Lourens Pel

Lourens Pel

Rising house prices due to moving Amsterdammers

From housing programs to interviews with real estate agents in the news, the claim can be heard everywhere: 'Amsterdammers cause rising house prices in neighboring cities'. Yet this has never been properly researched to date. Realtech Research showed the phenomenon, but the effect is smaller than expected.

The overall picture

Imagine, as a home seeker, you move from your 45 m2 Amsterdam apartment and you receive a large bag of money after the sale. What kind of home do you buy in return elsewhere? The general picture is that Amsterdam households are using the extra budget to buy a house in other places of residence well above the asking price.

However, it is obvious that you use the extra budget to live larger; After all, according to Statistics Netherlands, this is the reason that many Amsterdam households move from the capital in the first place.

Research

To study the effect of the Amsterdam residents moving, Realtech Research compared the change in WOZ values in different districts and neighborhoods with relocation data between 2016 and 2019. Other variables were also investigated to measure the relative magnitude of the effect, such as the quality of the living environment and the distance of a district or neighborhood from the city center. What seems? Local price increases are indeed explained positively by the settlement of Amsterdam households. But with the caveat that the effect is less than, for example, that of the quality of the living environment.

Results

The results of the research may be of interest to real estate professionals and municipalities. Municipalities can, for example, anticipate WOZ rises at an early stage by investigating relocation movements. In addition, they can help home investors with investment decisions.

View the full report here

Share on linkedin
Share on email
Share on twitter
Share on facebook

Lourens Pel

Researcher

Want to know the status of the housing market?

Get new insights with our innovative online reports