Living/housing

Average mortgage interest rates have reached their highest level in over two years, with the 10-year fixed rate (NHG) climbing to 4.01%. Driven by rising capital market rates linked to geopolitical instability in the Middle East, this increase adds approximately €25 to the monthly net costs of a €400,000 mortgage. While experts at De Hypotheker believe the sharpest peaks are likely over, the combination of higher borrowing costs and global uncertainty has already led to increased buyer caution, stalling the growth of average mortgage amounts for the first time in three years.

Dutch house prices slipped back below the half‑million‑euro mark in early 2026, while the number of homes on the market increased significantly. New figures from the national real estate association (NVM) show cooling demand, regional contrasts, and a housing market that is slowly regaining balance.

Many Dutch homes face serious foundation risks, and the AFM warns that repair costs could reach 11 billion euros. Thousands of homeowners cannot afford the work, and some do not know their homes are at risk. The regulator calls for earlier disclosure and better preventive measures to limit future problems.

As energy prices rise again, IMF board member Marrixt van Rij says the Dutch cabinet is right not to rush into broad support measures. He argues that any intervention should be temporary and aimed at households that are genuinely in trouble, drawing on lessons from the 2022 energy crisis.

Private rental prices have surged faster than both house prices and inflation in the first quarter of this year, with new tenants facing a 7.3% annual increase. As supply continues to shrink and more properties disappear from the market than are added, nearly half of all available private rentals now cost over €2,000 per month. Although the number of enquiries per property has dipped to its lowest level since 2021, experts warn that the market remains incredibly tight, as demand is simply being squeezed into a dwindling number of affordable homes.

The Dutch mortgage market is no longer driven only by price growth and urgency. It is increasingly shaped by who already owns a home, who can rely on family help, and who can handle higher monthly costs

Rising mortgage rates, fuelled by the conflict in the Middle East, have led to a cooling of the Dutch housing market, with the average mortgage amount stalling for the first time in three years. Data from De Hypotheker shows that while existing homeowners are staying active by porting their lower interest rates to new properties, first-time buyers are increasingly being squeezed out. The market is also becoming highly fragmented; activity has plummeted in areas like Utrecht, while provinces such as Zeeland and Groningen have seen a surprising surge in interest, highlighting a shift towards a more stabilised yet regionally divided property market.

Dutch small businesses are calling on the government to take urgent action to reduce high energy and fuel costs. Many firms are passing on rising expenses to customers, while others risk losses as fuel prices reach record levels.