Legally sublease your home: Rules, risks and procedures

Subletting can be an ideal solution if you're going abroad for a longer period of time, are going to live together for a trial, or are temporarily staying elsewhere for work. While common practice, subletting is often popularly associated with illegality. This is unjustified; provided you follow the right legal steps and obtain permission, subletting is a completely legal way to prevent double housing costs.

However, it is crucial to understand the difference between legal subletting and “breach of home” or breach of contract. Improper handling can lead to immediate termination of your own lease, high fines and even eviction. Thorough preparation and a watertight contract with your subtenant are therefore essential.

First step: Owner's consent

The most important rule in the Dutch housing market is simple: you can only sublease a home if the owner or main landlord has given explicit permission to do so.

Private rental and free sector

Most leases for the free sector include a ban on subletting. Do you still want to sublease? Then always ask for written permission. Landlords are often open to this if you can demonstrate that the subtenant is trustworthy and you intend to return after a certain period of time.

Social housing

The rules are stricter at housing associations. Subletting without permission is strictly controlled and actively fought here. However, many corporations do offer a “home custody” scheme. This is a legal form of subletting for a fixed period (usually up to one year) under strict conditions.

Important: If you want to rent out a room in the home where you will continue to live (hospital rental), the rules are often more flexible, but this also usually requires permission from the landlord.

The legal structure: Main tenant the subtenant

Illegal subletting creates a triangular relationship. You remain the “main tenant” and are responsible to the owner. The person you're renting to is the “subtenant” and has a contract with you.

Your responsibility

As the main tenant, you are legally responsible for everything that happens in the home.

• Rent provision: You are responsible for timely payment to the owner, even if your subtenant does not pay you.
• Damage: Does the subtenant cause damage? Then the owner will hold you liable for this. You must then recover this damage from the subtenant yourself.
• Nuisance: If the subtenant causes inconvenience to the neighbors, this jeopardizes the rental contract.

The sublease contract: What should it include?

Never rely on verbal agreements. A written contract protects both parties and is often required by the main landlord to give consent.

• Term of the agreement: Preferably use a “fixed-term” contract (between rent/diplomatic clause). This specifies that the subtenant must leave the home on the day you return.
• The rental price: It is not allowed to make an excessive profit on subletting. The rental price for the subtenant must be reasonable and may include the basic rent plus a fee for furniture and utilities.
• Deposit: Request a deposit to cover any damage or non-payment.
• Inventory list: Make a detailed list of the furniture and the condition of the home at the start, including photos.

Financial and tax consequences

Subletting affects more than just rent payment. Keep the following things in mind to prevent financial setbacks:

1. Housing allowance: If you receive housing allowance, this usually stops when you sublease the home and stay elsewhere yourself. The subtenant's income can also affect if they are registered at your address.
2. Municipal taxes: Depending on the municipality, the waste tax and water assessment may change relevant taxes if the family composition at the address changes.
3. Insurances: Check with your household insurance whether damage during subletting is covered. Many standard policies exclude this or require an additional clause.

Risks of illegal subletting

The temptation to sublease without permission is sometimes great, but the risks are considerable. Landlords are increasingly using specialized agencies or “housing fraud teams” that monitor social media and registers.

When illegal subletting is detected, it often follows:

• Direct dissolution: The judge almost always terminates the main tenant's rental contract.
• Fines: You can be fined up to tens of thousands of euros, especially in cities with a strict housing policy.
• Black list: You run the risk of being blacklisted by housing associations, so you won't be able to get social housing for years.

Carefree subletting: The power of transparency and rules

Legal subletting is an excellent way to create flexibility in your living situation, provided you respect the rules. The key to success lies in transparency with your landlord and a careful selection of your subtenant. By laying everything down in a solid contract and identifying the financial consequences in advance, you prevent your temporary departure from turning into a legal problem.