Working group investigates measures against land speculation

A working group will investigate the most appropriate measures to combat land speculation. This working group will present recommendations this fall. This was announced by Minister Hugo de Jonge of the Interior and Kingdom Relations (BZK) in response to parliamentary questions submitted by members of the House of Representatives Inge van Dijk and Eline Vedder (both CDA).

The working group includes representatives from the Ministries of the Interior and Kingdom Relations, Finance, Justice and Security, and Agriculture, Nature and Food Quality, the Netherlands Authority for the Financial Markets, the Netherlands Authority for Consumers and Markets, and the Financial Supervision Office.

Role of notary
The working group is examining proposals from the Royal Dutch Association of Real Estate Agents (KNB), including whether notaries should be required to be involved in drafting purchase agreements for speculative land purchases and whether private buyers should be granted a statutory cooling-off period, as is the case with residential property purchases. The working group is also examining whether other measures can be introduced to protect private buyers, such as requiring them to be present at the signing of the deed and whether notaries can refuse their services in cases of unexplained price increases.

Supervision
The working group is also investigating whether trading in speculative land can be brought under the supervision of the Netherlands Authority for the Financial Markets (AFM) more frequently by amending the Financial Supervision Act. It is also investigating whether the Netherlands Authority for the Financial Markets and the Netherlands Authority for Consumers and Markets (ACM) can be better facilitated by, among other things, improving the exchange of information.

Land Registry Report
At the request of the Ministry of the Interior and Kingdom Relations, the Land Registry investigated the development of land trading over time, its distribution across the Netherlands, and the potential for development of fragmented parcels. This study was recently completed. According to the Minister, the insights gained from this study will serve as the foundation for decisions on potential (policy) measures.