Difference Between Fixed-Term and Indefinite Tenancy Agreements in Rijswijk

In Rijswijk, a vibrant municipality near The Hague with a growing rental market due to its proximity to business districts and residential areas such as In de Bogaard, the distinction between a fixed-term and indefinite tenancy agreement is crucial for tenants. A fixed-term agreement (Article 7:271 of the Dutch Civil Code) automatically terminates after the agreed period, offering less stability but retaining full rent protection through the Rent Tribunal. An indefinite agreement (Article 7:220 of the Dutch Civil Code) can only be terminated for valid reasons and with the correct notice period, providing strong tenancy protection, which is particularly relevant in Rijswijk due to the high demand for affordable housing. After a series of fixed-term agreements, the contract automatically converts to an indefinite one, as recently confirmed in cases before the District Court of The Hague that also affect tenants in Rijswijk. Advantages of fixed-term agreements: flexibility for landlords in dynamic neighborhoods such as Oud-Rijswijk. Disadvantages: uncertainty for tenants, especially newcomers struggling with the tight market. Tax implications: fixed-term agreements often do not qualify for the owner-occupied home tax allowance, which is particularly impactful in Rijswijk due to rising WOZ (property valuation) values. Disputes occur more frequently with fixed-term agreements due to automatic termination, but the subdistrict court often enforces continuation in cases of abuse, as seen in local precedents. In Rijswijk, the municipality advises tenants to make informed choices when entering into agreements and to consult the Housing Information Desk. (287 words)