How Rental Sell-Offs Are Slowing Dutch Home Price Growth
Home price growth in the Netherlands eased to 6.6% in October as an influx of former rental properties into the owner-occupied market adds supply and cools price increases.
NL Rental News
Table of Contents
Further Reading on Renting in the Netherlands
House Price Rise Slows in the Netherlands Amid Surge in Affordable Homes
House price growth in the Netherlands is slowing, as more affordable properties enter the market and private landlords adjust to upcoming rent controls. We explore the factors driving this trend and what it means for buyers.
NL Rental News
How Millennials Are Driving Growth on the Dutch Property Ladder
Millennials aged 25–35 are leading a surge in upward home moves in the Netherlands, accounting for a record share of mortgage applications for larger properties.
NL Rental News
Co-tenancy and Separation in the Netherlands: Assigning Rental Agreements Explained
Learn how co-tenancy works when couples separate in the Netherlands and how tenancy agreements can be assigned to one party.
NL Rental News
Lower Energy Bills in the Netherlands: What Renters Can Expect in 2026
Households in the Netherlands are set to pay around 4% less for gas and electricity in 2026 thanks to higher international supply and sustainability measures.
NL Rental News
Newest Properties in the Netherlands
Explore the latest properties added to Luntero. Find new apartments, houses, and studios across the Netherlands — updated daily to help you discover your next home faster.
Your Ultimate All-in-One Rental Search Tool for the Netherlands
Luntero consolidates rental apartments, rooms, studios, and houses from the leading Dutch real estate platforms (including Funda, Pararius) into a single, constantly updated database. Easily filter by price, number of bedrooms, pet policy, specific neighborhoods, and more to find your dream home in the Netherlands much faster.
Comprehensive Dutch Rental Listings
Discover every available rental property from Funda, Pararius, Kamernet, and more. Stop switching between multiple sites – no more missing out on hidden gems in the Dutch housing market.
Intuitive User-Friendly Interface
Navigate our clean and straightforward design effortlessly on both desktop and mobile devices for a seamless apartment, house, or room hunting experience in the Netherlands.
Multilingual Support for Expats & Locals
Browse rental listings in English, Dutch, Spanish, French, German, and more. Luntero ensures you can find your next home in the Netherlands in the language you're most comfortable with.
Real-Time Listing & Price Updates
Get instant notifications for new rental listings and price changes. Stay ahead of the competition in the dynamic Dutch rental market and secure your ideal home.
Understand Dutch rental terms before you sign the lease.
Renting in the Netherlands comes with unique rules, legal phrases, and housing abbreviations that can be tricky. The Luntero Rental Glossary is your guide to every rental term — from tenancy agreements, deposits, and agency fees to utility charges, rent control, and tenant rights. Whether you’re new to renting, moving as an expat, or just want to avoid hidden costs, our glossary helps you rent smarter, negotiate better, and protect yourself from mistakes.
How Rental Sell-Offs Are Slowing Dutch Home Price Growth
In October 2023, average prices for existing homes in the Netherlands increased by 6.6% compared to the same month last year, according to Statistics Netherlands (CBS) and Land Registry data. While price growth remains positive, October marked the seventh straight month in which year-on-year increases have moderated. A key driver of this slowdown is the growing influx of former rental units into the owner-occupied market—a shift that is reshaping supply dynamics and taming the rapid price rises seen in early 2023.
Recent Trends in Home Prices
After peaking in July 2022, when the market briefly reversed and saw falling prices, Dutch home values began an upward trajectory again in June 2023. By October, the average sale price of an existing dwelling stood at €498,996—about 14.5% above the July 2022 peak. Yet the pace of growth is easing:
In April 2023, year-on-year increases exceeded 10%.
In September, growth slowed to 7.0%.
In October, it further moderated to 6.6%, with a modest 0.5% increase on September alone.
Meanwhile, transactional volume remains robust. Some 21,849 homes changed hands in October, up 20.5% year-on-year. From January through October 2023, total housing transactions reached 193,317—a 17% rise on the same period in 2022.
The Role of Rental Property Sell-Offs
A significant factor behind the subdued price growth is that many small-scale landlords are placing rental units on the open market. Since the Dutch government introduced stricter rent regulation for mid-market properties and implemented various tax changes, the financial incentives to hold onto these rentals have waned. Owners often find that selling at current high prices delivers a better return than continuing to let their properties.
These sell-offs primarily involve smaller, more affordable apartments. As these units convert from rental to owner-occupied status, they bolster overall housing supply—particularly in the lower price segments—thereby exerting downward pressure on average price growth.
Impact of Rent Regulation and Tax Changes
Two policy shifts have driven this behavior:
Expanded Rent Regulation (Huurtoeslag and points system): The government tightened rent-control measures for mid-market (liberalised) housing, limiting landlords’ ability to raise rents and adjust rents between tenancies.
Tax Revisions for Rental Income: Recent adjustments in property tax treatment have reduced the net yield on rental properties, especially for individual landlords.
Combined, these measures have reshaped profitability calculations. For a landlord weighing the option to sell versus rent, the upfront capital gain from a sale often outweighs the reduced and regulated rental income over the long term.
Supply and Demand Dynamics
While mortgage rates remain elevated compared to historic lows, demand for home ownership has stayed resilient—driven by low unemployment, rising household formation, and continued migration into the Netherlands. On the supply side, the release of rental stock has helped to partially alleviate shortages in some regions, particularly in major cities where affordable ownership options have been scarce.
However, the broader market still faces challenges:
First-time buyers contend with elevated mortgage costs and tight lending standards.
Mid-range properties are seeing more balanced price movements than luxury or entry-level segments.
Regional variations persist: some provinces continue to post double-digit price growth, while others are closer to flat or low single-digit increases.
What This Means for Buyers, Sellers, and Renters
Prospective Buyers
• Greater choice in the entry-level market as more former rentals become available.
• Opportunities to negotiate prices in areas where sell-offs concentrate.
• Continued need to budget for higher borrowing costs despite slower house-price growth.
Sellers (Including Small-Scale Landlords)
• Strong capital-gain potential by cashing in on high valuations.
• Consider modelling post-sale housing needs: renting, downsizing, or relocating.
Renters
• Short-term boost in available listings but potential longer-term tightening as rental investors exit the market.
• Be prepared for modest rent increases on newer rental stock not subject to old regulations.
Navigating the Market: Key Tips
Stay informed about local rent regulation changes and how they affect landlord incentives.
Monitor mortgage rate trends and speak with a mortgage adviser early in your search or sales process.
Work with a trusted rental platform to access listings—whether you’re hunting for a rental or buying an owner-occupied home.
Looking Ahead
While the current supply boost from rental sell-offs helps cool price growth, fundamental demand drivers remain strong. Unless new housing construction picks up significantly or mortgage costs shift dramatically, we can expect home prices to continue rising—albeit at a more moderate pace—throughout 2024.
For buyers, sellers, and renters alike, understanding the interplay between rent regulation, taxation, and market supply is essential. By staying informed and partnering with experienced professionals, you can make smarter decisions in this evolving landscape.
Ready to find your next rental or owner-occupied home? Visit Luntero for the easiest way to browse trusted listings across the Netherlands.
Luntero Rental Glossary
Understand Dutch rental terms before you sign the lease.
Renting in the Netherlands comes with unique rules, legal phrases, and housing abbreviations that can be tricky. The Luntero Rental Glossary is your guide to every rental term — from tenancy agreements, deposits, and agency fees to utility charges, rent control, and tenant rights. Whether you’re new to renting, moving as an expat, or just want to avoid hidden costs, our glossary helps you rent smarter, negotiate better, and protect yourself from mistakes.
