10 Things to keep in mind when buying a home in the Netherlands
Buying a house in the Netherlands may be the right option for you if you are fed up with trying to find the perfect place to rent or if you are planning to really put down some roots. Here are some key tips to ponder over before deciding to take the plunge.
1. Be realistic
You might love the idea of living in Amsterdam but unless you have a high-paying job, the city centre is probably going to be out of reach - even though it is cheaper than places like London and Berlin. Decide which is more important to you - location or price - and tailor your property search accordingly. Will it be a small apartment in a nice area or a bigger place in a less desirable part of the city?
2. Think about the future
You need to think of buying a home as an investment that will last for years to come, so make sure you take your future needs into account as well. Do you work in Amsterdam and are you considering having a family? You might be better off checking out the pretty town of Haarlem or the more centrally-located Hoofddorp for family-friendly options instead.
3. Realise there are some things you can change and some things you cannot
It’s always a good idea to manage your expectations. Be realistic. The stairs are usually steep in city homes and flats are small by your standards. There is not much you can do about this. But as for the small ovens - you can always redo a kitchen…
4. Be patient
The Dutch housing market may be in overdrive with soaring prices, but that doesn’t mean you should rush into things. You want your new home to be a good investment as well. For example, that old linoleum floor in the kitchen often means there is asbestos present, which will have to be removed.
In general, it will probably take about six months on average to find that dream home, complete the paperwork and get ready to move in.
5. Understand the rules
The Dutch housing market has its own peculiarities. The leasehold system, for example, is completely different to the way it operates in China, Malaysia or the U.K. So, it really is crucial to talk to an estate agent who understands the intricacies of buying a home before you get started - even if you speak Dutch well.
6. Remember, the selling agent is not your friend
The Netherlands works with a dual estate agent system - one representing the buyer and one the seller. Of course, you don’t need to have a buying agent but without one, you are opening yourself up to all sorts of problems - particularly if you are a novice.
The estate agent selling the property and who shows you around that apartment in Amsterdam is trying to get the best deal possible for his or her client. So, feel free to ask lots of questions, but don’t give anything away.
7. Get the V.v.E. checked out financially
By Dutch law, all properties with multiple owners have to have a V.v.E. (Association of Owners), and it is essential to check out the finances and plans thoroughly. The V.v.E. organises and carries out maintenance on the communal parts of the property, as well as the roof and foundations.
If you don’t do your homework, you could find out that the V.v.E. running your lovely home has plans to redo the foundations, adding 1.000 euros a month to your regular V.v.E. payment.
8. Check out the V.v.E. rules
A V.v.E. will have its own statutes saying what is and is not allowed in the property. Many, for example, include a ban on holiday letting, so you won’t be able to rent out your new flat via Airbnb. And check out what the rules have to say about pets as well. I’ve come across a ban on snakes in some statutes, but I’ve also seen V.v.E.s which ban dogs and cats.
9. Make a deal on fixtures and fittings
I always warn clients that we should try to make a deal on basic fixtures and fittings as well, otherwise, they may find that when they move in, every light bulb in the house has been taken, as well as the toilet seat. And including the curtains in a deal is crucial. They might not be to your taste, but they will cover the windows whilst you are deciding how to decorate your new home.
10. Selling up and moving on
The great thing about selling a property in the Netherlands is that you don’t have to pay capital gains tax on the profit. So, when you decide it is time to move on, or up the property ladder, listen to your estate agent’s advice. So, get rid of the orange wall, tidy up and get rid of the family photographs.
Sometimes, you see some very strange things in estate agents’ photographs - piles of washing in the corner, dead plants. The oddest thing I’ve ever seen was a gun on a bed. It turned out to be a fake but, needless to say, that was one property we decided to pass on.