Rental of residential property
Various information about the rental market can be found on the HMS web site.
Monthly and annual reports on rental prices and rental market surveys
Rental register dashboard, which includes the rental price monitor
All information on rights and obligations regarding rent can be found on the website of Renting helpline
Properties up for lease can be found online with various rental agencies and in media advertisements
Leases
The lease agreement must always be in writing and signed by both parties. This ensures the rights of both tenant and landlord, for example regarding terms and obligations
Lease agreements may be either fixed-term or indefinite, and different rules apply to termination depending on the type of rental property and the duration of the lease
The lease agreement serves as evidence in the event of a dispute
It is important to register the lease agreement in the HMS Rent Register. This allows the tenant to apply for housing benefits, and the landlord to ensure that rental income is pre-registered in their tax return.
Parties to the lease agreement
A lease agreement must always involve at least two parties: the landlord and the tenant
If the landlord is unable to fulfill their responsibilities, for example due to long-term absence or illness, it is necessary to register a representative
An estate (of a deceased person) can act as landlord, but a representative must be registered in such cases
For Tenants
If you believe the rent is unreasonable, you may contact the Housing appeals committee
The landlord is required to keep your security deposit in a designated, unrestricted bank account, with the highest available interest rate. If the deposit is not used to cover unpaid rent or damages, it must be returned to you with accrued interest
Information on the rights and responsibilities of tenants is available on the website of the Renting helpline, which offers free legal advice
Rental properties can be found in classified ads and through online rental platforms
For Landlords
The landlord is responsible for paying property fees, including property taxes and insurance premiums.
Rental income is taxable. Individuals must pay capital income tax on rental income. Further information is available on the website of Skatturinn.
If there is a significant increase in operating costs, the landlord may request an adjustment to the rent amount.
The security deposit must be kept in a designated, unrestricted bank account with the highest possible interest rate at a commercial bank or savings bank. However, it may be used to cover unpaid rent or other liabilities if necessary.
Termination of the lease should be done in writing and sent in a verifiable manner, for example by email or registered mail. Electronic signature is considered equivalent to sending or receiving by registered mail.
Representative associations
Service provider
Housing & Construction Authority