Prices of new build and existing properties in the Netherlands rose by 19,5 percent between the beginning of 2021 and the first quarter of 2022. This means that Dutch house prices are rising at a rate significantly above the EU average, with the cost of housing in the Netherlands rising at the fourth-fastest rate in Europe. House prices rose by an average of 10,5 percent over the course of last year. While Czechia recorded the most significant increase, those looking to buy a house in Cyprus saw prices rise by just 1,1 percent. The news comes as reports suggest that the Dutch housing market is cooling off while rental prices rise across the country. The country also continues to face a severe housing shortage as, despite various efforts made by the Dutch government, the demand for housing massively outweighs the supply.
The government’s aim to build 100.000 new homes a year was “a long way off,” as in 2021 only 71,221 houses were built. The Dutch bank predicts even fewer will be completed this year and in 2023. Similar sentiments have been shared over at the Environmental Assessment Agency (PBL), which published a report this week announcing that the government’s plans to combat the housing shortage by building more flex housing weren’t off to a great start either. The cabinet aims to establish 15.000 flex homes a year, but PBL says municipalities and housing associations don’t have enough workers to supervise the building projects.