The property market in the Netherlands has always had relatively low house prices compared to other EU countries. However, these prices have been steadily increasing over the last two years due to increased competition as there are fewer houses available for rent and sale.
In the Netherlands, buying a home within the city center will cost you between €3,400 and €9,500 per square meter on average, while properties outside the city center cost between €2,500 and €6,000. The average cost of renting a house is €2,000 and building a decent one costs about €2,500 per square meter.
This guide goes through the cost of a house in the Netherlands (one that is pet-friendy), how you can find and buy or build one, and the steps you need to take. Read this article to learn about best places to purchase a house in the Netherlands. For how much can you rent out your new Dutch home? Check out our guide on rental prices in the Netherlands.
House prices in the Netherlands 2022: How much should you expect?
In 2021, the average price of a residential house in the Netherlands was €386,714, according to Statista. The prices tend to increase year after year. The rising trend is caused by low mortgage rates above everything.
According to Statistics Netherlands (CBS), housing prices have increased by 13.5% in 2022 due to the Ukraine war, Covid-19 developments, and carry-over effects.
According to a prediction by RaboBank, this year, the property prices will rise further and faster in the five largest Dutch cities – Utrecht, The Hague, Groningen, Rotterdam, and Amsterdam.
As of March 2022, here are the average house prices in the five major Dutch cities:
Below is a graph showing the development of the house prices in the Netherlands over the last 26 years:
Before deciding on where to buy a house, it is important to test a few waters and try out some nice places before starting to look for where you’d buy your house. Amsterdam has some amazing places you can book if you like glamor.
Additional costs of owning a house in the Netherlands
Apart from paying the initial cost of renting or buying a home, you need to pay the following fees:
1. Transfer tax
When buying a house in the Netherlands, you need to pay the government 2% of the purchase price to cater for property transfer of tax. Nonetheless, you are exempted from this rule if:
- You’re buying a newly built house.
- You’re buying your first property at the age of 18 and 35, and the purchase price is under €400,000. If buying with a partner and only one of you is under the age bracket 18 – 35, the rule applies to their house share.
- The investors have to pay an 8% property transfer tax to purchase the house.
- You’re buying a house from a seller who has purchased the house within the last six months.
When owning a house in the Netherlands, it’s advisable to have insurance on the building. Some of the insurances that you need to have include:
Opstalverzekering (Home insurance): This is insurance on the building itself, and it’s compulsory when you have a mortgage on your house. It costs €21 per month on the minimum, but various factors influence the cost of this insurance, like the type of roofing.
Inboedelverzekering (Home contents insurance): This insurance costs about €12 per month and covers the properties inside your house. It’s necessary for you even if you choose to rent a home, and it covers anything specified by you in case it’s stolen or broken.
We recommend taking out a home contents insurance from one of the largest providers ABN AMRO.
Besides, personal liability insurance is necessary for all tenants in the Netherlands. It will cover damages to the landlord’s properties inside the rental home.
3. Real estate agent fee
To make the process of finding a house to buy in the Netherlands easier, hire a real estate agent to represent and work with you. They can help you put in offers, set up home viewings, and negotiate the purchase price.
Depending on their services, the real estate agent fee ranges from €2,500 to €4,000. This amount can be a percentage of the property’s value, a fixed price, or both.
4. Technical building inspection
It’s advisable to get a structural survey to check the condition of your new house. A structural survey reveals hidden structural issues, which decreases the risk of acquiring a home with problems. A structural survey will cost you about €450.
5. Notary fee of the transfer act
This fee applies when buying an existing house in the Netherlands. It’s a contract that transfers the ownership of the house from the seller to you. Combined with the mortgage deed, the notary fee varies between €1,000 and €2,000.
If you choose to buy a house for €300,000 in 2022, here are the initial costs that you’ll need to pay:
|Cost of buying the house||Cost including VAT||Example|
|Transfer tax||2% of the buying price||€6,000|
|Application for NHG||0,7% of the purchase price||€2,100|
|Real estate agent||€2,200||€2,200|
Read our guide on the cost of living for a family in the Netherlands.
Average house prices in Amsterdam
You can expect to pay about €7,502 per square meter in Amsterdam. This number can be higher or lower depending on the location.
Living in Amsterdam is desirable but quite expensive, especially housing. In 2021, housing prices in this famous Dutch city rose by 15%, and economists at the World Bank speculate that the prices will increase by about 12.5% in 2022.
Part of the reason for this continued rise is a decrease in the number of houses going up for sale in the city, which leaves room for competition amongst buyers. For example, in the last two months of 2021, there were only 979 houses available for sale in Amsterdam, which resulted in a hike in the average selling price.
In the first quarter of 2022, the average price for an existing home was €428,000. This number was significantly less in 2021 – €362,000 on average. Newly-built houses cost 11,4% more than in 2021, averaging at €466,000.
Moreover, 79% of houses are sold at higher than the asking price. Hence, there is steep competition for homes both in Amsterdam and the Netherlands overall.
Some neighborhoods in Amsterdam are more expensive than others due to their proximity to towns and the quality of houses. For example, if you choose to live in Apollobuurt, a home may cost you €8,000/m2, while in the suburbs, such as Bijlmermeer, you may be able to find a house for as low as €3,500/m2.
In Amsterdam, buying a house will cost you between €6,847/m2 to €10,270/m2 and more in the city center. Like anywhere else, homes are cheaper outside the city center, ranging between €6,847 and €3,423 per square meter.
Below is the average cost of buying a home in Amsterdam:
|Type of housing||Price range||Average price|
|Studio apartment (30 m2)||€150,000 – €350,000||€225,000|
|1 bedroom apartment (45 m2)||€200,000 – €600,000||€337,500|
|2 bedroom apartment (75 m2)||€400,000 – €700,000||€562,500|
|3 bedroom apartment (100 m2)||€500,000 – €1,000,000||€750,000|
Read this article to learn about best and cheapest places to buy a house in the Netherlands
How to find a house to buy in the Amsterdam
The primary method for finding your dream Dutch home is searching from various property websites such as
- Expatica (English)
- Jaap (Dutch)
- Zoekallehuizen (Dutch)
- Pararius (Available in multiple languages)
- Funda (English)
- Huislijn (Dutch)
Other alternative methods of searching for a house in Amsterdam include:
- Engaging your friends and relatives to keep an eye out for new properties
- Checking Dutch newspapers’ property section. For example, De Telegraaf has a housing segment on Wednesdays.
- Looking around the location of interest, checking for “for sale” or “to let” signs on interesting properties.
How to improve your chances of getting a house in Amsterdam
The housing market in Amsterdam is quite tight, especially in 2022; therefore, acquiring a decent house to buy or rent might seem nearly impossible.
To increase your chances of finding your dream home, follow these three tips:
- Hire a real estate agent: A real estate agent has a lot of knowledge regarding the housing market in the city and is aware of the houses that are likely to come on sale. Therefore, you’ll be one step up in your competition when working with one.
- Put in a reasonable opening bid: Consider your opening bid to ensure that your offer on the house is not too low, as you may be dismissed by the seller. Additionally, you will waste your money if your bid is too high.
- Get mortgage advice: Explore your mortgage options in advance. This will help you come up with a budget and know the neighborhoods to target.
The process of buying a house in Amsterdam
To buy a house in Amsterdam, follow the steps below:
1. Contact a mortgage advisor
One determinant of how much you can spend on your new home is the mortgage you can get. Therefore it’s wise to reach out to a mortgage advisor to see the amount of mortgage you can take before even starting your search.
2. Decide where you want to live
Now that you know your budget, you can decide on the neighborhood you want to live in. When doing this, have several settings in mind that meet your preference. It’s necessary to consider the facilities available in the area, such as schools, churches or even towns.
3. Contact a real estate agent
This step may not be necessary if you are familiar with the city and the neighborhoods of interest. However, it makes your house buying easier and quicker because the agent is more familiar with Amsterdam’s housing market, and they can access property before it’s advertised for sale.
4. Arrange a viewing
Once you have found some property that interests you, you can organize with the owner to go and view the property. If you cannot go for a viewing, send your real estate agent and request them to provide photos and videos of the property.
5. Make an offer
After finding a house you like, inform your real estate agent to place an offer and conduct negotiations with the seller’s real estate agent. The moment your offer is accepted, you’ve bought the house!
6. Finalize your mortgage
Inform your mortgage advisor about your decision to buy a particular house so that they can authorize the release of a mortgage loan. After this, the advisor will transfer the money to the seller.
7. Sign the purchase agreement
This last step requires you, the buyer, and the seller to sign the purchase agreement, which states the property you’ll be taking over ownership, the transfer date, and the deposit.
See our guide on rental prices in the Netherlands.
How much will it cost to build a house in Amsterdam?
If you decide to build a house in Amsterdam, you should budget at least €750,000.
Amsterdam is the most pricey place in the Netherlands in terms of housing. The land plot will cost you significantly more. The main problem in Amsterdam is that there is almost no room for new buildings. Your options come down to the rebuilding of existing houses.
Moreover, to build a house in Amsterdam, you must first purchase land with a building permit. This already might cost you a fortune, especially in a good location.
One might consider building a home outside of Amsterdam. In the suburbs like Purmerend, Almere, and Hoofddorp, the land is much more affordable – about €80 to €150 for a square meter. You will be able to build a house for €200,000.
For example, in Almere, a planned city, about half an hour away from Amsterdam, building a house will cost you:
- average from €800 to €1,800 per square meter
- between €84,224 and €187,165 for a classic single-family home
How much will it cost to build a house in the Netherlands?
To build a house in the Netherlands is everything but cheap. You can expect to pay at least €300 per cubic meter (m3) or €1,200 per square meter (m2), excluding the architect’s fee.
To build a house in the Netherlands, you’ll have to obtain land with a building all-in-one permit. You can also apply for this permit to your municipality or via the online Service counter all-in-one permit for physical aspects.
The all-in-one permit ensures that you observe the Dutch Building Decree 2012, including minimum structural requirements regarding health, energy efficiency, safety, and usability. Additionally, it ensures adherence to the municipal requirements regarding the zoning plan, building regulations, and the external appearance of buildings.
Once you have the permit, you can start building, which will cost you about €1,200 per square meter at a minimum, without automated windows or marble floors. Depending on the material you use, the whole building process may cost you a total of €750,000.
The graph below shows the cost of building a house in the Netherlands from January 2012 to June 2021.
As you can see, the Dutch real estate market is on the rise; not only prices for existing houses are growing, but also prices for building a house.
Tips on finding land for building in the Netherlands
- Know your budget
Assess the realistic land prices you want and develop a budget. A budget will help you not to overspend as this may lead to you not affording other additional costs needed.
- Partner with a real estate agent
Agents have access to land that has not yet been listed on websites and can give you a significant advantage in finding one.
Land in popular cities like The Hague can seem like gold dust, but don’t be in a hurry to buy. Research historical prices of the area using the Dutch Land Register and new developments before settling on a piece of land.
- Have an eye for detail
Check things that quickly go unnoticed, such as the neighborhood’s security.
- Understand the local key terms
Land buying terms can be confusing, especially if you are unfamiliar with the Dutch terms and quirks. A real estate agent can help translate legal words and contracts so that you don’t sign documents you are unaware of their meaning.