From July 1, 2023, landlords will be able to increase the rent for housing that they rent. This information is posted on the government portal. In an effort to limit the impact of rising prices on residents of the country, the government has introduced restrictions on the increase in prices for rented housing. The maximum increase in prices is limited in social housing at the level of 3,1%, and in the private sector - 4,1%.
Restrictions on Rent Growth in Social Housing
How much a landlord can increase your rent will depend on the type of household you have, their 2021 gross income, the rates you currently have, and the type of rental you own.
Summary table of the maximum possible increase in monthly rent for various groups of the population in the case of renting separate social housing (houses, apartments, etc.)
Low and middle income households (cumulative 2021) | Households with upper middle income (cumulative 2021) | High Income Households (cumulative 2021) | |
One person household | to €48 836 | from €48 to €836 | over €57 573 |
Multi-person household | to €56 513 | from €56 513 up to €76 764 | over €76 764 |
Maximum rent increase effective July 1, 2023 | If the cost of the existing lease is 300 euros and above - 3,1%
If the value of the existing rental is less than €300 - €25 (this is more than 3,1%) |
€50 | €100 |
Somewhat different rules are provided for when renting other types of social housing (rooms, places in a hostel, etc.). The maximum rent increase for these types of housing is 3,1%.
To check if the rent in social housing is in accordance with the established rules, you can at this link.
How is rent regulated in the private sector?
In accordance with amendments In legislation passed by the Senate on December 20, 2022, permission to increase rents in private sector homes depends on the average wage growth in the country last year - provided that this growth is lower than inflation (in percentage terms). The maximum amount of rent growth in this case is calculated by the formula: average wage growth (in percent) + 1 percent.
During the period from December 2021 to December 2022, inflation was 9,7% and average wage growth was 3,1%. Accordingly, from January 1, 2023, landlords have the right to raise rent by a maximum of 4,1%. The same rent increase applies to houseboat berths.