The demand for housing cooperatives in the Netherlands

This document is a master's thesis authored by Ewoud Kooijman at Eindhoven University of Technology. It explores the demand for housing cooperatives in the Netherlands, addressing the pressing need for affordable housing. The research highlights that by 2030, the Netherlands requires an additional 900,000 dwellings, with 300,000 of these needing to be affordable. The introduction of housing cooperatives is presented as a viable solution to ensure long-term affordability.

Housing cooperatives are common in countries like Germany, Denmark, and Sweden, but they remain underrepresented in the Netherlands, where there are only about 1,000 to 2,000 dwellings under such schemes. The study reveals a significant market-driven demand for housing cooperatives, indicating that 48% of respondents may prefer this tenure type due to its lower monthly costs and absence of annual rent increases. The research utilized a stated choice experiment involving 1,404 respondents, narrowing down to 945 usable responses for analysis.

The study employed a combination of literature review and semi-structured interviews, alongside a stated choice experiment to gauge preferences for various forms of housing tenure. The four primary types considered were individual owner-occupied, apartment rights, social renting, and private renting. Findings indicated that the most important factor influencing choice is the monthly cost, with housing cooperatives providing a preferable alternative over private rentals.

The research identified two distinct classes of preferences among respondents. Class one, which preferred owner-occupied dwellings, showed resistance towards the alternatives presented. In contrast, class two, consisting mostly of younger individuals (up to 35 years old) and full-time employed or students, expressed a strong preference for housing cooperatives. This class is characterized by a concern for housing costs, indicating a need for affordable living options.

The findings suggest that the Dutch housing market would benefit from greater diversity in housing tenure types. The study recommends the government simplify the establishment process for housing cooperatives, standardize policies, and allocate land for such projects. Financial institutions are encouraged to ease mortgage access for cooperatives, drawing lessons from successful international models.

The thesis concludes that there is a genuine demand for housing cooperatives in the Netherlands, particularly among younger demographics concerned about affordability. Future research should aim to replicate this study with a representative sample of the Dutch population and explore additional factors influencing housing tenure preferences, such as location and space requirements. This research contributes significantly to discussions on sustainable housing policies and the potential for cooperatives to address housing shortages in the Netherlands.