Housing in the Netherlands
Finding a home in the Netherlands continues to be challenging, with no immediate relief in sight unless the government implements substantial policy changes. We expect that this situation persists in the coming years.
Key factors contributing to recent housing difficulties
Several factors have contributed to the current housing crisis in the Netherlands:
- Restrictive contract regulations: Only indefinite-term contracts are permitted, limiting flexibility for both tenants and landlords. Please also see our earlier news item on the Indefinite Contracts Law.
- Affordable rents law impact: This recent legislation has led many landlords to sell their properties, as regulated rent amounts often fall below operational costs.
- Increased taxation: Landlords face additional taxes on rental income, reducing the attractiveness of property investment.
- Reduced mid-range rental options: The combination of the above mentioned factors has significantly decreased the availability of rental properties in the €1.250 to €2.000 range.
Other factors are:
- Not enough attention for the housing market in recent years: former Dutch governments didn’t invest enough in the Dutch housing market.
- Insufficient flow to smaller properties: Parents whose kids have moved out usually stay in their family home. This is convenient and also moving costs a lot of effort and money.
- Insufficient flow from social housing market to free market: Many people who found a house through a corporation, especially in the bigger cities, stay there, even if there income has become high enough to move on.
As a result of the above, the costs of renting a property in the unregulated market have become substantially more higher in the past years and even more so in the last months.
Strategies for securing affordable housing
It is key that your employees are flexible, both in time and in their requirements. The budget is important, as well as your employees’ salary level. This must be at least 3 to 4 times the rent per month.
Employees with a budget below € 2.000 can consider the following options:
- Register with corporate housing investors for rental opportunities. Anywr Netherlands can help your employees with a home finding advice meeting. The employee meets one of our seasoned field consultants to determine which route gives the most chance to success and with actual registrations. Finding a home might take more time than with higher budgets, so a longer stay in temporary accommodation is required.
- Explore the possibility of purchasing a property. Anywr Netherlands has developed a home purchase programme with which we can assist your employee with finding a home. However, like in the above scenario, in most cases your employee will need a longer stay in temporary accommodation.
- You might consider to let your employee stay in temporary accommodation for a longer period and split the costs. Please do discuss this with your tax advisor.
Do you want to know more?
Anywr Netherlands offers tailored solutions and expert advice for all renting and buying scenarios, catering to diverse housing needs. Please send us a mail on info.nl@anywr-group.com if you want to know more.
