Abolition of temporary lease contracts

On November 14, the Senate approved the bill for fixed-term lease contracts, eliminating the option to temporarily rent out accommodation without security of tenure and making indefinite lease contracts the norm again.

Concerns about the commencement and transitional provisions were expressed by members of the CDA during the deliberations in the Senate. After explanations from the proposers and the minister, and an additional letter from the minister, the CDA also agreed to the law, resulting in a majority in the Senate.

With this law, the option to temporarily rent accommodation without security of tenure is abolished, and indefinite lease agreements once again become the norm.

The new law is expected to come into effect on July 1, 2024. Until this date, it is still possible to conclude temporary lease agreements that terminate automatically, as the law does not apply to ongoing temporary lease agreements.

Temporary rental remains possible under the following conditions:

• If the landlord intends to reoccupy the property and this is explicitly stated in the lease agreement (diplomatic clause);
• Target group contracts based on specific categories for urgent personal use, such as for young people, students, PhD candidates, the elderly, and people with disabilities;
• Short-term rentals, such as short-stay;
• Rentals based on the Vacancy Law;
• Temporary rental to categories of persons to be determined later, such as:
  1. Students temporarily residing in the Netherlands
  2. Tenants who must temporarily leave their own accommodation due to maintenance or renovation
  3. Tenants from social housing or tenants in a social emergency situation with a demonstrably urgent housing need.
  4. Tenants with whom the authorized institution enters into a second or last-chance lease agreement or tenants with whom a temporary lease agreement combined with guidance is concluded.
  5. Tenants whose deceased blood relative in the ascending line in the first degree or their guardian rented a dwelling from the authorized institution and who had their main residence in that dwelling at the time of that relative's death.