Uncertainty in times of changing rent regulation

In a study conducted by JLL we investigated the effects of rent regulation in several key European markets. The research revealed that while rent regulation initially leads to a decrease in rental prices, it also results in a decline in the availability of rental properties. Moreover, the financial feasibility of investing in rental properties becomes increasingly challenging, leading to a reduction in overall investment levels.

We also found that rent regulation creates other implications, such as the emergence of extensive waiting lists for regulated rental properties in certain markets and significant price differences between regulated and non-regulated sectors.

The report highlights the need for a balanced approach in terms of rent regulation, considering the long-term implications on both rental prices and housing supply. We believe these findings are crucial for policymakers, industry professionals, and stakeholders involved in shaping the future of the rental market.