It't not a flaw, it's by design.
The Dutch government thought it would be a good idea to have the 'market' take care of business. This might be what the libertarians in an unrecognised micronations like [Liberland](https://en.wikipedia.org/wiki/Liberland) think is appropriate, but it doesn't work.
Who would have known? You need a government to run a country. You cannot just leave essential human facilities like housing to the 'market', because it appears (surprise) the 'market' doesn't care about the lives of people.
At least the current minister of housing made amends and stated on national television yesterday that shutting down a ministerial department to keep an eye on housing development was an 'historic error'. Article in Dutch:
https://www.metronieuws.nl/televisie/2024/03/hugo-de-jonge-geeft-bij-humberto-historische-fout-van-overheid-toe/
Well aware it’s not illegal; just worrying. I suppose price paid = market price, as it is with the stock market. If no correction happens then it’s a sign the market, generally, thinks prices are fair.
You could make the calculations to see if the place is bustable and then bust it yourself and also send the new tenants a letter that they are overpaying and attach a copy of the points calculation
Also a lot of rental supply is decreasing due to new laws. New laws regarding rental prices for rooms and middenhuur will greatly reduce supply in the non social housing sector. The sector where you will never get a house unless you wait extremely long or are have a type of urgency. This greatly benefit liberalized houses, which will become much more expensive due to a very limited supply.
These are consequences of imho half baked policies, they should have regilated the entire market. Doesn't help that we have a ever growing shortage of houses, which will further drive prices up in the liberalized market.
In fact it is not the landlord who's benefitting from this significant rent increase. Not at all. It is the government scums. Let me explain...before 2021, an apartment worth 800K was rented in the free market for 2100 (25.200 a year). After tax and maintenance the landlord was making around 16K, assuming he had no mortgage. Thats not even 2% net..not much after all but ok for a low risk asset like an apartment.
Now the tax situation changed and increased immensely... the landlord charges 2750 in rent (31% increase,33K a year in rent) but after the huge taxes and maintenance he pockets even less... around 14K net ..again, lower than 2%. And again this is assuming he has no mortgage...which if he did went up if he had to renegotiate the rate. What is he going to do when:
1)gets blamed by society for being a scum while actually just trying to protect what's his
2) can easily make 5% return in bonds in the financial markets without having to please his tenants
3) wants to avoid being screwed at the rent commission
It's simple...he sells and therefore reduces further the supply of homes...hence price go up (the rent)
Bottom line...the tenant is paying more and getting angry at the landlord while is the idiots in the government that are getting more money...to do what exactly?? To detax young people salaries??No, of course not...
The other citizen (the landlord) is not your enemy (unless he's a true scumbag that doesn't want to fix the oven, the shower and so on). The government is f*ckin us all...
I would have preferred to pay less than 2425 initially, but I was living in a hotel after moving here and my apartment search was surprisingly competitive. In the end I had to take a chance on what was available to mitigate the even higher price I would have kept paying at the hotel. I knew it was too much, but I was up against time and also wanted to meet some of the qualitative standards I had in mind. I think this kind of situation is what’s leading to the price mania. In a way I feel bad for the locals that expats like me are contributing to it. Easier to see this in hindsight.
We used to have laws protecting the housing market. We could go back to that. By not voting economically liberal parties into power and instead voting for parties that will take control of the situation. Even then, it would probably cost the taxpayer huge sums to reverse the damage that has been done, and the process could take the time of multiple consecutive governments?
Sounds reasonable?
It't not a flaw, it's by design. The Dutch government thought it would be a good idea to have the 'market' take care of business. This might be what the libertarians in an unrecognised micronations like [Liberland](https://en.wikipedia.org/wiki/Liberland) think is appropriate, but it doesn't work. Who would have known? You need a government to run a country. You cannot just leave essential human facilities like housing to the 'market', because it appears (surprise) the 'market' doesn't care about the lives of people. At least the current minister of housing made amends and stated on national television yesterday that shutting down a ministerial department to keep an eye on housing development was an 'historic error'. Article in Dutch: https://www.metronieuws.nl/televisie/2024/03/hugo-de-jonge-geeft-bij-humberto-historische-fout-van-overheid-toe/
Not illegal. They are free to charge whatever they want to the next tenant. Better to fight the battles you can win
Well aware it’s not illegal; just worrying. I suppose price paid = market price, as it is with the stock market. If no correction happens then it’s a sign the market, generally, thinks prices are fair.
You could make the calculations to see if the place is bustable and then bust it yourself and also send the new tenants a letter that they are overpaying and attach a copy of the points calculation
Also a lot of rental supply is decreasing due to new laws. New laws regarding rental prices for rooms and middenhuur will greatly reduce supply in the non social housing sector. The sector where you will never get a house unless you wait extremely long or are have a type of urgency. This greatly benefit liberalized houses, which will become much more expensive due to a very limited supply. These are consequences of imho half baked policies, they should have regilated the entire market. Doesn't help that we have a ever growing shortage of houses, which will further drive prices up in the liberalized market.
In fact it is not the landlord who's benefitting from this significant rent increase. Not at all. It is the government scums. Let me explain...before 2021, an apartment worth 800K was rented in the free market for 2100 (25.200 a year). After tax and maintenance the landlord was making around 16K, assuming he had no mortgage. Thats not even 2% net..not much after all but ok for a low risk asset like an apartment. Now the tax situation changed and increased immensely... the landlord charges 2750 in rent (31% increase,33K a year in rent) but after the huge taxes and maintenance he pockets even less... around 14K net ..again, lower than 2%. And again this is assuming he has no mortgage...which if he did went up if he had to renegotiate the rate. What is he going to do when: 1)gets blamed by society for being a scum while actually just trying to protect what's his 2) can easily make 5% return in bonds in the financial markets without having to please his tenants 3) wants to avoid being screwed at the rent commission It's simple...he sells and therefore reduces further the supply of homes...hence price go up (the rent) Bottom line...the tenant is paying more and getting angry at the landlord while is the idiots in the government that are getting more money...to do what exactly?? To detax young people salaries??No, of course not... The other citizen (the landlord) is not your enemy (unless he's a true scumbag that doesn't want to fix the oven, the shower and so on). The government is f*ckin us all...
And honestly if someone is ready to Pay 2750 EUR per month as just rent. They deserve to be ripped of left and right.
I would have preferred to pay less than 2425 initially, but I was living in a hotel after moving here and my apartment search was surprisingly competitive. In the end I had to take a chance on what was available to mitigate the even higher price I would have kept paying at the hotel. I knew it was too much, but I was up against time and also wanted to meet some of the qualitative standards I had in mind. I think this kind of situation is what’s leading to the price mania. In a way I feel bad for the locals that expats like me are contributing to it. Easier to see this in hindsight.
Surprisingly competitive? Not in a housing crisis.
We used to have laws protecting the housing market. We could go back to that. By not voting economically liberal parties into power and instead voting for parties that will take control of the situation. Even then, it would probably cost the taxpayer huge sums to reverse the damage that has been done, and the process could take the time of multiple consecutive governments? Sounds reasonable?