Ultimately, renting out a property is about generating a return on your investment. Many landlords focus primarily on the rental price: the higher the monthly rent, the higher the return. However, there is one important factor that is easily overlooked: vacancy.
In practice, we sometimes see landlords aiming for a high rental price for their property, even when that price exceeds what the market is willing to pay. The result can be a property sitting empty for weeks or even months.
And that is precisely where your return can quickly suffer.
A higher rental price is not always the best choice
Imagine you want to rent out a property for €2,000 per month. However, the market appears willing to pay around €1,850.
You could choose to hold out for €2,000. Perhaps that one tenant willing to pay the asking price will eventually come along.
But every month the property remains vacant, you miss out on €2,000 in rental income.
After just one month of vacancy, you have already lost €2,000 in potential rental income. After three months, that figure rises to €6,000.
To make up for this difference through a higher rental price, the property would then need to remain occupied for a considerable period.
A simple example
Imagine a property that:
Could be rented out for €2,000 per month;
Would likely attract a tenant more quickly at €1,850 per month.
If the property is rented out for a full year at €2,000 per month, you receive €24,000 in rental income.
But suppose you wait six weeks to secure that higher rent. You would miss out on approximately €3,000 in rental income. Even if you subsequently rent out the property for €2,000 per month, your total rental income for the first year would be around €21,000.
At a rental price of €1,850 per month, with a tenant moving in immediately, you would receive €22,200 over the same period.
In this example, the lower rental price therefore generates more rental income in the first year.
Vacancy costs more than just lost rent
The financial impact of vacancy extends beyond the rental income you miss out on.
The property may continue to incur costs while it stands empty, including:
Mortgage payments;
Service charges or homeowners' association (HOA/VvE) fees;
Insurance premiums;
Municipal taxes and charges;
Maintenance costs;
Energy costs;
Marketing expenses and the cost of arranging new viewings.
These costs continue to add up, even when there is no rental income to offset them.
That is why it is important to consider not only how much you would ideally like to receive in rent, but also what the market is actually willing to pay.
The rental market is tight, but that does not mean every asking price will be met
The Dutch rental market remains highly competitive in 2026. According to NVM and VGM NL, the average rental price in the private rental sector was €19.32 per square metre in the second quarter, while the number of rental transactions remained at historically low levels.
This may give the impression that landlords can charge whatever rent they want. In reality, tenants have become more selective. A property needs to be attractive in terms of price, quality, location and rental terms compared with the other properties available.
Landlords must also take the applicable rental regulations and the Dutch housing valuation system (WWS) into account. Depending on the property's WWS points score, a maximum permitted rent may apply.
Focus on the overall return
A sound rental strategy is not simply about achieving the highest possible monthly rent. It is about maximising the overall return over the course of a year.
A slightly lower rent with a consistently high occupancy rate can be more financially attractive than a high rent that results in frequent periods of vacancy.
It is therefore helpful to think in terms of:
Rental price × number of months let = rental income
You then need to deduct expenses and account for any periods of vacancy.
This gives you a more realistic picture of your property's financial performance.
When does a slightly lower rental price make sense?
A lower rental price may be worth considering if you notice that:
Comparable properties are being let more quickly;
You are receiving very few viewing requests;
Prospective tenants are withdrawing because of the price;
The property has been vacant for an extended period;
The asking price is clearly above that of comparable properties.
The aim is not to rent out the property as cheaply as possible. It is to establish a market-based rental price that strikes the right balance between rental income and occupancy.
The right price is part of a successful rental strategy
Renting out a property involves much more than simply setting a price in an advertisement. The right rental price depends on the location, floor area, quality, facilities, target audience and competition at the time.
That is why it can be worthwhile to assess the market carefully before putting your property up for rent.
A landlord who wants to earn an extra €100 or €150 per month may ultimately lose thousands of euros if the property remains vacant for an extended period as a result.
The highest rental price is therefore not automatically the best rental price.
A property rented out quickly at a realistic market rate can ultimately generate a better return than one that stands empty for months while the landlord waits for that one tenant willing to pay top dollar.
In conclusion
Vacancy is a hidden cost. You will not receive an invoice for the rental income you have missed out on, but the financial impact is very real.
When letting a property, do not just ask yourself:
“What is the maximum rent I can charge for this property?”
Instead, ask:
“What rental price will provide a healthy balance between income, occupancy and return on investment?”
That is often a much better starting point for long-term rental success.
Renting out your property? Trust Kennemerland's leading letting specialist.
Koops Makelaardij lets and manages more than 500 properties every year across the Kennemerland region. With over 20 years of experience in the rental market, we understand rental pricing, tenancy legislation and how to find the right tenant — helping you rent out your property with peace of mind.
Whether you own a single property or an entire investment portfolio, we take care of the complete letting and management process from A to Z. From rental valuations and property viewings to tenancy agreements and periodic inspections.