In June, banks in the Netherlands had a total of 611 billion euros in mortgages. That is more than 5 percent more than a year ago. The amount this year increased on average by 2.9 billion euros this year. The last time that the lending of banks for mortgages grew so fast was in 2008.
The growth rates went up and down in recent years, writes DNB. From 2021 there was a strong increase. That was mainly due to the historically low mortgage rates. When those interest rates began to rise due to interest rates of the European Central Bank (ECB), a dip followed. That lasted from mid -2022 to the beginning of last year.
Growth harder than in the rest of EU
After that the situation turned again. More than a year ago, the ECB started reducing the interest rates in the eurozone, which also had an impact on the mortgage market. The latter probably explains why such strong growth has been seen lately.
Starter must save this amount every month to keep track of house prices
The increase in the number of mortgages in the Netherlands is stronger than average in the eurozone. According to DNB, this may have to do with the growth in the number of homes sold, stronger wage growth and the faster house prices in the Netherlands compared to the rest of the euro area.