The Function of an Indefinite Contract
While 'month-to-month lease' is not an official legal category in the Netherlands, the term perfectly describes the practical reality and flexibility that a tenant enjoys under an indefinite contract (contract voor onbepaalde tijd). This type of contract has no end date and continues automatically, but the tenant has the right to end it at any time by giving notice of one calendar month. This effectively creates a month-to-month tenancy from the tenant's perspective, giving them the freedom to move whenever their circumstances require it.
A One-Sided Flexibility
It is crucial to understand that this month-to-month flexibility is completely one-sided and is a core feature of Dutch tenant protection (huurbescherming). The landlord does not have a corresponding month-to-month right to terminate the lease. While the tenant can leave with minimal notice, the landlord is bound to the contract long-term. The landlord cannot simply give one month's notice to end the tenancy. Their ability to terminate the lease is restricted to a very limited set of legally defined circumstances and almost always requires the permission of a judge if the tenant does not voluntarily agree to leave. This legal asymmetry provides tenants with a high level of housing security.
Contrast with Fixed-Term Leases
This situation is the opposite of a fixed-term lease (contract voor bepaalde tijd) that does not contain a break clause. In that scenario, the tenant is locked in for the entire term and has no month-to-month flexibility at all. Therefore, a tenant seeking flexibility should always aim for an indefinite contract or a fixed-term contract with an explicit tenant break clause.