Belgium's property market cools: 15 per cent drop in house and flat sales
The residential property market in Belgium cooled down last year. There were 15 per cent fewer sales than in the previous year, the real estate barometer of the Federation of Notaries (Fednot) showed on Tuesday. However, house and apartment prices remained relatively stable.
In Flanders, the number of sales fell the most (16.9 per cent) compared to 2022. Brussels and Wallonia both recorded a decline of just over 12 per cent. "The rise in interest rates and the general economic situation have clearly caused the market to cool down," said notary Bart van Opstal, spokesperson for Notaris.be.
However, Fednot's analysis of all real estate transactions showed that global real estate activity remained virtually stable (-1.1 per cent) compared to 2022. In Flanders, property activity fell by 2.4 per cent. A slight increase was recorded in Brussels (0.4 per cent) and Wallonia (0.9 per cent).
Below inflation
Residential property in Belgium sold for an average price of 322,780 euros last year, a slight price increase of 1.1 per cent compared to 2022. However, according to Fednot's calculations, increases remained below the level of general inflation.
In Flanders, the average price of a house rose by 3 per cent to 358,677 euros. The average price of a house in Brussels fell by 2.4 per cent to 562,489 euros. In Wallonia, the average price of a house was 240,649 euros (+2 per cent).
The national average price of a flat was 264,792 euros, up 1.6 per cent. In Flanders, the average price of a flat rose by 3.3 per cent to 276,450 euros.
Mandatory renovations
Energy efficiency is becoming an increasingly important factor in the housing market. The proportion of energy-efficient dwellings is increasing throughout the country. Since the introduction of mandatory renovation in Flanders at the beginning of 2023, energy-inefficient houses are being offered for sale at lower prices, financial newspaper De Tijd reported in October.
Flemish houses with the best energy labels, A or B, were 4.1 per cent more expensive at the end of the third quarter than at the end of 2022. This contrasts sharply with the price trend for energy-inefficient houses with labels E or F, which were 1.2 and 2.1 per cent cheaper respectively.
© BELGA PHOTO BENOIT DOPPAGNE
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