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Buying a House / Flat in Amsterdam
If you are staying in Netherlands for an extended period (5 years plus) it is probably worth thinking about buying your own property. Monthly payments are likely to be lower than renting, especially if you take into account mortgage tax relief. There are generally no limitations to foreigners owning property. |
Prices for properties in Amsterdam are quite high, especially in the city centre. In fact, many premium properties in the centre are so expensive they are used as commercial offices rather than residential buildings. You may need to go out of the city centre to find places within budget.
Location - The premium areas within Amsterdam for appartments are the city centre, Jordaan, Oud Zuid / De Pijp, Rivierenbuurt and Buitenveldert. The new developments around the IJ waterfront (Zeeburg) and the Westerpark areas make them both up and coming locations.
Cheaper places for appartments further out include Oost, Osdorp and Slotervaart; for small houses, Watergraafsmeer. For expats we would probably avoid Amsterdam Zuidoost (south-east) which has some social problems and Amsterdam Noord (north of the IJ) which feels detached from the city and more Dutch-centric than international.
If you are looking for a house then consider Amstelveen or one of the towns further afield such as Haarlem, Hoofdorp, Zaandam or Hilversum.
Amstelveen is quite a popular location for expats given its proximity to Amsterdam Zuid/WTC business district and Schiphol airport. Note, some areas of Amstelveen are under the flight path of aircraft during the day, but the airport is closed at night. Amstelveen has a wide range of property available from appartments to detached houses. Public transport connections (tram, metro, bus) are convenient and there are also plenty of free parking spaces for residents - unlike Amsterdam centre where you need to pay the council for an expensive parking permit.
Haarlem is also favoured by expats and only a 15 minute train ride into Amsterdam central. With a wide range of affordable property, a lively and historic centre and a short hop from Zandvoort beach makes Haarlem a serious option for the expat.
Prices - Despite the credit crisis, prices have held up reasonably well in Netherlands. At the very bottom end of the market a studio of around 30m2 goes for around €130,000. A 2 room appartment (say 60m2) in a decent location in Amsterdam can go for €200,000 - €250,000, whilst 3 room appartments (up to 100m2) can go for €300,000 - €450,000.
If you are looking for a fine canal house in the centre it is going to set you back seven figures - anything from €1 million up to around €5 million.
In Amstelveen you can find smaller houses on sale for under €300,000, with the bigger houses around the €500,000 mark. Prices in Haarlem are a bit lower than Amstelveen.
Finding and Buying a Property - Have a good look around the area you are interested in living. Think about transport links, parking, shopping facilities, schools and healthcare.
If you need a mortgage then go to a major bank (for example ABN Amro or ING) or visit a mortgage specialist (Hypotheek Shop) to see how much you can borrow - normally 4 times salary in Netherlands and a typical Dutch mortgage will run for a 30 year period. You will need to bring financial records, such as permanent employment contracts, tax returns etc. As always with complex financial products you should do your homework or seek expert advice.
Once you have a budget then start your property search - funda.nl is the largest Dutch property search website. Alternatively go to see an estate agent ("makelaar") - they will either charge a fixed fee or 1-2% of the sale price, depending on how much work they do on your behalf.
View a number of properties to get a feel for value in the area. Be aware if a property is either freehold ("eigen grond") or more commonly in Amsterdam, leasehold ("erfpacht") where annual ground rent is payable to the council, typically €1,000. Check the date of lease expiry - this is when ground rents are recalculated.
For appartments also consider any fees to housing associations for the general maintenance of the building.
When you find a flat / house you like make a suitable offer and negotiate from there. Alternatively the seller may ask for sealed bids ("inschrijfaanbod").
If the seller accepts your offer a temporary contract is signed - either party can cancel this within 3 days. A 10% deposit must be paid via a bank within 3 weeks. You will lose this if you pull your offer after the 3 day "cooling off" period.
You should then get a detailed inspection of the property done by an independent surveyor. If all is well then the final purchase contract can be signed on exchange day at a notary office. In total allow for up to 10% of the property value for agent fees, notary fees, surveyors and taxes.
You should then insure your property against fire, flood and damage and get contents insurance for any valuable items.
If you need to furnish the property then there is an IKEA in Amsterdam south-east (metro station Bullewijk or come by car via the A9). Also in the area (next to the Amsterdam ArenA, metro Bijlmer) is the Woonmall Villa Arena, a shopping centre dedicated to house and homeware - from furniture to flooring, bathrooms to kitchens, anything you might need will be here.
If you are on a shorter-term stay check out renting a flat in Amsterdam.