END OF THE LEASE PROPERLY

Ending a lease in Belgium requires careful compliance with specific rules, both for tenants and landlords. Since Jan. 1, 2018, leases fall under the jurisdiction of the regions , which means it is crucial to be aware of the regulations in force in your specific region. This guide provides an overview of the conditions and steps required to properly terminate or accept a lease termination. Knowing your rights and obligations will help you, the owner, manage your property in the best possible way and avoid potential disputes.

AN ADDITIONAL WORD OF EXPLANATION HEREWITH

What Does the Termination of a Lease Imply?

A tenant wishes to terminate a lease when they wish to vacate the leased premises. Reasons may vary, such as the desire to buy a property, the search for a larger living space, or professional mobility. In this case, the contract between the owner and the tenant must be terminated, ending their mutual obligations. The property is then returned to the owner.

Termination can also be initiated by the landlord. Notice periods vary depending on the type of contract and the time of termination.

Termination becomes valid once one of the following documents is received:

A registered letter
A notice from the bailiff
A signed letter delivered by hand

These documents have legal value, and the mandatory notice period must then be observed unless a written agreement is reached with the owner.

Termination of the Lease by the Owner.

The owner can terminate a lease at the end of the agreement with 6 months’ notice for long-term contracts. The owner can also choose to terminate the contract early, but this requires a valid and extremely limited reason.

Valid reasons for termination by the owner include:

Self-occupation or by a family member: The owner wishes to self-occupy the property as their primary residence, or have it occupied by a family member. Specific wording for this can be added to the notice letter.
Execution of Major Works: In this case, the notice can only be given at the end of the 3rd or 6th lease year. The owner must attach supporting documents, such as a copy of the planning permit, a description of the works and an estimate of the costs, or a copy of the construction contract. A specific clause for this can be included in the termination letter.
Without Valid Reason: If the owner wishes to terminate the lease without a valid reason, he must comply with the following rules: termination takes place at the end of the 3rd or 6th year, and 6 months’ notice must be given. In doing so, the tenant can claim damages equal to 9 months’ rent (after 3 years) or 6 months’ rent (after 6 years).

For leases of short duration (max. 3 years), the owner can only terminate the contract for personal occupancy or for occupancy by a family member. The notice can only be given from the 2nd year of renting the property, and the tenant can claim damages of one month’s rent.

Termination by the Owner: Regional Sample Letters

Termination of leases is regulated by regional laws, therefore sample letters depend on the region. Here are examples for leases of long duration (9 years) to be terminated at the end of the agreement:

Wallonia: In accordance with Article 55 § 1 of the Walloon Decree of March 15, 2018 on the residential lease.
Flanders: In accordance with Article 16, paragraph 2 of the Flemish Housing Decree.
Brussels: In accordance with Article 237, § 1 of the Brussels Housing Code.

For short-term leases (max. 3 years) termination at the end of the agreement:

Wallonia: In accordance with Article 55 § 1 of the Walloon Decree of March 15, 2018 on the residential lease.
Flanders: In accordance with Article 21, paragraph 2 of the Flemish Housing Decree.
Brussels: In accordance with paragraph 4 of article 238 of the Brussels Housing Code.

For student rental agreements:

Wallonia: Indicating the start and end date of the pre-subscription.
Flanders: A co-tenancy agreement in Flanders expires automatically at the end of the agreement; there is no tacit renewal and therefore no notice letter needs to be sent.
Brussels: indicating the start and end dates of the notice period.

For co-tenancy agreements, the owner can only give notice when at least half of the co-tenants who signed the agreement have given their advance notice. The owner must give 6 months’ notice.

Termination by Mutual Assent.

A lease may be terminated at any time by mutual agreement of both parties. A sample of such a termination agreement is available.

Manage your Leases Automatically with Software

A property management software such as Offimac helps you remember important dates and automate processes. The software notifies you in advance when an agreement expires and even prepares completed termination letters that can be sent via email, letter or registered mail.

Offimac also supports various property management tasks such as:

Control of tenant payments
Sending payment reminders
Calculating and reporting rent indexations
Handling charge settlements

In addition, Offimac centralizes all information about your property portfolio, including important documents and data from tenants, guarantors and service providers. The dashboard provides a clear overview of your tenants’ payment rate, property occupancy rates and important dates. Track your assets closely with Offimac.

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Source reference:

[1] Civil Code (Belgium). Articles Concerning Termination, Duration and Form Requirements of Leases. [2] Flemish, Walloon or Brussels Housing Decree. Specific Regulations on Notice Periods and the Grounds for Termination of Principal Residence. [3] Royal Federation of Belgian Notaries (notaris.be). Procedural Requirements for a Valid Notice of Termination (Registered Letter or Invoice). [4] Specialized Law Firm in Rental Law. Analysis of the Legal Options for Tenant and Landlord for Early Termination. [5] Tenant and Landlord Associations (e.g., VJHP or SVK). Practical Steps: Closing the Rental Period and Key Transfer. [6] Federal Department of Justice. Information about the Justice of the Peace and the Role in Lease Termination Disputes. [7] Real Estate Sector Report. Analysis of Costs and Fees for Early Termination by the Tenant (Rehiring Fee). [8] Academic Legal Journal (Belgium). The Legal Consequences of Failure to Give Timely or Proper Notice. [9] Local Governments (Municipal Services). Requirements for Final Rent Payments, The State of the Premises and Site Description. [10] Legal Advice. The Return of the Rental Security Deposit: Conditions and Procedure after Lease Termination. [11] Common Rental Law (Federal Legislation). Rules on Tacit Re-Letting and Necessity of Active Termination.