Private sector rents rising in the Netherlands

According to research by housing platform Pararius, tenants in the private sector are paying more and more.

It reported that in Amsterdam the average monthly rent is over €2,200 for a 100 square metre property per month, while the same property in Rotterdam cost €1,350 and €1,250 in Eindhoven.

In the first quarter of this year, the cost increased by 6.2% compared to the same period last year, bringing the average price per square metre per month from €12.61 to €13.38.

Amsterdam is most hard hit with the average price per m2 per month at €22.34 which is an increase of 11.5% from last year.

Pararius blamed the increase to lack of enough private sector houses in the country, saying just one in 20 houses is in the free sector. Out of the other 19, eight are rent controlled social housing while 11 are owned by the occupiers.

Making the situation worse is the Supreme Court ruling last year that said brokers and agents can only ask commission from landlords during the contract negotiation. It gives the advantage to the landlord and not the tenant, since landlords have to add broker’s fees to what renters have to pay.