Housing markets in Belgium and the Netherlands cool as mortgage rates rise

In the Brussels region, demand prices for homes rose 0.7% overall in the last three months, but the trend varied across municipalities. Prices increased in fifteen of nineteen Brussels communes, led by Etterbeek (+2.5%), while they fell in four areas such as Sint‑Gillisk, Vorst, Jette and Ganshoren. Apartment prices rose faster than house prices in most communes, and the market is cooling amid geopolitical uncertainty and tighter financing conditions, according to Immoweb economist Jonathan Frisch.

In the Netherlands, AB AMRO reports that higher mortgage rates are tempering the housing market. The bank forecasts house‑price growth of only 3% this year and 4% next year, noting that many households are already at their borrowing limits and wage growth is expected to slow. Regional price gaps between the Randstad and provinces such as Zeeland, Friesland and Limburg are narrowing. The report also highlights supply constraints, an overloaded electricity grid, and reduced investor interest due to tax changes. Separate data show mortgage applications in the Netherlands fell for the first time in three years, especially for renovations and sustainability projects, though applications from buyers under 25 rose.