Dutch housing market and Futura

Similar histories in European social

housing with different solutions

Futura, partnership of social housing

associations in Brabant

Who ?

5 participants, 5 associates

Managing around 130.000

dwellings

Why?

Faster, better, more sophisticated and/or

cheaper

Prepared to react quickly and swiftly to

new developments in housing

Combine the economy of scales with

local presence

Mission

To support participants and associates in their

organisational development.

With the joint objective to improve housing. Be

innovative and inspiring.

In changed circumstances find the new answers

for sometimes old questions

Because we care about the quality of housing and

the quality of life of our tenants.

From a housing perspective.

From a social perspective and a social

engagement.

Three Challenges

Platform:

Exchange knowledge and support

organisational development

Projects: work on joint projects, from

detailed to abstract and vice versa

Strong voice: external networks

Influence / Debate / Procurement

How?

All together: with staff of the participating and

associated housing associations

With a small and compact Futura team

More and more externally oriented

Cooperation is difficult, it is a challenge

Use the strengths of internal and external

networks

Tension between internal and external orientation,

or:

- between innovation and efficiency

Composition Dutch housing

market

Facts and figures

History

Actual discussions

Future

Facts and figures Dutch housing stock with a focus on housing

companies

32%

11%

57%

Social housing

Private rental

Owner occupied

Structure of the Dutch housing market

2008

The housing sector in 2011

401 social housing associations

28.368 full time equivalents staff

2,4 Mio. dwellings

In 2011

36.500 new dwellings were built by housing

associations

28.600 of these were rental dwellings

7.900 of these were for sale

In 2011

Housing Stock

€ 422 Euro average monthly rent

On an average 72% of the regulated maximum

rentprice is charged by the housing associations

(point system)

1,6% was the average rent appraisal (in

2010)

(> € 653 = limit for housing benefits)

In 2011

23,2% of the stock is cheap

(until € 361 per month)

67,1% of the stock is affordable

(€ 362 - € 517)

7,2% of the stock is affordable plus

(€ 518 - € 652)

2,4% free market rents outside the

boundaries of the social housing

system

In 2011

Investments

€ 9,40 billion total investments

€ 6,85 billion invested in new built homes

€ 1,40 billion Euro investments in renovation and

upgrading

€ 472 million buys of existing stock

€ 290 million quality of housing and quality of life

and environment

€ 396 million socially owned assets (social

services)

Maintenance

€ 3,1 billion total maintenance

History

Community

Public

Housing associations and its context

Hybrid and social responsibility

Private

History in a nutshell

19th century: poor housing conditions and low

life standard of labour people

1901 Housing act

Private initiatives supported with public subsidies

After 1945 until 1990: quantitative housing

need, high investments in public/social housing

System of capital grants and individual housing

benefits

1993 End of capital grants and the housing

associations were privatized

Regulation and qualifications for

registered social housing organisations

(now known as BBSH)

A framework

From a regulated registration until reporting and

checks on results

Qualitative and quantitative

With obligations on the following subjects:

BBSH

1. Housing quality

2. Percentage of dwellings rented to

lower income households

3. Financial continuity

4. Housing situation in the region/quality

of life

5. Participation and involvement of

tenants

6. Housing and care

Registered housing organisations

Depending on political decisions

Public responsibility but privately

organised

Cheap loans

Tax regulations

But …

Future 1

European decision

New housing act

90% of the rented dwellings must be

let to households with an income

<€ 33.000

Cheap loans will be reduced

Regulations and procedures are

currently under review

New funding products from the

private sector

Important discussions about the use

and protection of free equity

Future 2

Work in a fast changing housing

framework

Politically

Economic

Demographic

Housing market

National housing politics

Annually, housing associations must

contribute 600 mio. as a contribution to

the housing benefits

(rent appraisals influence the inflation

figures)

Income related rents > € 43.000

Inflation + 5,5%

Right to buy

Economic trends

Low growth figures

Fears for the future

Fear to consume

Persistent devaluating prices

Division of society: not only materially

but also socially

Demographic trends

Ageing society and depopulation

Smaller households

New eastern European immigrants

Housing market

Unbalanced

No free market rents available

Division between the rental and owner occupied housing sector

Entrance on the housing market is for middle income class almost impossible

Discussions about the deduction of interest paid over mortgages for income tax have not ended

stagnating market

The future of housing associations

More influence from institutional investors

Efficiency criteria

Focus on the regeneration of old buildings

Criteria for continuity under pressure

Sector will be reduced

More market oriented

Orientation towards new sources of funding

How can we be social in a more market oriented

environment?

Socially

Changing landscape

Self supported organisations

Mistrust (towards public institutions)

Back to the civilian and back to the municipality

The future as a network

Tension between the market and the community