REALWorld Law

Residential leases

Indexation of rent

Is indexation of rent limited or not allowed at all?

Belgium

Belgium

Indexation of rent is expressly regulated in each of the three Regions. The same rule applies in every Region.

Landlords can only index the rent based on the cost of living according to the Health Index published by StatBel. If (i) indexation is not expressly excluded and on condition that (ii) the residential lease agreement is concluded in writing, the adjustment of the rental price to the cost of living shall be (iii) due once per rental year, on the anniversary of the entry into force of the residential lease agreement. Further, the indexation does not occur automatically and is  shall only be applied at the written notice from the landlord to the tenant. Indexation can only be applied retroactively for a maximum of three months prior to the notice.

In 2022, each of the three Regions introduced a mechanism which temporarily limits the indexation of residential leases due to the energy crisis and the extraordinary increase in inflation. Such mechanisms are based on the score of the EPB certificate of the leased premises. However, this limitation on indexation has expired and landlords may apply the normal indexation.