The municipality of Amsterdam is working on implementing a rental ban on new owner-occupied homes, in an attempt to prevent new homes from being bought up by investors and then rented out for hefty sums, the municipality said in a press statement. The ban will not only apply to the first buyer, but also to the people who later buy the home.
After years of skyrocketing prices, the housing market in the Netherlands may be cooling down. In the last quarter of 2018, one in five municipalities saw home prices decrease compared to the previous quarter, according to the quarterly report of valuation company Calcasa. The price decreases mainly happened in Limburg and Groningen, RTL Nieuws reports.
Up until 2022 another 10,500 homes and rooms will be built for students and young people in Amsterdam and surrounding region - 9 thousand in Amsterdam and 1,500 in the surrounding municipalities, the city of Amsterdam announced.
The average selling price for a home in the Netherlands surpassed the 300 thousand euros mark for the first time in history. In January homes exchanged owners for an average of 302,157 euros, Statistics Netherlands and the Land Registry reported on Tuesday.
Compared to January last year, the price for an owner occupied home increased by 8.7 percent. The housing price increase is picking up. In December homes were 8.4 percent more expensive than the same month the year before.
The wealth of the median Dutch household increased significantly in 2017, rising by 6 thousand euros to 28,300 euros. This is mainly due to substantial price increases on the housing market, Statistics Netherlands reports. If homeownership is taken out of account, the median wealth increased only slightly compared to 2016 to 14,100 euros.
Statistics Netherlands looked at all the assets and debts of Dutch households. Savings and investment mortgages are not included in these figures as the stats office was not given access to that data. Pensions are also not included.
Housing corporations are unable to build as many homes as they want due to rising construction costs and a lack of locations, they said in a survey by housing corporations' association Aedes. New construction projects also regularly turn out to be financially unfeasible due to higher construction costs, they said, NOS reports.
Amsterdam housing corporations are struggling with housing fraud on a large scale. They estimate that between 10 and 20 percent of their 186 thousand homes are being illegally sublet, Financieele Dagblad reports after speaking with Ymere, Rochdale and Stadgenoot - the three large housing corporations in Amsterdam.
Over the past decades free sector rental homes have been too much of a "neglected child" in the Dutch housing market policy, Klaas Knot, president of Dutch central bank DNB, said in a speech on Monday. He called for more attention to be paid to this part of the housing market, ANP reports.
The price to rent a home in the Netherlands continued to rise in the second half of 2018. The average rent increased by 2.9 percent. The average price per square meter increased by 5.9 percent, according to realtors association NVM and real estate managers association VGM, ANP reports.
The Dutch housing market is still overheated, but is cooling down slightly in the most heated parts of the market, realtors association NVM concludes based on the sales figures for the last quarter of 2018. "In some regions and especially in Amsterdam we see that the ceiling of continuous price increases is slowly being reached", NVM chairman Ger Jaarsma said, NOS reports.
The madness on the Amsterdam housing market seems to have reached a new low point with an ad for a room for rent on Kamernet.nl, which RTL Nieuws discovered. The six square meter room was advertised for 878 euros per month. The ad has since been removed.
As the Dutch economy continues to improve, more permanent jobs will be offered in the Netherlands and contract wages at companies will continue to rise, according to Dutch central bank De Nederlandsche Bank (DNB), NU.nl reports.
The number of permanent jobs is already increasing, said Job Swank, director of financial stability at DNB. This year, contract wages are expected to rise by 2.1 percent, after they already rose 1.5 percent in 2018. For 2019 and 2020 the bank expects wage increases of 2.6 and 3 percent respectively.
The municipality of Amsterdam plans to construct 52,500 new homes in the next seven years, responsible alderman Laurens Ivens announced. The main risk for these ambitious construction plans may be the shortage of construction workers, he said, AD reports.
"The plans are there. Hopefully we can find enough construction workers and the state will cooperate", Ivens said while presenting the municipality's plans on Thursday. The city wants to build 7,500 homes per year in its period of government. The rest will be built in the years thereafter.
There is a considerable shortage of homes on the Dutch housing market. As a result, fewer homes are being sold for higher prices. And home sales are also happening faster and faster, according to figures released by the Dutch association of realtors NVM, NU.nl reports.
Amsterdam rose to the 5th place on Swiss bank UBS's ranking of cities with the highest risk of a house price bubble. In these cities home prices rose so fast compared to inhabitants' incomes, that there is a good chance that the housing market will collapse, Het Parool reports.
Hong Kong is first on the ranking, followed by Munich, Toronto and Vancouver. Amsterdam rose from 8th place last year to 5th this year, passing Sydney, London and Stockholm.
Existing owner-occupied homes in the Netherlands were 9.3 percent more expensive in August than in the same month last year, Statistics Netherlands and the Land Registry reported on Friday. The price increase was higher in August than in previous months.
Ten years after the outbreak of the credit crisis, the average selling prices of existing owner-occupied homes in the Netherlands are back on the level of 2008. Though the recovery can mainly be seen in the Randstad area. Prices in the big cities are now far above the 2008 level. But in many places outside the Randstad, house prices are still lower than before the crisis, Statistics Netherlands reported on Wednesday.
For the first time students in the Netherlands on average pay over 400 euros per month for a room. Student housing rents increased more than 5 percent compared to last year, according to student housing website Kamernet, RTL Nieuws reports.
Amsterdam is the most expensive when it comes to student housing, with an average price of 571 euros per month for a room. Rotterdam saw a student housing rent increase of 7.4 percent to 460 euros per month.
The prices of existing homes in the Netherlands increased by 8.8 percent in the second quarter compared to a year earlier, reaching a record high. The number of home sales decreased almost everywhere in the country, Statistics Netherlands and the Land Registry reported on Friday.
Amsterdam and seven other popular cities are asking the United Nations for help in dealing with the problems of overcrowded city centers and overheating housing markets. The cities hope the UN will put pressure on national governments to intervene, NOS reports.
A third of the homes sold in the Netherlands in the second quarter of 2018 were sold above the asking price - the first time ever that overbidding happened so often in the country, according to the Dutch association of realtors NVM. In early 2014 only 5 percent of homes were sold at above asking price, RTL Nieuws reports.
ABN Amro expects that home prices in the Netherlands will increase by an average of 8.5 percent this year and 7 percent next year, instead of the bank's previous predictions of 8 and 5 percent respectively. According to the bank, interest rates will remain low for the time being, resulting in housing prices increasing faster than previously expected, ANP reports.
NN Groep is selling a portfolio of 6,777 homes to residential investor Vesteda for 1.5 billion euros, the two parties announced on Friday. This is one of the biggest deals ever on the Dutch rental housing market. Vesteda CEO Gertjan van der Baan called the scope of the deal unique, NU.nl reports.
House prices in the Netherlands reached record high in May, rising above the peak in August 2008 to the highest level ever, according to figures Statistics Netherlands and the Land Registry released on Thursday.
Last month the average price to buy a house in the Netherlands was 283,945 euros, 9 percent higher than a year earlier. This only includes existing owner-occupied homes, new construction is not included in these figures. In April house prices were also almost 9 percent higher than they were in April 2017.