Fewer transfers in August, but more mortgages

The housing shortage is also becoming increasingly apparent in the notarial profession. The number of homes changing hands in August fell by 4 percent compared to the same month last year. Compared to July, the number of transfers decreased by almost 6,100 homes. That number remained at 27,500, a decrease of 18 percent.

The decline in the number of transfer deeds is expected to continue for some time. A survey of members of the Royal Dutch Association of Civil-Law Notaries (KNB) shows that 50 percent of respondents saw a decrease in new cases. For 22 percent, the decrease was limited to a maximum of 10 percent, and for 24 percent, the decrease was between 10 and 25 percent.

More mortgages
The number of mortgages, on the other hand, rose by 2,500 in August to over 37,000, a 7 percent increase compared to the same month last year. Low mortgage interest rates are widely blamed for this increase. They have never been as low as they are now, various media outlets reported last week.

Total number of deeds higher
In total, notaries executed 141,288 deeds in August. That's 5,530 more than in August 2020, a 4 percent increase. However, the number of deeds was lower than in July. Compared to that month, the number of deeds decreased by almost 17 percent. This summer dip, however, occurs every year. Last August, the number of deeds was almost 21 percent lower than in July.

Once again more new private limited companies
The number of newly established private limited companies (BVs) continues to rise. Just as in recent months, the number of deeds of incorporation rose sharply in August. Notaries executed 4,100 deeds, 525 more than in August of last year. An increase of 15 percent. The number of new foundations also rose from 413 in August 2020 to 431 in the same month this year: an increase of over 4 percent. Whether this upward trend in business practice will continue remains to be seen. Respondents to the KNB survey overwhelmingly indicate that the number of new cases in business practice has remained the same. Over 30 percent report a decrease, while almost 15 percent report an increase.

Also more wills and living wills
Notaries executed nearly 22,500 wills in August. That's over 1,100 more (5.5 percent) than the previous August. The number of living wills increased by 1,300 new deeds to a monthly total of just under 12,000. The decrease in the number of property transfers also translates into a lower number of cohabitation agreements. That number decreased by 110 deeds to 3,445 contracts, a decrease of 3 percent. However, more prenuptial agreements were recorded by notaries. That number was 1,403 in August, 185 more than in the same month last year. Nearly 60 percent of respondents expect the number of deeds in family law to remain stable. 20 percent reported a decrease in the number of new cases, and over 21 percent an increase.