Decreased demand for rental properties in Eindhoven since Q4 2023: Impact of ASML's reduction in workforce

The end of 2023 witnessed a notable shift in the rental market of the Eindhoven region, marked by a significant decrease in demand for rental properties. Extate Housing has closely monitored this trend and seeks to provide insights into the causes behind these changes...

One of the primary factors influencing the demand for rental properties is the reduced influx of expatriates in the region. This is directly attributed to ASML's decision to hire fewer employees starting from the third quarter of 2023. As one of the largest employers in the region, ASML plays a crucial role in attracting international professionals. However, reducing the influx of personnel has significant consequences for the local rental market.

One of the main reasons behind ASML's decision is the prolonged onboarding process for a large number of new employees. The company is renowned for its innovative chip manufacturing technology, and training new employees requires substantial time and resources. The specialized nature of the technical expertise required at ASML makes it time-intensive for the company to onboard new hires.

Another key factor contributing to the reduced personnel influx at ASML is the global situation surrounding consumer electronics. High inflation has led to a decrease in demand for products such as laptops and smartphones. Since ASML produces chip machines used in the manufacture of these electronic devices, the declining demand for consumer electronics directly impacts the demand for ASML's chip machines.

Extate Housing acknowledges that these developments have had a noticeable impact on the local rental market. With fewer expatriates coming to the Eindhoven region, the demand for rental properties in the private sector has decreased. However, as a rental agency, we remain proactive and dedicated to meeting the changing needs of our clients. We continue to work closely with homeowners and potential tenants to provide solutions that align with evolving market conditions.

While the current situation presents challenges, we are confident that the Eindhoven region is resilient. Extate Housing remains committed to bridging the gap between landlords and tenants, and we continue to strive for a thriving and balanced rental market in this dynamic city.