Since 1 November 2024, new regulations on rental agreements have been in force in the Brussels Region. These reforms should improve access to affordable, decent quality housing. We discuss the main changes and what these regulations mean for you as a landlord or tenant.
More stable rents for short-term contracts
For short-term rental contracts (maximum three years), the rent cannot just be increased between two contracts. From now on, it is not permitted to increase the rent, except for indexation or specific changes after energy-saving renovation. Moreover, short-term contracts can only be extended once now. To give tenants more clarity, when landlords sign a new contract they are obliged to mention the previous tenant’s rent. These measures increase transparency, making short-term rents less attractive for landlords.
In other words, in both Flanders and Brussels, short-term rental agreements can only be extended once. In Flanders, the rent can still be changed when the contract is renewed.
End to cash payments for the rental guarantee
The regulations around the rental guarantee have also become stricter. From now on, the guarantee may not exceed two months’ rent, and cash payments are no longer permitted. The amount must be paid via bank transfer and repaid by the landlord within two months of the tenant leaving the property. It is no longer permissible to combine a rental guarantee with a guarantor. Tenants must now either pay the full deposit themselves, or a third party must cover any damage. However, this does not apply to student room rentals.
Fire insurance compulsory for tenants
It is also compulsory for tenants of a property in Brussels to take out fire insurance, as has been the case for some time in Flanders and Wallonia. Tenants must present proof of payment of the premium before moving into a property. If a tenant fails to take out insurance, the landlord can add an additional clause to his own insurance policy and charge the cost to the tenant. In this way, both tenant and landlord are protected in case of damage.
More transparent rental agreements
As far as costs are concerned, landlords may only pass on genuine expenses to tenants. All costs payable by the tenant must be included in detail in the rental agreement. Additional costs may only be charged to the tenant if they are specifically mentioned in the agreement.
Furthermore, a rental contract may not contain a provision completely prohibiting the keeping of pets. However, the landlord may set rules to prevent nuisance. This ensures clarity and prevents unnecessary misunderstandings or disputes during the rental period. Finally, the rental contract must not stipulate that the tenant cannot register the address of the rental accommodation as their main residence.
End of rental agreement
At the end of the rental contract, the description of the premises must be carried out no later than one month after the property is vacated and before the keys are handed over to the landlord. In addition, standard templates for termination letters have been introduced, so that both tenants and landlords should know exactly what their rights are when an agreement is terminated.
When will these changes become applicable?
The new regulations apply to all new and renewed rental contracts as of 1 November 2024. Certain regulations, such as the compulsory annual statement of costs, also apply to existing contracts.
Any questions? Our experts are ready to help you
The recent legislative changes have a major impact on existing and future rental agreements. Do you want to be sure that your contracts meet the new requirements, or do you have questions about specific changes? We are ready to answer your questions, so feel free to contact one of our Legal experts.
This article was written by Katrien Ver Elst, a specialist in corporate law, mergers, acquisitions and business law.