Houses are again more expensive and sell less, but the housing market seems to be cooling

Houses are again more expensive and sell less but the
Light breeze on overheated housing market

With a less extreme price increase and a slightly increased housing supply, a light breeze blew through the overheated housing market in the first quarter of 2022. At the end of the first quarter of 2022, more than 17,000 homes were for sale. That is 10% more than in Q4 2021.

The average selling price of an existing home fell by 2.1% in the first quarter of 2022 compared to the fourth quarter of 2021 to 428,000 euros, but on an annual basis the price increase is still 13.7% on average. This is no longer as extreme as in the past three quarters when the price rose by about 20% year-on-year. Just like in the previous quarter, a new-build home was again worth 466,000 euros in the first quarter of 2022. Compared to the first quarter of 2021, the annual price increase for a new-build home is 11.5%.

This is apparent from the housing market figures from the NVM for the first quarter of 2022. In the year-on-year comparison, the supply of homes for sale in the Netherlands has decreased again. Approximately 29,000 homes were sold in the first quarter. That is approximately 19% less compared to a year earlier. The pressure on the housing market therefore remains high.

Source: NVM

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