Expats are, in general, highly educated foreign employees who come to work and live in the Netherlands temporarily. They are brought to the Netherlands by their employer because of their specific knowledge or experience, which is insufficiently available among Dutch employees. In order to ensure that the Netherlands is attractive for expats to come and work here, and therefore also for the companies that need their knowledge, expats can make use of a favourable tax measure. As a result of this tax measure for expats, during the first 8 years of their stay in the Netherlands, 30% of their salary is exempt from taxes. In addition to their salary, they have a large tax benefit. The Dutch government wants to obstruct this measure from 8 years now to 5 years later.
On average, an expat remains in the Netherlands for 1 to 3 years. Then they go back to their homeland or leave for another country. But there are also expats who enjoy their life in the Netherlands so much that they stay longer. Often, they eventually buy a home themselves.
Although an expat often has an above-average income, certainly in combination with the tax benefit, it is a misunderstanding to think that every expat earns so much money that they only rent expensive and large houses. Of course, top managers are attracted from abroad. These are often the expats who 'travel the world' with their families and can afford a large and expensive rental home. They often rent unfurnished houses as their own furniture travels with them. If they have rented out their own house in the home country, they usually do not have furniture and will want to rent a furnished home.
Most of the expats are however middle management, relatively young and often single or a couple without children. They prefer to live in a furnished house near the city centre and / or public transport, ranging from a studio to a 1-bedroom / 2-bedroom apartment. Their maximum budget in the big cities is generally around € 1500 excl. G / W / L.
So there is not a standard type of homes that is rented by expats. Depending on the budget and housing requirements, homes for expats vary from studios to detached villas and everything in between.
Renting your home to expats can certainly be lucrative. An expat is more often prepared, and also has the financial means, to pay a higher rent than a Dutch tenant. Therefore, many landlords prefer to rent out their home to an expat. Moreover, an expatriate stays on average only 1-3 years in the Netherlands, so that the landlord is certain that he / she will then have access to the property again. Ideal for landlords who do not want to rent indefinitely because they themselves want to return to the home one time. The disadvantage is that renting to expats will generate slightly more mutations than letting a to a Dutch tenant.
Contrary to what many landlords think, the rent is generally NOT paid by the employer. Until the financial crisis broke out this was often the case. The employer arranged everything for the expat and often took responsibility for the monthly rent payment. This was a safe feeling for landlords. Since the crisis, many companies have adapted their policies regarding housing for foreign workers. The expat now has to arrange a lot more himself. If an expat currently receives a housing allowance from the employer, it is a lot lower than in the past years and also for a shorter period. This ensures that expats look for affordable housing that suits their budget.
Of course, there are exceptions to this. For expats with higher positions, the housing costs are often still paid by the employer. They can, of course, search a rental home in the higher segment. These prices start at around € 2,500 and in exceptional cases run to € 10,000 per month.
Certainly, if you want to buy a property as an investment, it is wise to first consult a rental agent. Not every home is suitable for rental to expats. Sometimes the location is not good, the layout is wrong or the size incorrect. In addition, your home must have enough points to be able to rent out in the free sector. And it is important to know whether you can offer the house the best furnished or unfurnished (i.e.: upholstered). A good rental agent can help you with that. So that you do not make a bad purchase or make the wrong choice.
Home of Orange gladly helps you with your choices. First of all, you will always receive substantiated rental advice free of charge. Then you know which rental price you can expect, so that you do not enter the purchase- or rental process with the wrong expectation. We also advise you about the best options. With this, we
Do you also want free rental price advice or do you have other questions? We are happy to help you
Do you also want to rent out to expats? Enter your details and we will contact you within 1 working day.
1016 EJ Amsterdam
+31 (0)20 - 26 119 75
+31 (0)20 - 24 431 20
© Home of Orange B.V. 2021
General Terms and Conditions Tenant
General conditions landlord
Website door OGonline