Rent Guarantee

The 'Garantstelling'

A 'rent guarantee' or garantstelling is a common requirement in the Dutch rental market, especially for prospective tenants who do not meet the standard, strict income requirements (inkomenseis) set by the landlord. This includes students, recent graduates, or anyone with a low or unstable income. A guarantee is a formal legal commitment from a third party (the guarantor or garantsteller) to cover the tenant's obligations—primarily the payment of rent—if the tenant fails to do so. The guarantor is essentially a financial backstop for the landlord, reducing their risk of non-payment.

Who Can Be a Guarantor?

The guarantor is most often a parent or close family member of the tenant. However, in some cases, an employer might act as a guarantor for an employee, particularly for an expat. The guarantor must themselves be financially secure and able to prove that they have sufficient income to cover both their own living expenses and the tenant's rent if necessary. To this end, a landlord or agent will subject the guarantor to the same rigorous financial screening as the tenant, requiring them to provide an employment contract, recent payslips, and proof of identity. The guarantor must sign a separate legal document, the deed of guarantee (akte van borgtocht), which formalizes their commitment.

A Serious Legal Commitment

Acting as a guarantor is not a mere formality; it is a serious and legally binding financial commitment. If the tenant stops paying rent, the landlord has the full legal right to demand the money directly from the guarantor. This obligation covers not only the rent but potentially also the costs of any damages to the property that exceed the security deposit. A garantstelling can often be for the entire duration of the rental agreement, which could be several years. Anyone asked to be a guarantor should read the agreement very carefully and fully understand the significant financial risk they are undertaking.