold is indexed annually and is relevant to both landlords and tenants in determining the permitted rent level and the extent of tenant protection. Below the threshold, stricter rules govern rent increases and contract duration; above it, market conditions apply.

In practice, a landlord assesses at the time of new construction or renovation whether the intended rent exceeds the liberalization threshold, enabling the choice of a liberalized tenancy with greater flexibility.

“Because the rent is just above the liberalization threshold, the landlord may charge a market rent without the points system applying.”

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