Expats driving prices up
The dramatic increase in the number of households is largely due to the rise in the number of expats in the city. The number of residents with a migrant background has increased by 17% in five years, while the total population increased by 5%. The days when expats only had an impact on the rental market are over. Nowadays they are increasingly moving into the owner-occupied residential market due to the lack of rental properties and increasingly higher rents

Traditional Eindhoven residents head for Helmond and Valkenswaard
The rising prices are making it difficult for households to enter the housing market or move house. A proportion of those who sell their home are expected to leave the city and head for neighboring municipalities such as Helmond and Valkenswaard. For a short time now, prices there have been lower than in Eindhoven, which makes them a serious alternative.
Demand focused on apartments
Only 38% the residential sector consists of multi-family properties, which means that this segment is underrepresented in the city. In Utrecht this percentage is 56%, in Rotterdam 75% and in The Hague 79%. Only one in three homes for sale is an apartment, yet demand is focused on this housing type. To tackle this issue, the municipality is strongly committed to high-rise buildings. The aim is to build an additional 10,000 homes in the city center. New developments such as District E (up to 158 meters high), Toren N(ico) (110 meters high), the Bunker (100 meters high) and the Onyx (84 meters high) will soon be featuring in Eindhoven’s skyline. 

These projects are a response to changing consumer demands. A smart move by the city’s authorities. That said, it is important that a healthy mix of residential, office space and retail units is realized downtown. The city needs to set out a clear vision for investors. A one-sided focus on housing leads to exploitation risks and a reluctance among investors to develop these types of projects.