What problems does the Netherland example illustrate in providing ongoing fiscal benefits and support to first home buyers?
Introduction
The housing market in the Netherlands has been shaped largely by government regulatory control both in the rental and owner occupier sectors. Nederlandse Vereniging van Banken
(2014) states that currently 56% of the population own the property within which they reside.
Whilst this is significant, this is still considered below average (62.3%) for the Euro-zone
(Nederlandse Vereniging van Banken, 2014).
Home ownership is a goal that has been aggressively promoted by the Dutch government, particularly since the mid 1980’s. Significant and prolonged fiscal benefits, mainly tax incentives, have been given to the Dutch people to stimulate demand with the aim of shifting residents out of the tightly held social rental market (Global Property Guide, 2014).
This essay will review the result of fiscal policy and intervention in the housing market and the effects of providing ongoing fiscal benefits to first homebuyers. These effects will be discussed to the backdrop of the Global Financial Crisis (GFC), what was occurring in the lead up to the GFC (circa 2008), and the role the GFC played in exposing the problems that had occurred due to the government intervention.
Finally we review the measures taken by the government to roll back the incentives provided to create a more sustainable and stable property market going forward.

The Dutch Housing Market Prior to the Global Financial Crisis
Homeownership traditionally, has not been common in Holland. From a period until up until the 1950’s owner occupants accounted for just 29% of the housing stock. The balance was made up of a large social rental housing sector (Global Property Guide, 2014). These rented houses were heavily subsidised with government policy also