Riva arranges letting and management on behalf of homeowners
Rotterdam’s housing market is evolving. Research by the municipality shows that private landlords play an important role. Riva represents a growing number of property owners.
An important role in the city
Private landlords provide rental homes for increasing numbers of people who want the flexibility of renting in Rotterdam. Riva lets and manages properties on behalf of a growing number of landlords. Private landlords are often blamed for the rapid rise in house prices and the shortage of affordable homes, but this perception is unfair. That is the conclusion of research carried out by the Dutch Land Registry on behalf of Rotterdam City Council in the first half of 2020. The more nuanced picture shows that investors buy almost as many homes from owner-occupiers as they sell back to owner-occupiers.
Deputy Mayor Bas Kurvers (Housing and Construction): “Private landlords play an important role in the city. They provide rental homes for increasing numbers of people who want flexible accommodation. That is also why I do not think it makes sense to restrict all private letting. I only intervene where necessary.”
Deputy Mayor Kurvers (Construction, Housing and Energy Transition in the Built Environment)
Owner-occupancy requirement
Recent municipal research on first-time buyers in Rotterdam shows that the overall shortage of housing is the main cause of rapid price rises. The municipality is therefore introducing measures including an owner-occupancy requirement, in the form of restrictions on letting, resale and/or speculation. This applies to homes built on municipal land, such as in Parkhaven, and municipal property converted into housing, such as renovation properties or homes for cooperative housing initiatives. The owner-occupancy requirement takes effect immediately for new developments where there is still room for negotiation.
Plenty of investment properties remain in Rotterdam
The owner-occupancy requirement has already been fully introduced in Amsterdam, Utrecht and other cities. Buyers there must live in the homes they purchase. This makes letting impossible and means owner-occupied homes are unsuitable as investment properties. The measure is intended to prevent price inflation and help first-time buyers and lower-income households in those cities. Until the rule is fully introduced in Rotterdam, Riva invites property investors and prospective buyers to visit us in Rotterdam to discuss their options. For now, the city still offers plenty of opportunities to buy investment properties and generate substantial returns by letting apartments. As a professional estate agency in Rotterdam, we can help interested buyers find their way around the city and identify opportunities.
First-time buyer loans
To help first-time buyers purchase an affordable home in Rotterdam and encourage new home construction, the city is introducing first-time buyer loans for newly built homes. With house prices rising rapidly, getting onto the property ladder is becoming increasingly difficult. The city council has drawn attention to the position of first-time buyers through the motion ‘Ready for a Fair Start’ by Nida, 50+ and PvdA, and several motions supported by the wider council, including Leefbaar Rotterdam, concerning the owner-occupancy requirement.
Deputy Mayor Bas Kurvers: “Rotterdam is a city with many young residents. This makes a first-time buyer loan important for people looking for a home. Financial support can provide a valuable addition to the amount they may have saved towards a house. Or it can give people the final push they need to move from housing association accommodation to owning their own home. This will release affordable housing association homes sooner for new tenants. The first-time buyer loan will also encourage developers to keep building new homes, because more people will be able to buy. That makes it a win-win situation.”
There are still plenty of investment properties in Rotterdam