The accessibility to the Dutch housing market for Flexhouseholds

Abstract

The Netherlands is facing pressure on the housing market and the prices are increasing drastically. The accessibility to the housing market decreases and moving becomes harder. With the flexibilization of the labour market, more households face income uncertainty, which can affect their possibilities on the housing market. Flexworkers, labourers with a temporary contract and zzpers together are labelled ‘’flexhouseholds’’. The accessibility of flexhouseholds to housing, are dependant of three markets which are connected to one another. These markets are: the housing market, the labour market and the financial market. To understand how the flexhouseholds are affected in their accessibility to the housing market, this thesis aims to answer the question ‘’What are the effects of the flexibilization of the labour market on the accessibility of flexhouseholds on the housing market?’’. The research methods which will be used in order to answer the main question, are divided into two categories. First, a qualitative study will be conducted, this will be done through the use of literature study, source study and the use of interviews. After this is done the quantitative study will be conducted with the DNB households survey. The statistical study will be focused on researching the differences between the permanent households and the flexhouseholds on the housing market. The goal of this research is to give valuable insights on the position of flexhouseholds on the housing, labour and financial market and in understanding how these markets influence one another. The outcomes of this research show that zzp households have the highest accessibility to the housing market of the three flexhousehold groups. Because of their labour agreement additional restrictions on obtaining a mortgage are imposed, such as getting a research forecast, and a lower percentage of the mortgage if the NHG is not used. However, their older age and high incomes makes the effects of their labour agreements minimal, making them equal or sometimes even in a better position than permanent households. For the temporary households, the theory points out that they have the least restrictions in obtaining a owner occupied or rental dwelling. However, in practice they are second in obtaining in a dwelling. This has to do with the young age and therefore lower savings than the zzp households and general lower incomes. The flexworker households have the lowest accessibility because of the restricting factos based on their labour agreements, their financial situation and also their future work perspectives. Financial institutions need to make use of more tailor made mortgages lending, in which the circumstances and characteristics of the flexhouseholds are taken into account.