The rent indexation letter is essential

As a property owner, you are entitled to index the rent annually on the anniversary of the lease. It is crucial to notify each contract signer (or legal cohabitant) in writing, whether by letter or email.

Further explanation

Considerations for Rent Indexation in Belgium (through 2023)

Until recently, the possibility of rent indexation in Belgium depended on the energy performance of the property, defined in the EPC certificate. These rules varied by region:

  • Wallonia: Restrictions in effect until Nov. 1, 2023.
  • Brussels: Restrictions in effect until Oct. 13, 2023.
  • Flanders: Restrictions in effect until Oct. 1, 2023.

After these dates, most restrictions have been lifted, although Brussels has not yet made final decisions on how to proceed.

Download a Sample Letter for Rent Indexation

If you need a rent indexing letter that takes into account the specific rules of the EPC and the region in which the property is located, you can download sample letters and checklists.

Essential Components of the Indexing Letter

To ensure legal validity and make the content clear to the tenant, the indexing letter must contain the following key elements:

  • Date of shipment
  • Contact information for both tenant and owner
  • A clear topic, such as ‘rent indexing 2022’
  • A reminder of the rent indexation clause as stated in the lease
  • The specific index used for indexing (the health index in Belgium)
  • The method used to calculate the new rent
  • The exact amount of the new rent
  • The date on which the revised rent becomes effective

The indexation letter serves to clarify the situation, summarizes the main points and makes the rent review official.

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Source reference:

[1] Flemish, Walloon or Brussels Housing Decree. Legal Requirement of Written Notice of Indexed Rent. [2] Civil Code (Belgium). General Rules on the Validity of Notice of a Price Change in Leases. [3] Royal Federation of Belgian Notaries (notaris.be). The Legal Consequences of Not Sending or Late Sending the Indexation Letter (Retroactivity). [4] Specialized Law Firm in Rental Law. Analysis of Case Law: The Formal Requirements for a Valid Indexing Letter (Date, Calculation Formula, etc.). [5] Federal Public Service Economy (FPS Economy). Information on the Correct Index Figures to be Used in the Letter. [6] Real Estate Sector Report. The Financial Impact on Cash Flow upon Shifting the Indexation Date due to Late Notification. [7] Academic Legal Journal (Belgium). The Evidential Value of the Indexing Letter (Registered Mail) in Conflicts. [8] Software Industry Insight. The Role of Property Management Software in Automatically Generating and Archiving the Indexing Letter. [9] Tenant and Landlord Associations (e.g., VJHP or SVK). Practical Guide: Model Texts and Checklist for Drafting the Indexation Letter. [10] Deloitte or PwC (Belgium). The Accounting Processing of the New Rent after Dispatch of the Letter. [11] Common Rental Law (Federal Legislation). Rules on Notice of Indexation in Common Law Leases.

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