Price index existing own homes

What does the survey comprise?

Purpose

The price index for existing own homes (in Dutch PBK) aims to reflect the changes in prices of the stock of existing own homes.The dwelling must be located on Dutch territory and sold to a private person.

Target population

The stock of existing own homes

Statistical unit

Existing own homes

Date/year survey started

Price indices for existing own homes are available from January 1995. The figures were first published on 24 January 2008. On 21 August  2009, average selling prices – also available from January 1995  - were published for the first time. From 21 January 2010 price indices are also published for 40 COROP regions and the 25 largest municipalities (more than 100,000 inhabitants), also available from January 1995. The total value of selling prices (from January 1995) is also published since 21 June 2010.
From 21 February 2013 the weights are based on the value of dwellings stock instead of the sum of the selling prices of dwellings sold in the base years. In addition, the two tables with base year 2005 are stopped. Instead of these tables three new tables are published with base year 2010. Also, the level of detail is reduced because of strongly decrease of sales. The weights are further improved by the publication of 21 February 2014. The new weights are now based on the value of the stock of own homes. These new weights are used from 2008 onwards. This means that from now on the PBK the price changes of the stock of existing own homes reflects. The effect of the revision on the price information for 2008 to 2013 is very small.

Frequency

Monthly

Publication strategy

The figures are definite at first publication. New figures are published around 21 days after the period under review.

How is the survey conducted?

Survey type

This index is the result of cooperation between Statistics Netherlands (SN) and the Land Registry. The Land Registry registers all sales of real estate in the Netherlands. If a dwelling changes hands, the Land Registry records selling price, address, type, and transfer date. This information is linked to the most recent WOZ values (WOZ stands for Real Estate Appraisal Act) of the respective dwellings that are known at Statistics Netherlands. The index is then calculated by comparing the selling prices in the period under review to the most recent WOZ values of the dwellings sold. The index formula includes a factor to correct for any under- or overvaluation of the WOZ values. The calculation method used is known as the Selling Price Appraisal Ratio (SPAR) method. A detailed description of the SPAR method and the conducted study can be found in the Article Price index existing owner-occupied dwellings, method description.

Unless the land is let on a long lease, it is included in the selling price. The survey does not include the following types of dwellings:
- Caravans and houseboats (not real estate)
- Non-autonomous units, e.g. student houses and nursing homes

The price index is published in three different tables.

1. House Price Index existing own homes of the Netherlands per month, quarter and year.

2. House Price Index existing own homes by region. Price indices are compiled for the following regional levels:

• The Netherlands
• Four parts of the country
• Twelve provinces
• Four big cities

3. House Price Index existing own homes by type of dwelling.

• Total dwellings (includes all types of dwellings)
• Single-family dwellings (all dwelling types excluding apartments)
• Terraced houses
• Corner houses
• Semi-detached houses
• Detached houses
• Apartments
• Unknown

In all tables, index changes compared to the previous period, and index changes compared to the same period in the preceding year are published per category. In addition, the sales numbers, the average selling price and total value of dwellings sold are published. Of the sale numbers also the changes compared to the previous period and to the same period a year ago are published. The average selling price may show a different development than the price index of dwellings of Statistics Netherlands and the Land Registry. However, the development of the average selling price is not an indicator for the price of existing dwellings. For more information see, the article "Why the average purchase price is no house price indicator."

Respondents

The Land Registry

More information

The Measurement of House Prices: A Review of the Sale Price Appraisal Ratio Method