Housing prices in the Netherlands: highest increase in two years
Housing prices in the Netherlands have seen another significant increase over the past month. Buyers paid, on average, 11.4% more for a home compared to the same period last year, marking the largest price increase in two years. This steep rise is especially evident in the province of Utrecht.
Average Home Prices in the Netherlands
According to recent data from Statistics Netherlands (CBS) and the Land Registry (Kadaster), the average price paid for an existing home last month was €466,890. These figures focus solely on existing homes, with newly built properties being excluded from the analysis.
For years, house prices in the Netherlands have been on an upward trajectory, driven by high demand and a limited supply of available homes. The only exception was the period between mid-2022 and mid-2023, when price increases temporarily slowed. However, after this brief pause, the prices started climbing again, with current prices now standing nearly 7% higher than the previous peak in July 2022.
Regional Variations: Utrecht Leads the Way
The rising trend in housing prices has been observed across nearly all regions in the Netherlands, with the exception of Zeeland, where prices increased by less than 10% over the last quarter. Nevertheless, even in Zeeland, homebuyers still paid 6.9% more compared to the same period the previous year.
The sharpest rise was seen in the province of Utrecht, where prices jumped by 14.4%. This significant increase is partly due to the housing market in the city of Utrecht, where prices surged by a staggering 18.4% over the last quarter compared to the same period last year. This makes Utrecht stand out significantly, surpassing other major cities like Amsterdam, where prices rose by 10.1%, and Rotterdam, which saw an 8.9% increase.
More Homes Changing Hands Despite High Prices
Despite the sharp rise in housing costs, more people have managed to buy homes. In every Dutch province, more homes were sold last quarter compared to a year earlier. In total, 54,147 homes were sold across the country, representing a 15.3% increase in the number of transactions compared to the same period in the previous year. Apartments, in particular, have been selling at a much higher rate.
What’s Driving the Price Increases?
The rapid increase in house prices can largely be attributed to the high demand for homes combined with a shortage of supply. With fewer homes available and a strong demand, competition among buyers has driven up prices. The lack of sufficient new housing projects also plays a key role, as construction has not been able to keep pace with the growing population and demand for homes, especially in urban areas.
Outlook for the Dutch Housing Market
Looking ahead, it’s unclear whether housing prices will continue their rapid ascent, but the current trend suggests that the market is still highly competitive. The affordability of homes, especially for first-time buyers, is becoming increasingly challenging, even as more transactions are taking place. As long as the imbalance between supply and demand remains, housing prices are likely to stay elevated, particularly in high-demand areas like Utrecht and Amsterdam.
Request a free intake meeting
If you would like to discuss the current housing market and mortgage landscape, you can always reach out to us or to Nick from Your Dutch Home for an online intake session. These sessions are always free of charge.
We can advise you in
following financial products
Mortages
On a mission to buy a house in the Netherlands? Let us help you get
the keys to your new home!
Insurances
Reduce financial risks and get the support that you need. Getting the right insurance now may save you a lot of money in the future.