Upper income level for social housing should be raised: Labour

The ruling Labour party wants to raise the current €34,000 income level for rent-controlled housing to €43,000, Trouw reports.

Their coalition partner, the Liberal VVD, is against the plan, which will be discussed in parliament on Tuesday during the housing debate.

Labour wants people earning between €34,000 and €43,000 to qualify for rent-controlled housing because they earn too little to afford privately rented accommodation. Rent controls apply to properties costing less than €681 a month.

According to Labour MP Jacques Monasch, raising the income limit would improve the movement within the social housing sector. However, more homes would need to be built in the private sector, he said.

VVD MP Barbara Visser is against the plan. ‘For the low-paid the situation would become more difficult, with longer waiting lists,’ she said.

Labour also wants first-time buyers to be given a five-year rental contract. It would then be possible during that period to determine if the tenant had a right to a rent-controlled home based on what is on offer in the private sector and the tenant’s income.

Earlier this year, corporations and private landlords were given the right to increase the rent of tenants in rent-controlled accommodation and earning €33,000 to €43,000 by 4.5% and by 6% for those earning more than €43,000.

The aim is to encourage higher earners to leave the rent-controlled sector for the private sector or to buy their own home.

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