More confidence in the housing market
The housing market cooled down in the first half of 2023, and it now seems that home buyers are gaining more confidence again. This is evident from figures from the NVM brokerage association. The number of homes sold increased again in the second quarter of 2023 and prices rose.
“That couldn't be completely missed either. The fact remains that there are more home seekers compared to the number of available houses. That's why prices are rising again. I notice that this is mainly due to the fact that people are now 'used' to higher interest rates. Indeed, the interest rate has been fairly stable over the past period,” says Chris Luiijf, mortgage advisor at Van Loon.
Not all provinces and cities are the same
In the Breda and Rotterdam region, price increases average around 1.5%. Price increases are highest in Groningen, Flevoland, Amsterdam and Limburg. Selling a home is also slightly faster. This is the fastest among semi-detached houses with an average of 28 days; detached houses were for sale for an average of 52 days. The supply in the Breda and Rotterdam region is lagging behind and has even fallen by around 5%. This in turn could lead to a larger price increase in the next quarter.
Interest and borrowing capacity
Chris continues; “Because interest rates have risen enormously in a short period of time, many home hunters suddenly saw their borrowing capacity evaporate. There is no saving against that. Now that interest rates are fairly stable again, I notice that people are daring to look ahead again, which is why trust is increasing. And, if you experience a nice wage increase this year, more is possible for your mortgage. This also offers opportunities for starters with a career that is rapidly changing.”
Do you want to know what you can borrow at the moment? Make a free appointment with a mortgage expert at Van Loon. Then we will calculate exactly what is possible for your situation.
