Recent ex-campus resident Jauke Reinders witnessed it firsthand with his home. He used to pay around €400 per month for one of the historic patio houses on Matenweg. However, the new tenant will be charged approximately €530 now that the property is back on the rental market. ‘I don’t want to jump to conclusions, but it seems there’s not much interest in the house. Maybe the new price tag is a bit steep,’ says Reinders.
Signals
The Central Tentants Council (CBR), the campus residents’ advisory body, also reports receiving several emails about the increased rental prices. ‘We received signals from a few residents expressing concern about the price hikes. Especially when a housemate moved in or out, the rent suddenly became significantly more expensive,’ says CBR spokesperson Brian Wieggers.
Despite the concerns, the CBR does not place blame on landlord Veste Wonen. ‘We would also prefer things to be different, but we see this as a consequence of national legislation, not of Veste Wonen’s policy,’ says Wieggers.
Affordability
What’s going on exactly? It relates to the ‘Affordable Rent Act’ that came into effect on 1 July 2024. A key part of this law is a revised points system. The number of points a property receives determines how much rent a landlord is allowed to charge – in principle, to protect tenants from excessive prices.
Veste Wonen, the largest housing provider on the UT campus, adjusted its policy in July due to this new legislation. However, it did so with a dampening of price increases, explains spokesperson Amber Groothuis to U-Today. ‘Under the new system, rent prices for many homes would rise sharply. If we had continued our policy unchanged, it would have had serious consequences for the affordability of our housing.’
Target rent
Under the new rental law, housing corporations are allowed to charge the maximum rent. ‘Veste Wonen deliberately chooses not to do so,’ says Groothuis. ‘We apply a target rent for each student complex: a reasonable rent that is lower than the maximum allowed.’
In some cases, this led to rent reductions. In many others, it resulted in increases. Veste Wonen cannot give a definitive answer on how high the rent increases are for residents. ‘Because the maximum rent depends on the property. Additional legislation also plays a role. Calculating the final rent depends on various factors. We want to avoid giving a misleading impression,’ says Groothuis.
How Do the Law and Target Rent Work?
- The ‘Affordable Rent Act’ introduces a revised points system, known as the housing valuation system.
- Based on factors such as the WOZ value (property valuation), outdoor space, energy label, and property size, a home receives a certain number of points.
- These points determine how much rent a landlord may charge.
- Veste Wonen adjusted its rental policy last summer and applies a so-called target rent
- Calculations are based on various percentages. For non-self-contained units, Veste Wonen sometimes charges ‘only’ 55% of the maximum rent.
- The percentage for self-contained units is significantly higher, as these homes are eligible for rental allowance.
‘Generic change, specific target group’
The new legislation seems to disconnect with the affordability of student housing. ‘Implementing a nationally revised system for a specific target group like students is a challenge. Although the law is intended to ensure affordability, it could have had the opposite effect for our student housing,’ says Groothuis on behalf of Veste Wonen. ‘We deliberately chose not to apply certain surcharges – such as the increase for national monuments (35 percent, in theory, ed.) – to avoid extreme rent hikes. Our principle is that the new system should not lead to excessive rent increases and that student housing must remain affordable.’
This new policy from the campus housing provider has received support and understanding from the Central Tenants Council. ‘Of course, we would prefer Veste Wonen to keep prices even lower than they currently are. But we also recognise that Veste Wonen’s costs continue to rise. Not only due to inflation, but also because of major investments that have been made recently,’ says Wieggers, referring to the new construction on the Boulevard and the renovation of existing campus housing.
