Housing prices are rising. Everywhere. In May, it was reported that home prices in the Netherlands were, on average, 12.9% higher than in May 2020. This was yet another record. Even compared to the exceptional increases seen in the preceding months. In Amsterdam, too, we continue to see a rise…
Housing prices are rising. Everywhere. In May, it was reported that owner-occupied homes in the Netherlands were, on average, 12.9% more expensive than in May 2020. This was yet another record. Even compared to the exceptional increases in the preceding months. We continue to see an increase in Amsterdam as well. But what exactly did the trend in the price per square meter in Amsterdam Zuid look like in Q2 2021?
The price per square meter keeps going up!
In Amsterdam Zuid, the average price per square meter has risen by as much as 5.8% compared to Q1 2021. Prices have also risen significantly compared to a year ago, with Q2 2021 showing the largest increase.
Why does the price per square meter keep rising? We are seeing a massive increase in demand for housing and, consequently, in the number of viewings. People are scrambling to buy, which is leading to unprecedentedly high bidding wars. The average transaction price in Amsterdam Zuid was €1,008,454 in Q1 and rose to €1,085,380 in Q2.
How does the price per square meter in Amsterdam Zuid compare to that in Amsterdam?
To compare Amsterdam Zuid with other neighborhoods in Amsterdam, we have also calculated the average prices per square meter within Amsterdam’s ring road.
Transaction prices are, on average, significantly lower in Amsterdam within the ring road compared to Amsterdam Zuid. Within the ring road, the average transaction price is €672,211. As we just mentioned, this average is €1,085,380 for Amsterdam Zuid.
High bids are also being made in Amsterdam Zuid
Just like home prices, average overbids are also rising sharply. There were more overbids in Q2 2021 than in Q1 2021.
The average bid premium in Amsterdam Zuid has risen from 104.9% to 107.6%. That’s an increase of 2.7%! In Amsterdam within the ring road, the average bid premium stands at 110.3%.
In Amsterdam Zuid, there is significantly more overbidding on pre-war homes. As much as 108%, compared to 102.3% for post-war homes. People are also paying more per square meter for pre-war homes than for post-war homes.
The same applies to the average transaction price. For example, the transaction price for homes built before the war is €1,093,485, and for newer homes, it is €846,704.
The size of the home also plays a role. In Amsterdam Zuid, the highest number of overbids are on homes between 40 and 60 square meters, and the fewest are on homes larger than 100 square meters.
Should you buy or sell a home in Amsterdam Zuid?
Contrary to many predictions, the coronavirus crisis has not (yet) led to a housing crisis. In the Netherlands, the number of home sales has actually increased by 4% (source: NVM).
Across Amsterdam, the number of transactions has fallen slightly. In the Amsterdam housing market, the number of transactions dropped from 2,694 to 2,429.
There is no difference between Q1 2021 and Q2 2021 in Amsterdam Zuid. At the end of 2020, the graph still shows a peak of 284 transactions. In Q1 2021, this figure dropped to 254, and in Q2 to 252.
However, there is a significant difference in the number of transactions by construction period. Of the 252 transactions, 235 involved pre-war homes!
Are you thinking about buying or selling your home?
Do you own a home in Amsterdam? Or are you looking to buy a home in Amsterdam Zuid? Buying and/or selling a home is still possible. The number of homes sold in Amsterdam is on the rise despite the impact of the COVID-19 crisis. We’d be happy to help you with this.
Our real estate agents are here to help you with your purchase or sale and to take the right steps. If you want to sell your home, we’ll find potential buyers for you. If you want to buy a home, we’ll work with you to find suitable properties.
Stay up to date
Get the latest market figures and updates on the Amsterdam housing market delivered straight to your inbox every month.
Related articles
Looking to sell your home?
Discover how our data-driven approach can boost your sales results.
Contact us
