House prices in the Netherlands have reached record highs, defying expectations that the post-pandemic surge would taper off amid steep interest rate hikes from 2022 to 2023 aimed at curbing inflation. Fears of demand falling off have proven unfounded, as the housing market continues to show resilience. Interest rates are gradually declining from their recent highs, while a strong economy and tight labour market have helped offset affordability concerns. Further, the Netherlands’ resilient, borrower-friendly mortgage framework continues to provide a stable environment for existing homeowners. This KBRA report examines the latest trends in the Dutch housing market and serves as an update to our previous publication (see Dutch Housing Market: Increased Rates Leave Their Mark).
Key Takeaways
- Falling interest rates, persistent demand with limited supply,…