Existing owner-occupied homes were 19.5 percent more expensive in March than a year ago. This is evident from figures published on Friday from Statistics Netherlands (CBS) and the Land Registry. Compared to the most recent low in house prices in June 2013, prices were almost twice as high.
House prices rose slightly less in March than in February, when house prices were 20.2 percent more expensive than the year before. January saw the largest price increase since the CBS measurements of house prices began: owner-occupied homes were 21.2 percent more expensive than a year earlier.
In the first quarter, more than a third fewer houses were sold than in the previous year. This concerns 43,923 homes sold. That is the lowest number of housing transactions in six years. Especially in Amsterdam, Utrecht and Rotterdam, cities where prices are highest, the number of houses sold fell sharply. Of the four largest cities, prices rose the fastest in Utrecht last month.
Housing shortage
The Netherlands has been dealing with a housing shortage for years. It is difficult, especially for first-time buyers, to find affordable housing and the waiting lists for social housing are long. The government wants to build 100,000 new homes every year. In total, 900,000 new homes are to be added in the coming years. About 77,000 homes were built last year.
In 1995, when CBS measured house prices for the first time, an owner-occupied home cost an average of 93,750 euros. In January this year, the most recent measurement moment by Statistics Netherlands, was the price for a house on average 419,361 euros†
Also read: Are a million homes needed? It can also be less, or more