The house prices in the Netherlands are rising stronger than expected this year, according to ABN AMRO. The bank now expects a price increase of 8 percent instead of the earlier 7 percent. This is mainly due to higher wages and the shortage of houses.
A slight decrease in mortgage interest rates, which makes home purchases cheaper to finance, also plays a role. The price increase is therefore almost at the level of 2024, when houses became 8.7 percent more expensive.
“Surprisingly, the global economic uncertainty surrounding conflicts and trade tariffs seems to play a smaller role than expected,” the housing report states.
The average house price in May was 471,875 euros. This means that a home is now almost 50 percent more expensive than in 2020.
Lower wage increase next year
For next year, experts continue to expect a 3 percent increase in house prices. “The lower growth is due to lower wage increases and the fact that mortgage interest rates will not fall further in 2026.”
ABN AMRO also expects the number of home sales to increase significantly this year, as many investors are selling their rental properties. This is a result of unfavorable tax rules from the previous cabinet, which many market experts have been warning about for some time. As a result, the supply of homes for renters is decreasing further.
“We expect this trend to continue,” ABN AMRO reports. In the first five months of this year, the number of home sales was almost at a record high of 90,000.