Do you, as an entrepreneur, rent out residential or lodging space to employees, expats or migrant workers? Then the Good Landlordship Act (Wgv) is essential for you. Since 1 July 2023, strict statutory standards have applied, and municipalities have broad enforcement powers. Non-compliance can lead to fines, penalty payments, or even the municipality taking over management of the property.
The seven basic obligations for every landlord
A good landlord must, in any case, observe the following obligations:
- No discrimination in the selection or allocation of tenants
- No intimidation or pressure towards tenants
- Deposit of a maximum of 2 months’ net rent
- Written lease agreement mandatory
- Duty to inform: you must inform the tenant in writing about, among other things, rights, obligations, rent, service charges and maintenance.
- Service charges strictly regulated: only legally permitted costs, plus an annual, transparent settlement, giving the tenant insight into those costs
- No double brokerage fees: an intermediary engaged by the landlord may not charge the tenant anything
For many entrepreneurs, this means that existing contracts and working methods may need to be reviewed.
Additional rules for housing migrant workers
Do you rent out residential or lodging space to migrant workers? Then the following additionally applies:
- Strict separation of the employment contract and the lease agreement
- All information provided in a language the tenant understands
This calls for adapted contracts and good preparation.
Enforcement: what the municipality can do
In the event of a violation, the municipality can, among other things:
- impose an order subject to a penalty payment or an administrative fine;
- apply administrative enforcement (remedy at your expense);
- make your name public (naming and shaming);
- in serious cases, take over management of the property.
Since 1 January 2024, every municipality has had a reporting point for unwanted rental conduct. As a result, complaints reach the authorities more quickly.
What does this mean for you in concrete terms?
As a landlord, you need to take the following into account:
- Check whether a rental permit is required;
- Apply the Wgv strictly in recruitment, contracts and management;
- Ensure clear, written and verifiable agreements;
- Communicate transparently about service charges every year;
- Be aware that repeated violations are punished severely.
Need help?
Are you unsure whether your lease agreements or rental practices comply with the Good Landlordship Act? Are you already having problems with a tenant and would like advice?
The corporate lawyers of The Legal Company are happy to help you with this. Please feel free to contact us via info@thelegalcompany.nl or call 020-3450152.
