Diplomatic Clause: what does it mean?
Diplomatic Clause and Expats
The diplomatic clause in a rental contract is inherent to the Expat market. On a project basis employees of Multinationals (Expats) come over to Rotterdam and therefore needing a temporary accommodation of minimum 1 year and max. 2/3/4 years, depending on the project.
Nevertheless an Expat needs a diplomatic clause, during that first fixed year of the tenancy agreement.
Only escape in the 1st year
This allows the Expat to terminate the agreement prior to the termination date or the first fixed year if:
- the Expat is being transferred by the employer to another location, located 50 km or more from the premises
- in case of termination of employment
- for reason of force majeure
Provided the Expat inform the owner by registered letter and with a notice period of at least one full calendar month. In the termination notice, the reason for termination must be stated, and if the reason for the termination is a transfer or a termination of employment, as described above, such notice shall be signed by the employer.
Diplomatic clause for the owner
In certain circumstances it's for an owner also possible to rent out his/her property with a diplomatic clause, if:
- it's on a temporary basis and is acknowledged by the Expat/Lessee
- the owner will reoccupy the property after the rental period
- the owner stipulates that the property shall be vacated after the rental period
And of course the same “termination rules” are applicable as mentioned above.
Rotterdam rental market
However in the current rental market it is not very easy to negotiate a diplomatic clause for an owner due to the many housing supply in contrast to the demand for housing. Over the last few years many owners have put up their property not only for sale but also for rent, which has increased the supply of houses. Unfortunately the demand for houses has not increased, but also not decreased. Therefore Expats can choose a rental property according to their personal taste, which is sometimes a challenge.
We would love to help you
But with the right guidance by Riva Rentals Rotterdam on the rental market we would love to take on a challenge and assist you in renting out your property with our no cure no pay Rental Mediation, but also other services such as property management, Short Stay or long stay.