The price of holiday homes rose to almost €223,000 last year, an increase of no less than 25%. At the same time, vacation home sales were down 7%. The price explosion may only be temporary. Particularly due to the tax changes, a turnaround seems imminent, according to a report by the Dutch Association of Real Estate Agents (NVM).
Rieks van den Berg, board member of NVM’s housing department, sees large regional differences. The data of the report, for which he is co-responsible, therefore require a specific interpretation. For example, in already more expensive regions, including the Wadden Islands and Zealand, the price has risen considerably and sales are still on the rise, says Van den Berg. “While prices are falling around Eindhoven and in the east of the country.”
“We had a huge peak in 2021 due to corona”
transfer fee
Van den Berg points out that this report is for 2022. The transfer tax increase as of January 1 this year has not yet been included in this, nor is the taxation discussion in box 3. These factors appear being the same across the board cause a slight change. ‘We saw an extreme peak in December; everyone wanted to switch then to avoid the increase in the transfer fee.’
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And now that the corona crisis really seems to be behind us, the question is what that means for people’s need for recreation in their own country. Most vacation homes are for private use, but especially in large parks there is a lot of rental for recreational and vacation use. What effect this will have on prices in the near future remains to be seen.
Source: BNR
Andrew Dwight is an author and economy journalist who writes for 24 News Globe. He has a deep understanding of financial markets and a passion for analyzing economic trends and news. With a talent for breaking down complex economic concepts into easily understandable terms, Andrew has become a respected voice in the field of economics journalism.
