New law balancing tenancy rights

The new government regulation addressing a new balance in tenancy rights came into force on 1st August 2018.

The scope of this amendment in the laws is to create a level playing field between landlords and tenants.

Landlords now may request authorities to supply them with a means test on their tenants. If tenants are found to have insufficient means to relocate, the landlords will have to allow the tenants to keep using the property. Those tenants found to be of sufficient means will have a two-fold increase on their rent and a maximum of 5 years to move out of the property.

Landowners will only qualify for this service once they would have paid 2% of the value of the real estate on the first day of January of the year of the request.

This regulation will also apply to all ground rents, leases and rentals that have lapsed due to court decisions based on inadequate compensation.