Student housing requires legal courage

The Dutch student housing market is creaking: while the student housing shortage is increasing, existing student houses are disappearing due to regulations and administrative reluctance. News site Advocatie published an opinion piece by our notary Geert Janssen exploring how current law does offer opportunities to alleviate the pressure.

The pressure on the Dutch housing market is now hitting students hard. University cities are facing structural shortages, while private landlords and shared housing are often hampered by complex regulations. The question arises to what extent society still makes it easy for students to find housing. Remarkably, current law already offers scope for alleviating the shortages, provided municipalities and legislators are willing to actually utilize that scope.

Home sharing

A first obstacle is house sharing. Many students could share accommodation, but in practice, this is often prohibited without a permit. The Housing Act 2014 stipulates that municipalities can prohibit converting accommodation into multiple non-self-contained housing units without a permit. This means that a house may only be shared by two or three students with the explicit permission of the municipality. The law is intended to limit room sharing and nuisance, but in student cities, it has an unintended side effect: rooms remain empty because landlords don't receive the permit or only after months of waiting. This stagnates the housing supply while demand continues to rise.

The solution, therefore, lies not in new laws, but in a different application of existing rules. Municipal councils can establish exceptions in their housing regulations. They can stipulate that room occupancy for up to three people does not count as a conversion, or that a more flexible permit procedure is possible for student housing. Amsterdam and Delft have already partially implemented this: there, small room rentals for up to three residents are exempt. By broadening this framework, house sharing can transform from a bureaucratic hurdle into an accessible way to quickly create new housing.

In this discussion, another example is gaining attention: initiatives that aim to preserve student housing sustainably by moving it outside the commercial market. One such initiative is Nestia Domus, which secures student housing through a cooperative structure so that it doesn't disappear through sale or repurposing. While not a legal instrument, it does demonstrate how ownership and management can be organized differently to protect student housing. Such models can inspire municipalities to utilize tailored legal practices and treat student housing as socially valuable real estate.

Temporary rental

A second opportunity lies in the temporary rental of vacant properties. The Vacancy Act (Vacaturewet) offers the option of temporary rental with the municipality's permission. This is possible for vacant offices or owner-occupied homes that are still for sale. This type of rental is primarily used for emergency shelters or migrant workers, but is legally equally well-suited for students. The Vacancy Act guarantees flexibility for landlords, as the lease automatically terminates after the permitted term, without any security of tenure. This is a suitable system for students, who often stay for a year or less. However, municipalities are using this option only to a limited extent, while active policy can quickly create additional rooms.

The Housing Act also plays a role. It stipulates that a dwelling must be suitable for habitation and meet reasonable safety and health requirements. Municipalities often apply stricter surface area requirements per resident in their bylaws. This sounds logical, but it sometimes means that spacious dwellings cannot be divided, even though they can safely accommodate multiple students. The law does not prescribe a minimum surface area; municipalities set this themselves. By using the standards in the Building Decree 2012 as a starting point and not being stricter than necessary, shared housing can be permitted much more quickly without compromising the quality of living space.

Hospitality rental

Another often-overlooked legal instrument is landlord-landlord rentals. A landlord living in the same residence is permitted to rent a room to a student with limited rent protection. After nine months, the landlord can let the tenant leave without court intervention. This is a simple way to activate latent housing supply. Many single-occupancy tenants have a spare room but fear that a student will then stay permanently. This fear is unfounded; the law explicitly protects landlords. With proper information or an incentive program, this type of rental can grow without the need for new construction.

There is also room for customization in tax and administrative law. Municipalities are permitted to adopt local ordinances regulating the use of housing. This means they can explicitly designate temporary student housing or shared housing as socially desirable. Within these powers, they can apply permits and zoning plans more flexibly. The Environment Act also allows for the inclusion of experimental and temporary regulations in the environmental plan. Municipalities can therefore permit shared housing or temporary student housing in certain neighborhoods as an experiment, without requiring permanent amendments to the plan.

Dare to use existing space

Legally speaking, the space is already there. The decline in the number of student housing units is not due to a lack of legal instruments, but to a lack of administrative courage to use them. Municipalities don't have to change the law; they must apply it. A more flexible interpretation of the Housing Act, active use of the Vacancy Act, a realistic approach to the Housing Act, and incentives for landlord rentals can have a quick effect. While new construction takes years, lifting unnecessary restrictions can yield results within months. Society cannot blame the student housing shortage on legislation. The law offers sufficient possibilities; it is up to administrators, landlords, and institutions to utilize these possibilities and provide students with the housing they need to build their future.

This article previously appeared on Advocatie: https://www.advocatie.nl/opinie-en-blogs/opinie-woningmarkt-oplossen-door-andere-toepassing-van-bestaande-regels/