News item | 09-06-2022 | 10:04
Between 2018 and 2021, the expensive rental sector has grown significantly above €1,000 and the flow from the rental to the owner-occupied market has declined. In addition, it appears that tenants spend a slightly larger part of their income on housing costs during that period; for buyers, this quote has actually fallen. This is evident from the Core Publication of the WoON2021 study that was published today. This three-yearly survey shows the most important developments in the Dutch housing market and emphasizes the urgency for more control over public housing.
The WoON is a large, long-term national survey that is conducted every three years by Statistics Netherlands and the Ministry of the Interior and Kingdom Relations. For decades, the research has provided insight into the living situation of households, satisfaction, relocation wishes and housing costs. The most recent WoON survey provides a coherent picture of the 2018-2021 period.
Prices and quotes
In addition to 5% growth in the share of expensive rental homes, prices on the owner-occupied market have also risen. In 2021 the average price of an existing owner-occupied home was €387,000, while in 2018 it was still €287,000. These price increases are partly the result of low mortgage interest rates, a shortage on the market and the increase in average household income. In addition, the WoON2021 shows that on average tenants spend a larger part of their income on their rental home. The net rental ratio (percentage of income that is paid in rent, adjusted for housing benefit) increased slightly by 0.6%. This is because the net disposable income of a tenant rose on average slightly less than the net rent. Owner-occupier costs, on the other hand, have fallen by more than 2%. This is mainly due to the low interest charges and an increased average disposable income.
More people looking for a home
According to the report, more households indicate that they are looking for another home, approximately 3.2 million households want to move within two years. Of these, approximately 1.7 million households are actively looking for another home. The number of relocations has increased by 3%. People move mainly because of cohabitation, divorce, health or because the previous home no longer meets the requirements. According to the report, the increase in rents and the increase in borrowing capacity for a mortgage (due to the fall in interest rates) is clearly visible in the price segments in which home seekers are searching. In general, the flow from rental to owner-occupied home has decreased: especially high-income households make the switch.
Satisfaction
Homeowners are very satisfied with their home, according to the report. Satisfaction is highest in the owner-occupied sector in particular: over 95% of households. Tenants are less satisfied with 72% compared to home owners, especially in the larger municipalities. The research shows that this is related to the quality of maintenance and the atmosphere of the home. The number of residents suffering from damp or mold in the home has fallen in all segments: in the social rental sector from 28% to 24%, in the private rental sector from 27% to 23% and among owner-occupiers from 12% to 10% .
More information
More information about the WoON research can be found at www.woononderzoek.nl† Researchers can request the WoON microfile via dans.knaw.nl.