The mid-range rent threshold and the label requirement: will you stay above 186 points?

The segment thresholds within the WWS

The housing valuation system has a point threshold of up to and including 143 points for social rent, a mid-range segment from 144 to and including 186 points, and above that the free sector without a statutory rent ceiling. These thresholds apply to the points determined at the start of the tenancy agreement.

A home that currently has, for example, 170 points with label E, could potentially exceed 186 points through a label jump to D with +18 points (for a single-family home) and thus end up in the free sector, provided the home's other characteristics remain unchanged.

Calculate this per home, not based on a rule of thumb

Whether a label jump actually crosses the 186-point threshold depends on the starting point of the specific home: the number of points already achieved via surface area, facilities and WOZ value. A general rule of thumb is not responsible here; concretely calculate the point count per home, both before and after the intended label step.

This is particularly relevant for landlords with a portfolio of homes that are just below the mid-range rent threshold: for them, a targeted label improvement, besides meeting the 2029 Bbl requirement, can be a direct route to free-sector rental without a statutory rent ceiling.

• Social rent: up to and including 143 points. Mid-range rent: 144 to and including 186 points. Free sector: from 187 points.
• Label jump E to D: +18 points single-family, +15 points multi-family under the current system.
• Always calculate the point count for the specific home, not based on a general estimate.