Housing Market in Transition: Buyers Are Becoming More Cautious

The Dutch housing market is showing less extreme developments in 2026 than it did last year. Buyers are still frequently bidding above the asking price, but competition is gradually decreasing. In the first quarter of 2026, the average overbidding percentage was 4.7%, compared to 5.2% at the end of 2025. At the same time, the number of home sales fell to around 65,000 transactions, nearly 12% lower than in the previous quarter.

The Dutch housing market is showing less extreme developments in 2026 than it did last year. Buyers are still frequently bidding above the asking price, but competition is gradually decreasing. In the first quarter of 2026, the average overbidding percentage was 4.7%, compared to 5.2% at the end of 2025. At the same time, the number of home sales fell to around 65,000 transactions, nearly 12% lower than in the previous quarter.

According to market experts, rising mortgage interest rates are playing a major role in the cooling housing market. Higher monthly mortgage costs mean many households can borrow less money, reducing their ability to bid above asking prices. In addition, economic uncertainty and international tensions are making buyers more cautious. This is also reflected in the number of property viewings: homes were visited less frequently in the first quarter than at the end of 2025.

As a result, pressure on the housing market is easing slightly. In the first quarter of 2026, more than 71% of sold homes were purchased above the asking price. Although this is still a large share, it is lower than in the previous quarter. This marks the second consecutive quarter of declining overbidding.

Homes with average energy labels are seeing less overbidding in particular. Energy-efficient homes, on the other hand, remain popular. For homes with an A+ energy label or higher, overbidding actually increased from 4.2% to 4.5%.

The market is also changing on the sellers’ side. More homeowners are deciding to lower their asking prices during the sales process. In the first three months of 2026, this happened with more than 12% of homes that were relisted for sale. This share remains higher than it was a year ago.

Normally, price reductions become more common toward the end of the year in order to sell homes more quickly. The fact that this trend remains relatively high now shows that homes are selling more slowly than before.

Still, experts do not expect the housing market to cool down for a long period. Part of the current slowdown is due to former rental properties increasingly being put up for sale, temporarily increasing supply. This effect is expected to weaken later in the year.

In addition, the housing market traditionally becomes busier during the spring. More people enter the market during this period, which could increase competition among buyers again. Mortgage interest rates will remain a key factor. If rates fall, overbidding could rise quickly once more.