Mortgage applications surge as more first-time buyers enter market

The number of mortgage applications in the Netherlands has risen sharply in the first months of the year, driven largely by young first-time buyers who are increasingly able to afford rising home prices due to higher salaries, BNR reports. This is according to mortgage advisory chain De Hypotheker, which reported a 21 percent increase in mortgage applications in the first quarter, mirroring similar growth seen throughout 2024.

Young buyers under the age of 35 accounted for the largest share of the increase, with applications from this group rising by 30 percent. First-time buyers made up more than half of all mortgage applications. The trend is also extending to older individuals who previously rented but are now choosing to buy their homes.

Despite rising home prices, applications for mortgages to purchase a home increased by 20 percent overall. Additionally, there was a 50 percent increase in applications for home improvement loans. De Hypotheker highlighted a particularly striking rise in mortgage applications among those aged 55 and older, which nearly doubled (up 97 percent). This reportedly suggests that more older homeowners are opting to renovate or make their homes more suitable for aging in place rather than moving to new properties.

According to De Hypotheker, the data suggests that first-time buyers are finding more opportunities in the housing market. Mark de Rijke, the company’s commercial director, attributed this to rising salaries and an increase in available properties. “More and more investors are selling rental properties, adding to the housing supply, particularly in the starter segment,” De Rijke told BNR. “This has improved the outlook for affordable homes.”