Private renting in the Netherlands

Abstract

This chapter analyses whether the turnaround in market share of the Dutch private rental sector, from 10 per cent in 2009 to almost 13 per cent in 2021, can be interpreted as a new role of this tenure following the global urban rental affordability crisis. Based on a literature review, the chapter finds that the Dutch government facilitated the growth of the stock with a de-controlled rent and by making the control of rent prices more market conforming. At the same time, the government introduced regulations that made social renting and homeownership less accessible. As a result, when in the aftermath of the global financial crisis the shortage of housing in comparison to the rising numbers of households rose, affordability and accessibility problems reached the top of the political agenda during the national elections of 2021. In response, the government that came into office in 2022 launched a number of plans to stimulate reducing the housing shortage in a ten-year period. These plans also included re-regulating rent prices for middle-priced rental housing. These plans, as well as the quickly rising inflation in combination with the societal challenges of energy, climate and sustainability, question a continued revival of private renting.