Since the beginning of this year, the 2014 Housing Act has been amended. The amendment offers municipalities more opportunities to distribute scarce housing in a balanced and fair way. In particular, the change in the law offers opportunities for residents of municipalities with local ties and vital professional groups.
Rental housing priority
Prior to the legislative amendment of the Housing Act 2014, it was already possible to give priority to house seekers through the housing permit system. Previously, 50% of the rental housing stock could be allocated on the basis of economic and social ties. Within that 50%, up to half of the rental housing could be allocated to people with local ties. The bill allows municipalities to allocate the entire 50% as they see fit based on economic, social or local bonding.
Priority for new construction purchase homes
What is new is that municipalities can now also require a housing permit for occupying new owner-occupied homes. This possibility applies up to the National Mortgage Guarantee limit (as of January 1, 2024 € 432,000.00). In order to qualify for a housing permit, the potential buyer must then demonstrate that he needs an affordable owner-occupied home. Municipalities may attach further conditions to the target group.
Expanding power to designate crucial professional groups
It also introduces the power to designate certain professions as “crucial. This should include professions with a vital importance for regional or local society, such as care or educational functions. It was already possible to prioritize certain occupational groups that are economically or socially bound, but this could not distinguish between ordinary occupational groups and those with vital importance. With the change in the law, professional groups that are economically or socially bound to the municipality are given priority in finding available housing.
Housing stock management
Under the existing Housing Act 2014, municipalities could include in the housing ordinance rules on, for example, housing splitting. Such rules could only be included if there was a housing shortage. The amendment to the law introduces the possibility to include such rules also if there are liveability problems.
Livability also plays an important role under the Environment Act, which also entered into force on January 1, 2024. For municipalities, this means that they can also lay down rules on housing stock management, insofar as they relate to liveability considerations, in the environmental plan. Whether municipalities will actually make use of this, time will have to tell.