Real estate fraud in the Netherlands — trends and protecting your investment

Real estate fraud in the Netherlands: a growing risk in an overheated market

The Dutch property market has been an attractive target for fraudsters for years. High prices, rapid transactions and complex ownership structures create ideal conditions for various forms of fraud — from mortgage fraud and ABC transactions to identity falsification during property transfers. The Fraudehelpdesk receives increasing reports from victims of property-related fraud.

The problem extends beyond individual victims. Real estate fraud is one of the pillars of subversive crime and is frequently used for laundering criminally obtained assets. The Scientific Research and Documentation Centre (WODC) has demonstrated a direct link between organised crime and fraudulent property transactions, where legal and illegal money flows are deliberately intermingled.

For property investors, housing associations, mortgage providers and private buyers, vigilance is essential. A professional real estate fraud investigation can scrutinise suspicious transactions and map the true ownership relationships before you suffer losses.

Current trends in real estate fraud

The methods used to commit property fraud are constantly evolving. The following trends are currently most concerning:

• ABC transactions where properties are resold multiple times at inflating prices
• Mortgage fraud through falsified income data, valuations or employer statements
• Valuation fraud via collusion to over- or under-value a property
• Identity fraud where criminals pose as the rightful owner during transfer
• Straw man constructions that conceal the real owner behind shell entities
• Energy label and renovation fraud to artificially inflate property value

ConsuWijzer, the information desk of the Authority for Consumers and Markets, warns buyers to be extra vigilant with property transactions that deviate from the normal pattern — for instance when haste is applied, when the price is suspiciously low, or when the selling party is difficult to reach.

Signals that indicate real estate fraud

The following red flags warrant further investigation:

• Notable price deviations without a clear explanation
• Rapid resale with substantial price increases in a short period
• Opaque ownership structures involving foreign entities, foundations or trusts
• Partial cash payments outside the notarial settlement
• Valuation reports not in line with comparable properties in the area
• Large-scale renovations without permits or clear financing
• Fictitious rental agreements used to inflate investment property value

How SAJ Recherche investigates real estate fraud

At SAJ Recherche, we conduct real estate fraud investigations aimed at exposing fraudulent constructions and collecting legally admissible evidence.

• Transaction analysis of ownership history via Land Registry and notarial deeds
• Corporate structure investigation to identify UBOs, directors and shareholders
• Financial investigation of money flows surrounding property transactions
• OSINT investigation mapping backgrounds of involved persons and entities
• Surveillance and documentation of suspected illegal property use

All investigations are conducted under POB licence 8779 and in compliance with the Wpbr and GDPR.

Practical example: ABC transaction in the Randstad

A property investor asked SAJ Recherche to verify a building offered as an investment. Our investigation revealed the property had changed hands three times in eighteen months at rising prices. The intermediate buyers were newly formed shell entities whose directors had prior involvement in bankruptcies and property lawsuits. The same valuer — previously reprimanded for irregularities — had prepared all interim valuation reports. The pattern pointed to a classic ABC construction designed to inflate the price. Based on our report, the investor withdrew from the purchase and the mortgage provider launched its own investigation.

Protect your investment with thorough investigation

Property is for many people the largest investment of their lives. A preliminary investigation can save you from financial damage and involvement in criminal constructions.

Doubts about a property transaction or suspect fraud? Contact SAJ Recherche for a confidential consultation.