Trust in housing market sinks slightly: ING
Confidence in the housing market is slightly declining, the ING said based on their housing market index. The decrease is due to the expectation that mortgage interest rates will rise. The respondents, consisting of homeowners and tenants searching for a new home, are also concerned about the availability of homes.
More than half of the respondents noticed the consequences of the shortage of affordable housing themselves or among people in the area. Among starters, that number is 68 percent.
The consequences include overbidding, staying longer with parents, or not buying a house at all. More than two-thirds of the respondents think that the central government, municipalities and provinces are not doing enough. Just over a quarter believe that adjusting the amounts people can borrow to buy a home will have an effect.
The respondents see social home purchasing as a way to help first-time homeowners and people with lower incomes on the housing market. By lowering the price of land and limiting construction costs, affordable housing can be built in many places. More than half of the respondents find an income limit for social home purchasing to be acceptable.
Homeowners count on the fact that they can make a profit if they sell their homes. Striking is that due to the sharp rise in house prices, almost a quarter would no longer be able to buy their home if they had to pay its current price.
Reporting by ANP