• Robin for example

  Economics Editor

“It may be raining outside, but the sun is shining here.” The way Heijmans CEO Ton Helin describes the atmosphere at his company this morning is typical of a large construction company. The festive mood is not only due to the high turnover and increased profits, but also the driving force behind them. This is mainly due to the increase in the number of new homes sold.

With 1,587 homes, Heijmans sold nearly twice as many homes in the first six months of this year as it did in the first half of 2023, primarily to consumers. “New construction is accelerating faster than I expected,” says Heilen. “That started late last year and has continued over the past two quarters.”

Rival BAM had raised its flag the day before for the same reason. In the Dutch division, sales have doubled in the past six months, thanks to new construction. In that period, Bank Al-Maghrib sold 832 homes, mostly to consumers. That was still up from 577 in the same period last year, and the second half of 2024 will be even better, as it expects to sell a total of around 1,700 new homes this year.

The rebound in new construction was notable because far fewer permits were issued for new owner-occupied and rental housing in the past two years. That means fewer units will be delivered in subsequent years.

In Heijmans, the homes in the older projects have been sold in the last six months, admits Helen. “But also from the new projects. We notice that they are selling faster. That means we are very optimistic about the housing market at the moment.”

“The fact that home buyers are focusing more on new construction is partly due to rising wages,” says Hans Hugo Smit, a Rabobank housing specialist. “They fell again this year and that means there is now a lot of demand.”

Also playing a role is the shrinking gap between the prices of existing owner-occupied homes and those being built recently. The NVM real estate association reported earlier this month that a new home will cost €475,000 in the second quarter of this year. With an average price of around €468,000, buyers of existing homes aren’t much cheaper.

Those who dream of a well-insulated, energy-efficient home now seem more likely to opt for new construction. “Then you’re done in one go,” says Smit. “You still have to do a lot of work on an existing house. If you’re handy, that’s an advantage. But for most people, that’s a big risk. If the price is right, people are now more likely to opt for a new build.”

Whether a swallow is spending the summer, however, remains a matter of speculation. At Heijmans, Helen sees the new dynamics among homebuyers as a great opportunity. He says he is pleased that the new government seems to want to continue the housing market policy of former Housing Minister Hugo de Jonge. His successor, Mona Kaiser, should take charge by removing delays and obstacles to new construction.