Dutch Gen Z richer than older generations but can't buy homes

A new Statistics Netherlands (CBS) study has revealed that younger generations in the Netherlands are typically wealthier than older generations were at the same age, even though the Dutch housing shortage and high house prices make it harder for Gen Z to enter the real estate market.

Young adults have higher purchasing power in the Netherlands

CBS has recently analysed trends in financial wealth across different generations in the Netherlands over the past 70 years. While many assume older generations were better off due to a lower cost of living, the report found that younger generations possess “more wealth than their predecessors” at almost every age. 

Both millennials (born between 1981 and 1996 ) and Gen Z (born between 1997 and 2012) have generally saved less money by the age of 30 because many opt to study longer before getting a job. After age 30, however, millennials generally experience more growth in wealth compared to older generations in their thirties.

Many millennials were able to profit from a housing boom between 2014 and 2022, helping them to quickly accumulate more financial wealth. Broader economic growth over recent decades also means that millennials and Gen Z generally enjoy greater purchasing power than earlier generations.

Dutch housing market out of reach for Gen Z

The reality is much more difficult for Gen Zs looking to buy a house in the Netherlands, as young adults in their early twenties are much less likely to own a home than previous generations were at the same age. CBS attributes this directly to the ongoing Dutch housing shortage and high property prices.  

In contrast, people born between 1970 and 1985 were found to have had the easiest time buying a home in their 20s or 30s.