Private sector housing, or other
The net rental price at the start of the tenancy agreement determines in which rental sector the property is classified. If the rent is above a particular level (the ‘liberalisation threshold’), the property is classified as private sector housing.
Since 1 July 2024, new rules have applied. If the rent is below this threshold, the property is classified as social housing or mid-rent housing.
If the rent at the start of the contract is below or at the level of the mid-rent threshold, the property is classified as social housing.
If the rent at the start of the contract is below or at the level of the liberalisation threshold, but above the mid-rent threshold, the property is classified as social housing.
Before 1 July 2024, there was only a liberalisation threshold: rental properties with a rent at the start of the contract below or at this threshold (applicable at the start of the tenancy agreement) were classified ad social housing.
All properties with a rent above this threshold were (and are) classified as private sector housing.
The figures on rent increase by type of rental sector in this news release exclude mid-rent housing.
In the Netherlands, rent increases are limited by law. The maximum permitted rent increase depends on the rental segment (social, private sector or mid-rent housing) and the tenant’s income.
For social housing, rent increases are capped at 5 percent (with effect from 1 July 2025). Landlords can also choose to apply higher rent increases that are related to the tenant’s income.
From 1 January 2025 to 1 January 2025, the maximum rent increase for private sector housing has been set at 4.1 percent.