Expats moving to the Netherlands almost always have to deal with a security deposit (borg) when renting a property. Whereas Dutch tenants usually pay one or two months' deposit, expats often have to put down much more — sometimes even three to six months' rent. This raises the question: is that actually allowed?
The tenancy law attorneys at Arslan Advocaten explain why expats often pay a higher deposit, when this is unreasonable, and what you can do about it.
Why do expats often pay a higher deposit?
Expats are a popular target group on the rental market, but also a vulnerable one. Landlords and real estate agents sometimes exploit this. The most common reasons for a higher deposit:
Unfamiliarity with Dutch rules
Many expats do not know that 1 to 2 months' deposit is the norm. As a result, they accept higher amounts.Temporary contracts
Expats often rent temporarily. Landlords see this as additional risk and therefore increase the deposit.Assumed risk upon departure
Landlords fear that expats will not be easily traceable after returning to their home country. A high deposit is then used as security.Language barrier and urgency
Expats often sign a contract quickly in a foreign language, without a legal check, in order to secure a property.
How much deposit is reasonable?
Normal: 1 to 2 months' rent.
Excessive: 3 months or more, especially if there is no clear reason for it.
Unreasonable: 4 to 6 months' deposit, often a sign of exploitation of the vulnerable position of expats.
The court always considers reasonableness. If the deposit is disproportionately high, this can be reversed.
Examples from practice
Excessive deposit: an expat in Amsterdam had to pay 4 months' deposit. The court ruled that this was unreasonable and that only 2 months' deposit was permissible.
Uncertainty upon departure: an expat did not receive his deposit back after returning abroad. With legal assistance, the full deposit was eventually refunded.
Discrimination: a landlord asked Dutch tenants for 1 month's deposit but charged expats 3 months. This was deemed an unjustified difference.
What can you do as an expat?
Read the tenancy agreement carefully — and request an English translation.
Negotiate the deposit — more than 2 months is often too high.
Document the condition of the property at move-in and move-out (photos/video).
Engage a lawyer if your deposit is too high or is being unjustly withheld.
Frequently asked questions (FAQ)
1. May a landlord ask expats for a higher deposit than Dutch tenants?
No, no distinction may be made. The deposit must be reasonable for everyone.
2. What is customary in the Netherlands?
1 or 2 months' rent is the norm. Anything above that is often unreasonable.
3. What can I do if I have paid too much deposit?
You can reclaim this. This often succeeds through negotiation or, failing that, through the court.
4. How do I prevent problems with the deposit?
Have a tenancy law attorney review the contract before you sign and always take photographs of the property.
Conclusion
Expats often pay unnecessarily high deposits because they are unfamiliar with the rules or because landlords exploit their vulnerable position. Be aware that the deposit in the Netherlands normally amounts to a maximum of 2 months' rent and that disproportionate amounts can be reclaimed.
The tenancy law attorneys at Arslan Advocaten have extensive experience in expat matters and assist you in reclaiming your deposit or challenging excessive deposit amounts.