House prices in the Netherlands were up 4.3% in February when compared with the previous year and are now heading back to their record level in July 2022, national statistics office CBS said on Friday.

The downturn began that August but prices have been rising again since the middle of last year, despite higher interest rates. Real estate agents also report that overbidding is once again the norm, particularly on houses that do not require major renovations.

In February, the average price of home reached €429,279, although there are major regional variations, the CBS said. That figure is up 1% on January this year.

The land registry office Kadaster said nearly 14,000 homes changed hands last month, up 16.5% on the same period a year ago. In total, over 28,000 homes found a new owner in the first two months of the year, a rise of 13% on 2023.

The CBS calculations are based on completed transactions that have been included in the land registry data base and lag behind other house price statistics, published quarterly by the real estate agents’ association NVM and which reflect agreed sales.

The rules for borrowing changed in January to encourage buyers to invest in making their homes more energy efficient and to try to help more people get a foot on the housing ladder.  The national mortgage guarantee, which protects buyers against being unable to pay, now covers properties up to €461,000.

First time buyers under the age of 35 can also spend €510,000 on a property without being liable for transfer tax while the over-57s can also include their assets in calculations about how much they can borrow.