How does the property purchase process work in Amsterdam for Expats?
Expats are allowed to purchase property in Amsterdam. The process typically begins with advice on financing oportunities and needs, selecting a property, making an offer, and once accepted, signing a preliminary contract. A notary is involved in the final stages to ensure the legal transfer of the property. However, it's advisable to engage a local realestate agent to navigate specifics related to residency status, taxation, and other (legal) regulations.
Are there additional costs to consider when buying a property in Amsterdam?
Yes, apart from the property price, ground lease (some areas in Amsterdam), buyers should account for transfer tax (overdrachtsbelasting), notary fees, valuation costs, buying agent costs and potentially mortgage advisory fees. The transfer tax is typically 2% of the property's purchase price, but this can vary. In some cases you don't even pay transfer tax. Ask us for more information.
Why should I hire a real estate agent?
Partnering with a skilled real estate agent, like us, safeguards your finances by avoiding common, costly missteps.
For sellers: When you are selling a property, a real estate agent will get you the highest price. Therefore be very picky, because your agent should be an expert in gaining trust, doing what he/ she promises and an excellent communicator in both Dutch as English. In the Randstad Area, 80% of potential buyers aren't native Dutch speakers. Therefore, selecting an agent proficient in both Dutch and English, who also understands diverse cultural nuances, is crucial to maximizing selling opportunities.
For buyers: A dedicated agent ensures you secure properties at optimal prices and significantly boosts your chances of purchase success. This industry revolves around trust. Understanding the mindset of selling agents, who act as gatekeepers for their clients, is fundamental.
For sellers: When you are selling a property, a real estate agent will get you the highest price. Therefore be very picky, because your agent should be an expert in gaining trust, doing what he/ she promises and an excellent communicator in both Dutch as English. In the Randstad Area, 80% of potential buyers aren't native Dutch speakers. Therefore, selecting an agent proficient in both Dutch and English, who also understands diverse cultural nuances, is crucial to maximizing selling opportunities.
For buyers: A dedicated agent ensures you secure properties at optimal prices and significantly boosts your chances of purchase success. This industry revolves around trust. Understanding the mindset of selling agents, who act as gatekeepers for their clients, is fundamental.
What is the average time a property stays on the market in Amsterdam?
Amsterdam's and Amstelveen's real estate market is dynamic, and the duration a property stays listed can vary. On average, properties in popular neighborhoods may sell within a few weeks, while others might take a couple of months. It's best to consult with your real estate agent for current market trends in your neighbourhood.
Are there regulations or restrictions on property renovations in Amsterdam?
Yes, especially in historic areas or buildings with monumental status. It's essential to obtain the necessary permits from the local municipality before starting any renovations. Working with local experts can help navigate these regulations and ensure that any modifications comply with local laws and preserve the property's value.
What is "Erfpacht"?
"Erfpacht" refers to a Dutch land tenure system, essentially meaning "ground lease." In Amsterdam, it's possible to own a property but lease the land it stands on. This split means that when buying a property on "erfpacht" ground, you're acquiring the building but not the actual land. Instead, the land is often leased from entities like the municipality of Amsterdam for lengthy periods, commonly ranging from 50 to 99 years.
As a lessee, you're required to pay a periodic fee, known as the "canon." This fee can be prepaid for the entire lease duration or billed annually. It's worth noting that the amount can undergo periodic reviews, adjusting based on factors like land value fluctuations. Recently, many homeowners in Amsterdam have chosen to permanently buy out their lease, freeing them from future canon payments. This could be applicable on your property as well. Your real estate agent will inform you about this.
As a lessee, you're required to pay a periodic fee, known as the "canon." This fee can be prepaid for the entire lease duration or billed annually. It's worth noting that the amount can undergo periodic reviews, adjusting based on factors like land value fluctuations. Recently, many homeowners in Amsterdam have chosen to permanently buy out their lease, freeing them from future canon payments. This could be applicable on your property as well. Your real estate agent will inform you about this.
Does "Erfpacht" have an effect on the price of a property?
"Erfpacht" can indeed influence a property's price. If a homeowner has prepaid the "erfpacht" indefinitely or for an extended period, new buyers benefit from fewer periodic "canon" payments. This prepayment can increase a property's value, as future costs are reduced. However, for a buyer planning a short stay, this benefit only equates to the saved "canon" for those few years, making the full prepaid value less impactful on their purchase decision. Therefore, the increase in property value due to a prepaid "erfpacht" doesn't always match the prepayment amount and varies based on the buyer's intentions. Still, between two similar properties, one with an indefinitely prepaid "erfpacht" is undeniably more attractive to most buyers.
