The Dutch housing market has been hit with the largest price increase in two years: owner-occupied homes are now 11.2% more expensive than they were last year. 📈
And just how large was that price increase? Well, according to figures from CBS (the Dutch Bureau of Statistics), the average price of an owner-occupied house reached a staggering €466,207 this August. Ouch!
What is an owner-occupied home?
This refers to a type of occupancy where a person owns the house in which they live. Owner-occupied homes can refer to houses, as well as flats or condominiums.
The housing market is “overheated”, says experts
In a video released last month, CBS chief economist Peter Hein van Mulligen compared the current housing situation to that of 2021.
Both cases involve an “overheated” housing market, where prices increase rapidly thanks to sky-high demand and limited supply.
As RTL Nieuws notes, it’s this last factor that continues to fuel the present housing dilemma: the sheer lack of accommodation for sale.
Building new homes is an urgent priority
With the housing crisis hitting critical levels, it’s certainly no coincidence that the Dutch government just announced that it will be allocating a sum of €5 billion to combat the issue.
Minister of Housing and Spatial Planning Mona Keijzer states that it “should be possible to build 100,000 homes in the coming year.” Municipalities will also receive a fixed sum for each affordable home that they build.
READ MORE | Why is there a housing shortage in the Netherlands? The Dutch housing crisis explained
In addition to building new houses, Keijzer has noted that she intends to focus on “making better use of existing buildings.”
How hopeful are you in the latest measures to combat the housing crisis? Tell us your thoughts in the comments below!
I think there is a typo, as 5 million euros won’t build many houses! Probably should be 5 billion.
Thank you for pointing this out to us! You are indeed correct, we have amended this in the article. 🙂