The Housing Market in 2021

Despite the corona crisis and what has happened recently, the demand for homes remains high. Prices continue to rise like never before and overbidding on properties has increased significantly. In addition, the supply is quite low and waiting lists are created for both buyers and tenants. According to current news from the Dutch government, the housing shortage will increase until 2024 and will gradually decrease after that.

The numbers

A regular property was on average 7.8% more expensive in 2020 than in 2019. The price increase was higher than in 2019 (6.9%). According to various forecasts, the demand for properties will increase until 2024. It will then decline steadily due to housing production. Furthermore, the flow in the rental sector is very limited and rents continue to rise every year. There is also a shortage of rental housing in the middle segment. Especially in the large regions such as The Hague, Amsterdam, Rotterdam and Utrecht.

Different groups

The differences in households are currently quite large. The tightness in the housing market is creating pressure among various groups. Starters, urgent seekers, vulnerable groups and households with low and middle incomes are currently finding it difficult to find affordable housing. This applies to the entire sector. Finally, you have the homeowners whose homes are increasing in value, while tenants pay more rent each year to the same homeowners. This is especially the case in the free sector.