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Construction site in Urk brought to a standstill by the coronavirus, 28 March 2020
Construction site in Urk brought to a standstill by the coronavirus, 28 March 2020 - Credit: fokkebok / DepositPhotos - License: DepositPhotos
Business
housing market
housing shortage
new homes
construction
Kajsa Ollongren
Ministry of Home Affairs and Kingdom Relations
nitrogen
Pfas
Coronavirus
construction sector
Tuesday, 16 June 2020 - 09:55
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Housing shortage: 845,000 homes must be built by 2030

In the coming decade, 845 thousand new homes must be created in the Netherlands to prevent the housing shortage from rising further, according to the report State of the housing market 2020 that Minister Kasja Ollongren of Home Affairs presented to parliament, NOS reports.

The Netherlands currently has a shortage of 331 thousand homes, 4.2 percent of the housing stock. The aim is to reduce that to 2 percent in 2035. In that year, the Netherlands is expected to have 18.8 million inhabitants - which means that homes must be built not only to make up for the current shortage, but also to meet the increasing demand.

A total of 71,500 new homes were built last year, and another 10 thousand created by converting existing buildings. The number of new homes built is expected to drop to 55 thousand this year and 50 thousand in 2021. This is largely due to problems surrounding nitrogen emissions, PFAS, and the lack of construction site. The coronavirus crisis also plays a role. According to the report, there is a risk that people may become reluctant to buy a home, making it less attractive for investors and developers to invest in new home construction.

According to the Minister, the previous crisis in 2008 showed that the demand for housing returned quickly after the crisis, but the effects on the construction sector were long lasting. The number of new homes built is expected to increase again from 2022.

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