Amsterdam housing market continues to cool down

The housing market in Amsterdam is experiencing a significant slowdown, with second-quarter price growth reaching only 0.8 percent compared to a 4.2 percent increase nationwide. Data from the Dutch Association of Real Estate Agents suggests that local prices may even be slightly lower than last year, driven by a 27 percent increase in the number of homes for sale. This trend, often seen as a barometer for the rest of the Netherlands, reflects the limitations of affordability as lending capacities tighten.

Economists point to persistently high mortgage interest rates, slowing income growth, and a significant housing shortage as factors cooling the market. While a major price collapse is not currently expected, ABN Amro anticipates a more pronounced nationwide cooling by 2027. Government policy changes, such as adjustments to the transfer tax exemption for first-time buyers, are unlikely to alter this trajectory in the short term. The rise in available inventory is largely attributed to landlords selling properties as temporary rental contracts expire.