If you search on the internet for the term Netherlands residency by buying property, you will see that websites have written about this subject. But does the Netherlands really give you residency by buying a property? In this article we want to talk about this matter.
Like other European countries such as Portugal, Spain, Greece, Cyprus, etc., does the Netherlands offer Golden Visa immigration programs (residency by buying property) to those interested in obtaining Dutch residency or not?
Of course, you must have understood the whole story by reading the title of this article. The truth is that buying a property in the Netherlands alone does not bring a residence permit to you and your family, and there is practically no Dutch immigration program for those who purchase a property in this country. But is this fact the end of the Dutch residency for investors? Or has the Dutch government offered investors other ways to obtain residency?
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Investigating the housing crisis in the Netherlands
One of the reasons why you cannot count on getting Netherlands residency by buying property is that this country has been dealing with a housing crisis for years and cannot support such an immigration program in terms of political, economic and social considerations.
The situation of the housing crisis in the Netherlands has been worrying in the last few years. The increase in property prices and the decrease in the number of properties available for people with low incomes have caused a housing crisis in some areas of the Netherlands. In the following, we point out some aspects of the housing crisis in the Netherlands, which is the main reason why you cannot plan for getting Netherlands residency by buying property:
1. Decrease in the number of available properties: The limited supply of properties in some areas of the Netherlands, especially in large cities such as Amsterdam and Rotterdam, has reduced the number of properties available to buyers. This has led to an increase in property prices and intense competition among buyers.
2. Rising real estate prices in the Netherlands: Real estate prices in the Netherlands have risen dramatically in recent years. This increase in prices, especially in densely populated cities such as Amsterdam and Aarhus, has made it difficult for many people with average and below-average incomes to find a suitable property to buy.
3. Housing crisis for certain groups of people in the society: some groups of society such as youth, students, immigrants and parents who raise their children alone are facing critical housing problems. The high price and restrictions in accessing suitable housing for these groups make their daily life more difficult.
The Dutch government has made efforts to deal with the housing crisis, including not approving the program of obtaining Netherlands residency by buying property, building new residential units, regulating housing laws and regulations, and creating support programs for vulnerable groups and sections of society. However, the housing crisis in the Netherlands still poses challenges for people looking for suitable housing.
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The impact of Netherlands residency by buying property on the housing crisis
Purchasing property by foreigners has a significant impact on the housing crisis in the Netherlands. In some cases, the presence of foreign buyers can increase property prices and reduce the number of properties available for the Dutch themselves. Of course, studies show that the impact of buying property by foreigners in the Dutch housing crisis can be very complicated and cannot be attributed to a specific factor. Below are some of the negative aspects related to this topic:
1- Demand and supply of properties: The presence of foreign buyers may increase the demand for properties. This may lead to higher prices. On the other hand, the increase in demand can bring more organization in the housing market and have a positive effect on the construction sector.
2- Effect on prioritization: In a situation where there are limited resources for housing construction, the presence of foreign buyers may cause the attention and prioritization for domestic people to decrease. This may have a negative impact on groups that are in a housing crisis.
Of course, a group also believes that the presence of foreign buyers in the housing market can help economic growth and create direct and indirect employment in the housing industry. This, in turn, can have a positive effect on the country’s economic situation.
Overall, the impact of foreign property purchases in the Dutch housing crisis depends on the specific state of the housing market and government policies and regulations. It should be noted that the Dutch government can act to better manage the housing market and control the housing crisis by implementing appropriate policies and regulations.
According to our long-term experience in the field of international real estate investment, if obtaining Netherlands residency by buying property was possible, this could lead to an unreasonable increase in housing prices for local people, as happened in Turkey, Portugal, Spain and Cyprus.
The Dutch government attaches great importance to its people and is trying to increase public and social welfare in all aspects. The lack of a residence method in the Netherlands by buying a property is also one of these efforts. You cannot get a residence by buying a property in the Netherlands alone, and other factors must be present in between and help you and your family to stay.
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The effect of residency by buying property on the economy
But like obtaining Netherlands residency by buying property, does this program always have a negative effect? Do we always see economic failures and disruptions in countries that have this immigration program? The answer is negative. This issue may have a different situation in each country. Continue reading to better understand the reason for the unavailability of getting Netherlands residency by buying property!
In order to be able to measure the impact of the getting residency by buying property on the economy of destination countries, we must look at the specific situation and conditions of each country. It is not possible to check this effect specifically and generally for everyone. But in some cases, immigration and residency with the purchase of property can have a positive effect on the economy of countries.
Below we mention some aspects related to the effect of residency by buying property in the economy of countries:
1- Development of the residential real estate sector: the presence of immigrants and the purchase of residential properties by them can lead to the development and growth of the building sector in residential real estate. Increased demand for real estate creates economic activity in construction, related equipment, and support services.
2- More employment opportunities: Migration and purchase of property by immigrants may facilitate the creation of employment in industries related to the residential property sector, such as construction, architecture, real estate consulting, etc. These jobs can contribute to the prosperity of the country’s economy.
3- Increase in property prices and increase in wealth: The purchase of properties by immigrants may increase the prices and value of properties in the market. This, in turn, can lead to an increase in the assets and wealth of property owners and have a positive effect on the country’s economy through their consumption activities.
4- Boom in the construction industry: the presence of immigrants and the purchase of properties by them may make the construction sector boom. The increase in demand for properties leads to the creation of job opportunities in this industry, increasing construction activity and meeting the needs related to construction.
5- Economic growth: The presence of immigrants and their investment in buying property can lead to the economic growth of the country. This is due to the increase in economic activities, creating employment and attracting capital.
6- Taxes and increasing government income: Buying property by immigrants may lead to tax income for the government. These revenues can strengthen the financial resources of the government and be effective in providing public services and infrastructure development.
In any case, the effects of residency by buying property in the economy of countries depend on various factors such as the volume and type of immigration, the state of the property market, government policies and other related factors. Getting residency by buying property may be very useful for the economy of some countries and dangerous for some others!
It seems that the adoption of the laws of residency by buying property is more suitable for developing countries than for developed countries. Countries that still have enough land and resources for construction and development. Getting Netherlands residency by buying property will not be an interesting idea for the country’s economy, given that there may not be enough resources available to develop housing projects.
Finally, is it possible to get Netherlands residency by buying property or not?
Now you are familiar with the crises and the positive points that residency by buying property can bring to countries, but the answer to the above question is still negative, buying property in the Netherlands alone does not grant you residency. In other words, there is no law for obtaining Dutch residency by buying property in this country.
Buying a property in the Netherlands can only be one of the positive factors in your residency application process, but for a permanent or long-term stay in the Netherlands, you must also consider the other specific steps and conditions that we discussed in Solid 6 ways of Moving to the Netherlands for you!
To reside in the Netherlands, you must reside in the Netherlands through one of the valid immigration programs, such as immigration for work, study, family reunification or asylum. In each of these methods, you must follow specific procedures and regulations and meet the required conditions in order to obtain residency in the Netherlands.
Buying a property in the Netherlands can help you with some of these processes, for example with financial conditions and proof of sufficient economic ability to support yourself and your family. However, to ensure a legitimate and legal stay, you should proceed according to your desired immigration program and go through the necessary steps.
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Is there a way to obtain residency in the Netherlands for investors?
Now that it is not possible to get Netherlands residency by buying property, is there a way for investors to enter and reside in this country? Or the Netherlands has completely closed its doors to immigration by investment?
The good news is that you still can get residency by investing in the Netherlands. The Netherlands offers a variety of investment programs to attract foreign investors that can lead to obtaining residency, although as we said, these programs do not include obtaining Netherlands residency by buying property. The Netherlands investment program allows foreign investors to invest in areas such as and emerging businesses, technology, discussion and research and development, foundation for the country’s economic development, receive residency in the Netherlands.
It is important to know that each specific investment program has requirements and conditions that you should check and get comprehensive information about them from official and reliable sources. Also, costs and capital requirements for each program may vary.
If you intend to get a residency in the Netherlands by investment, we recommend that you definitely use the advice of expert immigration lawyers so that you can ultimately achieve the best result for this goal and have the desired future you want in the Netherlands.