Selling a rooming house around the TU/e: permit, tenancy law and value

Looking for the complete overview? Read our guide selling a multi-let room property: value, costs, steps, and a no-obligation offer within 24 hours.

Documents first, price later

Room-by-room letting requires a permit in almost every student city. In Eindhoven, the municipality works with a conversion permit (omzettingsvergunning) for converting self-contained living space into non-self-contained rooms, with conditions regarding liveability and distribution, among others. A buyer will ask for this first. If you cannot produce the permit, they will price in the risk – or walk away.

So, ensure you have ready: the conversion or withdrawal permit, the number of permitted rooms, fire safety provisions, and any usage notification (gebruiksmelding).

Rental stream and regulations

The value of a multi-let room property is derived from the net rental income. Bear in mind that non-self-contained living space is valued via its own residential property valuation system (woningwaarderingsstelsel), and that successive legislation regarding rent protection and temporary contracts has changed the scope for rent increases. A professional buyer calculates based on the rent that is legally sustainable, not the rent that happens to be paid currently.

What increases the value

  • A complete permit status and an up-to-date fire safety file
  • Clear, signed tenancy agreements with a consistent rent per room
  • Separate meters or a transparent service charge settlement
  • Maintenance history of the central heating, electrics, and roofing
  • Walking or cycling distance to TU/e, Fontys, and the city centre

Selling without alarming your tenants

Selling discreetly is possible. You don't need a sign in the garden or an open day; with a complete file, interested investors can already perform a large part of their assessment before a single viewing takes place. Tenants are protected upon sale: sale does not terminate a lease (koop breekt geen huur).

Read more at selling a student property.

Sources

  • Municipality of Eindhoven on conversion permits and room letting: eindhoven.nl
  • National Government on rent protection and the property valuation system: rijksoverheid.nl
  • Civil Code Book 7 on 'sale does not terminate lease': wetten.overheid.nl