Dutch home prices climbed over 120% in 20 years; Most gains in past decade

In 2005, the average Dutch home sold for 231,000 euros. Twenty years later, the average price stands over 120 percent higher at 509,000 euros, Calcasa reported in a study conducted to mark its 20th anniversary. Homeowners who bought in the past decade have typically gained a small fortune in home value. Those who bought in the decade before that were less lucky, De Telegraaf reported.

In 2015, homeowners who bought in 2005 were still almost at their starting position, after going through some deep troughs. In the aftermath of the financial crisis, home values dropped an average of 20 percent. Those who were forced to sell at the time were often left with mortgage debts.

After that, home values skyrocketed. “The period after the credit crisis was characterized by historically low mortgage rates, an increasing demand of owner-occupied homes, and a limited supply of homes,” Calcasa said. A recipe that guarantees rising prices.

The strongest price increases were in the urban areas. In Amsterdam, average home prices rose from 225,000 to 647,000 in the past 20 years. In Utrecht, prices rose from 208,000 to 583,000 euros on average. In Bloemendaal, one could still buy an average villa for 492,000 euros 20 years ago. Today, that home costs around 1.2 million euros.

The municipalities of Voerendaal and Eijsden-Margraten saw the lowest price increases in the past 20 years at 86 percent.