First-time buyers getting more chances in Dutch housing market: ABN Amro CEO

The opportunities for first-time buyers in the housing market are increasing, said outgoing ABN Amro CEO Robert Swaak. He claimed that houses have become more affordable for them. "Due to a combination of higher salaries and the lower mortgage interest rates, we are seeing a strong revival of the Dutch housing market," he said while presenting the bank's quarterly figures.

Swaak called it a "recovering housing market," and that also presents opportunities for ABN Amro. This allows the bank to sell more mortgages. In the last quarter, ABN AMRO accounted for 20 percent of all new mortgages marketed in the Netherlands. This resulted in an increase in its market share, and ABN AMRO also claimed to be the market leader.

According to Swaak, ABN Amro posted "continued strong results" across the board. For example, interest income only decreased slightly compared to a year earlier, despite the fact that the European Central Bank (ECB) recently started lowering its interest rates. "We continue to benefit from the favorable economic conditions in the Netherlands. Employment is still historically low, and the labor market is tight."

The bottom line was 642 million euros, but a quarter less profit than a year ago. According to Swaak, this difference is partly due to several one-off items. In a comparable period last year, ABN Amro increased its profit considerably thanks to the increase in interest rates.

Swaak announced last week that he would step down as the bank's top boss in the first half of next year. ABN Amro is still looking for a successor. Swaak's departure came unexpectedly, as he had been reappointed for a new term earlier this year.

He said that it is a "very normal custom" when you start a second term as a top executive to talk to the commissioners about your succession and the timing thereof. That conversation was all the more relevant because the 63-year-old Swaak himself already had a feeling that he might not want to complete his new four-year term.