Marketupdate: How are we doing so far in 2020Back
Recently the government has decided to introduce a few new restrictions in the battle against the Coronavirus and the much-discussed second wave. It is abundantly clear that the virus has consequences for a certain sector, take the hospitality industry and hotel for example. The rental market has not remained intact either. Read below our experiences so far.
The graph above shows the comparison between the transactions in 2019 (blue line) and in 2020 (orange line). The 2020 line shows a clear decrease in the months of April and May. This decrease can be explained by the fact that the Netherlands was locked in March, the so-called intelligent lockdown. The result of this lockdown was that hardly any expats could travel to Amsterdam anymore. Despite this situation, we still rented out a few houses. As can be seen in the graph, the line of April and May is constant. Hardly any transactions took place in both months. It is remarkable that these transactions were mainly done based on video/ FaceTime viewings. The type of apartment and price range have no influence here. The increase in transactions based on video viewings can be explained by the fact that potential tenants did not have the opportunity to come to Amsterdam or found it safer not to come to an appointment in person.
During the spring the restrictions were eased because the number of infections seemed to be decreasing. The graph shows a significant increase in June and also reaches above the blue line in 2019. This increase is due to a combination of circumstances. The high number of transactions has been made possible mainly by an extraordinarily large supply resulting from the low number of transactions in the past two months and lease terminations. The month of July was comparable in terms of transactions. A decrease is visible in August and an increase again in September, just like the previous year. We also broke last year’s record number of transactions.
Based on the current figures we can say that the number of transactions so far has increased by 10% compared to last year. However, the average value of a transaction has decreased by approximately 12%. This decrease can partly be explained by the Corona crisis in which landlord in general are lowering the rental prices, especially recently.
The fact that even in a year in which we are dealing with a global crisis the number of transactions is increasing dhows that there are still plenty of opportunities to rent out your home. We do this, for example, by responding to the demand for video viewings, using our international network and specialist knowledge. If a suitable tenant is out there looking for an apartment, we know how to find them. Are you interested in how we can help you? Please feel free to contact us.
Amsterdam rental market during Covid 1905/18/2020
Huurovereenkomst, Onbepaalde tijd of maximaal 2 jaar?02/18/2020
A linear or an annuity mortgage in the Netherlands?12/11/2019
About Parker & Williams12/11/2019