Dutch home prices will rise another 10% by end 2026: ABN Amro

Home prices will continue to rise this year and next after reaching record highs last year. An economist at ABN Amro expects prices on the tight housing market to increase by 7 percent this year and another 3 percent next year.

The price increase is mainly due to falling mortgage rates, the housing shortage, and higher household incomes, the economist said in a new estimate. Buyers will have to pay more money for a house, especially in the Utrecht region and in rural areas. Prices in Amsterdam, Rotterdam, and The Hague are expected to rise less rapidly.

However, mortgage rates did rise slightly at the beginning of this year, and the monthly price increase almost came to a standstill in February, said ABN Amro housing market economist Mike Langen. According to him, the plans of American president Donald Trump are causing uncertainty. “But the impact of this on the Dutch housing market is expected to remain small.”

According to the economist, developments in the housing market indicate that the number of sales is still increasing. According to the bank, over 200,000 homes were sold last year, partly because private investors sold off former rental properties. This sell-off was triggered by new tax rules and the law that took effect last year to regulate mid-priced rental properties.

ABN Amro expects that 5 percent more homes will be sold in 2025 compared to 2024, but that the increase will level off to 1 percent in 2026. The wave of selling off will largely have stabilized by the end of this year, and the supply remains limited. The government is trying ot stimulate new construction, but there have been no concrete results as of yet, according to Langen.