Barry Burgemeester: Real Talk on the Amsterdam Housing Crisis
Barry Burgemeester is a seasoned purchase agent in the Amsterdam and Amstelveen market. With over 20 years of experience, he focuses on helping clients buy homes. He offers a complete A-Z service, working on a no cure no pay basis. Barry never takes on competing clients, ensuring he is dedicated to each buyer.
The Overheated Market
Today, the housing market is overheated. This situation arises from a simple fact: only about 30% of people in Amsterdam own their homes. This means that demand is very high while available homes are very low. Everyone is looking for the same properties.
Barry often says, "If you don’t work in real estate every day, it’s hard to see what’s really happening." Recently, Maxim Bours, director of Huispedia, commented on the issue. He noted an increase in overbidding, stating that homes are often listed at too low a price. Bours claims, “A low asking price attracts more buyers and leads to bidding wars.”
However, Barry believes this view is too simplistic. The problem isn't just low prices. It’s about fair pricing that leads to bidding wars due to desperation. The reality is that there is simply not enough supply. Blaming real estate agents for this situation is unfair. Many agents, feel overwhelmed by the demand.
Recent Tax Changes
New Box 3 tax rules have also impacted the market. Starting in 2023, people renting out properties will face higher taxes. A larger percentage of the WOZ value, known as the empty value ratio, is now used to assess wealth. If a rental property has a mortgage, the situation worsens because the mortgage cannot be deducted from the WOZ value. Additionally, the Tax Authority applies a higher hypothetical yield percentage of 6.17% to this wealth. This change has led some owners to sell their properties instead of renting them. But even with these new listings, the market still suffers from a shortage.
Who Is to Blame?
So, who is responsible for this situation? Is it the real estate agents? Barry thinks it's not fair to blame agents alone. After all, many agents are also overwhelmed by the market's demands. Furthermore, Barry highlights that some claims about the bidding process are misleading.
In reality, bidding on a house does not follow a perfect process. For instance, the so-called ‘low in the market’ strategy can lead to crowded viewings. However, Barry insists it’s not common practice for buyers to be asked to submit higher bids after their initial offers. Instead, there is a closed bidding system where buyers submit their best offers, and then the seller chooses which offer to accept. If, by chance, a better offer comes in after the closing date, the seller's agent must present it to the seller.
Barry also remembers when negotiations were simpler. "In the early days, we had a fair negotiation process," he says. During that time, buyers could adjust their offers and negotiate in real-time. While today’s system has its benefits, it often creates tension between agents who strictly follow closed bidding and those who prioritize their clients' best interests.
The Role of the Press and Future Predictions
As long as the press continues to share non-objective articles, it is hard to understand the housing shortage fully. Barry believes that blaming bidding wars solely on agents is misguided. Politicians should listen to the community and work towards effective solutions, built more homes for instance. "There is a tunnel vision surrounding this issue that needs to be acknowledged," Barry asserts. He predicts that the housing shortage will last for a long time and emphasizes that collaboration is essential for real change.
As Barry continues to navigate this complex market, his focus remains clear: to provide exceptional service and help clients achieve their homeownership goals in a challenging environment. "Our first meetings are all about expectatations and how to handle the dissapointment if it does not work out at first. We think there is a house for everyone, sometimes it just takes a long breath and some time".
Top Tips for Homebuyers
- Get Your Numbers Straight: Understand your budget and mortgage options so you can act quickly when the right property appears.
- Follow Advice: Seek guidance from experienced professionals, including real estate agents and financial advisors. Their insights can be invaluable.
- Be Realistic: Set achievable goals based on the current market. Understand that the perfect home may require some compromises.
- Know When to Walk Away: Sometimes, it’s better to walk away from a deal that doesn’t meet your needs or feels rushed. Trust your instincts and don’t settle.
You can reach barry via info@burgemeestervastgoed.nl and plan a free initial meeting.
photocredits: freepic
Mark and Cristina’s Journey: From Expats to Dutch Locals
From Expats to Nederlanders
In the world of real estate, it's not just about buying and selling houses. It's about building relationships and watching our clients' stories unfold. Mark and Cristina are a perfect example. We've helped them find their home three times, and their journey is a wonderful story of becoming part of the Dutch community.
Mark and Cristina started their journey in 2016 with their first home, a double upstairs place in Amsterdam West. As their family grew, they needed more space. In 2019, they moved to a bigger house, still in Amsterdam West. Just last week, they found their dream family home in Amstelveen.
We've seen Mark and Cristina grow, not just in their homes but in their lives too. They now have two beautiful children. We’re so proud they chose us to help them each step of the way.
The Changing Role of Expats
An "expat" is a person who lives outside their home country, often for work, usually planning to go back someday. But in the Netherlands, many expats have decided to stay. They build their lives here, make friends, and their kids grow up with Dutch kids in local schools. Some even become Dutch citizens, loving the relaxed lifestyle and good work-life balance.
The expat community is now a big part of Dutch society. Many expats feel so at home here that calling them expats doesn’t fit anymore. They are Nederlanders, fully part of the Dutch culture and economy.
Celebrating Mark and Cristina’s Story
Mark and Cristina’s story shows this change. From expats to being part of the local community, their journey is one of growth and new beginnings. Stories like theirs show that living in the Netherlands makes it special – a place where people from around the world can find a home and become part of the community.
As real estate agents, we love being part of these stories. We’re excited to help more families like Mark and Cristina find their perfect home and become part of the Dutch way of life. Contact us via info@burgemeestervastgoed.nl or fill in the contact form and we will get back to you ASAP!
Coping with Losing a Home Bid: Tips to Stay Positive
At Burgemeester Vastgoed, we understand the emotional ups and downs of buying a home, especially when you miss out on your dream home. It can feel like the perfect house is always just out of reach. But don’t lose hope!
Buying a home is a major life event, so it's important to take care of yourself. Avoid feeling overwhelmed during the process. We’ve put together five simple tips to help you stay balanced.
Acknowledge your feelings
It's completely normal to feel disappointed or frustrated after losing a bid. Let yourself experience these emotions without judgment. Trying to suppress your feelings can make it harder to move on.
Stay realistic
In today’s competitive market, others may have more financial flexibility. Accept your budget limitations and focus on staying within your means. Listen to your real estate agent's advice and avoid overextending yourself financially.
Focus on what you can control
While missing out on a home can be discouraging, there are still plenty of things you can manage. Reevaluate your goals, budget, and housing preferences. You might even consider exploring different neighborhoods or expanding your search beyond your initial target areas.
Practice self-compassion
Be gentle with yourself during this time. Losing a bid doesn’t reflect your worth or ability to find the right home. Treat yourself with the same kindness you would offer a friend in a similar situation. Take time to unwind with activities that help you relax and recharge.
Maintain perspective
Even if you put in your best effort, external factors like better offers can affect the outcome. Missing out on a home doesn’t mean you did anything wrong. Keep your focus on what you can influence, continue practicing self-care, and keep searching. This positive mindset will help you manage stress and move forward confidently.
We believe that the right home is out there for everyone. While it may take time to find, staying positive and resilient is key, especially with the right real estate agent by your side.
Feel free to reach out to us at info@burgemeestervastgoed.nl to share your home-buying journey and explore how we can work together.
A Complete Guide to Real Estate ABC: Essential Dutch Terms
When buying a home in The Netherlands, the real estate market involves grasping these Dutch terms. A clear understanding of these words will empower you to make well-informed decisions. At our company, we aim to provide you with the best information possible and to be transparent every step of the way. That's why we've created this Guide to Real Estate ABC—to help demystify the process and ensure you have the knowledge you need to make confident choices.
We've also produced numerous videos on home buying and interesting blogs.
Here's Your A-Z Guide:
- Afsluitprovisie (Closing Commission) When buying a home this means the closing commission. This fee, tied to mortgage closure, should be factored into your overall budget.
- Akte van Levering (Deed of Transfer) A vital document in Dutch real estate, transferring ownership from seller to buyer.
- Akte van Splitsing (Deed of Division) In apartment living, "akte van splitsing" details property division, defining ownership and shared responsibilities within a building.
- Anti-speculatiebeding (Anti-Speculation Clause) An important clause in property contracts that restricts the buyer from selling or transferring ownership for a specific period, discouraging speculative practices.
- Appartementsrecht (Apartment Right) It signifies the right of ownership and use of a specific part of a building, maintaining the unit's integrity without the authority to divide it
- Bankgarantie (Bank Guarantee) This serves as security, assuring the seller that the buyer has the financial means. The bank guarantees the seller up to a certain amount, deposited in a third-party account at the notary's office.
- Beschermd Stadsgezicht (Protected City View) This term refers to a designated area or landscape within a city that is legally protected from development or alteration to preserve its visual appeal or cultural significance.
- Blokverwarming (Block Heating) It's a central heating system serving multiple units in the same block.
- Bodemrapport (Soil Report) A document detailing soil composition and suitability for construction.
- Bouwkeuring (Building Inspection) This assesses the property's structural integrity, revealing potential issues that influence the property's value.
- Courtage (Commission) The commission paid to real estate agents. Understanding this term ensures transparency in your agreement, clarifying the financial aspects of their assistance.
- Eigendomsoverdracht (Transfer of Ownership) This is when legal delivery or transport of property occurs on a pre-agreed date.
- Energie Label (Energy Label) An energy label is a certification indicating the energy efficiency of a building or appliance.
- Executiewaarde (Foreclosure Value) In case of financial struggles, foreclosure may lead to a forced public sale of property by the bank at a value often lower than the market price.
- Hypotheek (Mortgage) This grants a lender rights to a borrower's property, often referred to as the loan itself.
- Hypotheekakte (Mortgage Deed) A notary-drafted document that pledges the property as collateral to the lender, outlining rights and obligations.
- Informatieplicht (Disclosure) Property owners are legally obliged to reveal information, such as structural conditions, that could influence a sale.
- Kadaster (Land Registry Office) This is where ownership rights of land and property are publicly recorded.
- Koopovereenkomst (Sale and Purchase Agreement) A binding contract obligates a transaction between a buyer and seller.
- Koopsom (Purchase Price) The agreed-upon amount by the buyer and seller is stated in the purchase deed.
- Kosten Koper (Buyer's Costs) As a buyer, you are obliged to pay costs such as transfer tax, cadastral rights, and notary fees.
- Lijst van Zaken (List of Moveables) It's an inventory of portable items like furniture and appliances that can be easily moved from one place to another.
- Maisonette A house with living and sleeping areas on separate floors.
- Makelaar (Real Estate Agent) Mediates property transactions exclusively for clients, serving their interests. An agent is a negotiator, not a trader. Since 2001 anyone can call themselves a real estate agent.
- Meetrapport (Measurements Report) A document detailing the dimensions and specifications of a property or structure.
- Nota van Afrekening (Settlement Statement) A bill of settlement, drawn up by a notary. It details transaction costs like transfer tax and brokerage fees, costs for registration, closing costs of any mortgage loan and the estate agent fee.
- Notaris (Notary) The notary is a public official appointed by the King and will take care of the transfer of ownership of a house and mortgage. He or she is responsible for registering the deed of transfer at the Land Registry and registering the mortgage in the mortgage register.
- Ontbindende Voorwaarden Agreement becomes void if certain conditions aren't met.
- Overbruggingskrediet (Bridge Loan) Uses equity from an old home to bridge the gap between buying a new one.
- Passeren (Passing) Formal signing of property documents at the notary's office.
- Service Kosten (Building Fees) Covers common expenses in apartment buildings, like insurance and maintenance.
- Souterrain A cellar partly above street level.
- Taxatie (Valuation) Assesses property value by a (sworn) appraiser.
- Transport Akte (Deed of Transfer) Records property ownership change, registered with the land registry.
- Vereniging van Eigenaren (Owners' Association) Represents homeowners' interests in shared buildings.
- Vrij op Naam (VON) Legally required costs are included in the purchase price, excluding mortgage costs.
- WOZ (Wet Waardeering Onroerende Zaken) This law brought uniformity in the valuation of immovable properties and is the value of the house if it were to be sold empty to the highest bidder or the free market value
- Wet ter voorkoming van Witwassen en Financieren van Terrorisme (WWFT) The WWFT, or "Law for the Prevention of Money Laundering and Financing of Terrorism," mandates that parties like Real Estate Agents, Financial Institutions, and Notaries verify client identities, conduct due diligence, report unusual transactions, and maintain records. This is to combat money laundering and terrorist financing by detecting and preventing illicit activities in the financial system. As part of this, they may ask for proof of identity and income from clients.
At Burgemeester Vastgoed, we're on a mission to make everything as clear as possible. If you want to know more or add a term to the list, feel free to reach out via info@burgemeestervastgoed.nl or visit our website's contact page.
Happy house hunting!
Home Buying: Explore the Process in this 5-Minute Video
Whether an apartment or a house, buying a new home in Amsterdam can be a challenge for expats. This video guides you through the house-buying process – and helps you understand each step involved in buying the home of your dreams.
We are always here to help, and no question is too challenging. Feel free to ask anything, and we’ll do our best to assist you.
Property defects: understanding your rights
As an experienced and certified purchase estate agent in #amsterdam , I've helped many expats find their dream homes. In my opinion, buying a new home should be a joyful and stress free occasion. However, what if you encounter defects in your recently purchased property? Let's dive into it.
Under Dutch housing law, the purchase and sale of a residential home require a written agreement called the purchase- and sales agreement. This agreement covers essential aspects like price, conditions, finance clauses, and property information. It can be a standard NVM agreement, an so called Amsterdam's Model like we use in Amsterdam, or a custom agreement, as long as it complies with Dutch law.
The language in the purchase and sales agreement is key to making sure your rights are protected. As your purchase agent, my job is to guide you through the deal and make sure all the paperwork is in order. However, when it comes to any undisclosed or unexpected defects that may come up after the sale, those are typically matters between the seller, buyer, and third parties like the valuator or inspector. I’m here to support you through the process, but those specific issues fall outside my role.
When buying an existing home with previous occupants, the moment of ownership transfer is key to addressing any defects. As the owner, you take responsibility for the property. Older properties may have natural wear and tear that isn't anyone's fault. For example, you might encounter leakage or a sagging floor after a few months.
The purchase and sales contract often states that the previous owner can't be held responsible for such age-related issues. If you face significant issues that impede your use of the property, legal action may be an option, but it's important to understand your rights and obligations first.
Seller's obligation: Disclosure
The seller is legally obligated to disclose important information about the property, including its condition and the surrounding environment. Failure to disclose hidden defects or issues that impact the property's residential use may be a breach of contract.
Buyer's obligation: Examination
Buyers are responsible for conducting a reasonable examination of the property. This determines what they could have reasonably known based on legal standards. If a defect is clearly visible or discoverable during examination, it becomes challenging to argue it as a breach of contract. The extent of investigation required depends on the property's age.
When can the contract be breached?
To determine if a defect qualifies as a breach of contract, consider three factors:
- what is specified in the purchase and sales agreement
- whether the defect is essential to the deal
- what is considered reasonable under Dutch Law
A defect must significantly impact your ability to use the property or have played a crucial role in your decision to purchase.
If you encounter problems after you became the owner, contact your purchase agent for assistance. If you bought the property without an agent, consult a real estate lawyer for guidance. It's a good idea to try negotiating to resolve property defect disputes.
Different rules apply when purchasing newly built houses!
Getting a professional structural inspection and report is often a wise investment if you need to hold the seller accountable later on for major defects. Sometimes this is not needed, if we have recent knowleadge and recent data on the property.
Are you in the process of searching for a home to buy?
To navigate this competitive market, it's advisable to work with a certified and experienced real estate agent like myself. I'll examine the agreement, inspect the property for visable defects myself, and address financing or architectural concerns if necessary. I understand that the information provided in this article may be overwhelming. Feel free to reach out to me for a chat. We can discuss the possibilities of working together and explore how I can assist you in your home buying journey.
