Learn › Housing & mortgage in the Netherlands

In short: When buying a home in the Netherlands you pay, on top of the price, the so‑called buyer costs (kosten koper): transfer tax (in 2026 normally 2% for an owner‑occupied home, a 0% starter exemption for first‑time buyers aged 18–35 on a home up to € 555,000, and 8% for homes you will not live in yourself) plus notary, valuation and advice fees. With a mortgage, the interest is deductible under conditions (in 2026 at a maximum rate of 37.56%), but you also add the imputed rental value (eigenwoningforfait, usually 0.35% of the WOZ value in 2026) to your income. Each year you also pay OZB property tax to the municipality. This is general educational information, not tax, legal or financial advice — have an independent adviser assess your situation.

Property & Housing in the Netherlands: mortgage, tax and buyer costs

Kontoo editorial team · Updated 06/24/2026

Buying a home in the Netherlands is about more than the purchase price. You will deal with a mortgage, tax rules around your owner‑occupied home, and one‑off buying costs. This chapter explains the key terms — mortgage interest deduction, imputed rental value (eigenwoningforfait), transfer tax (overdrachtsbelasting), buyer costs (kosten koper) and the annual property tax (OZB) — so you can estimate the total cost. Volatile amounts and rates are as of 2026; always check the official source if in doubt.

Work out your maximum mortgage and save for the extra costs: most buying costs come from your own funds, since you can usually borrow at most 100% of the property value.
Add up the buyer costs (kosten koper): transfer tax plus notary, valuation and mortgage advice fees — together often around 5 to 6% of the price for an existing home.
Check the tax effects: mortgage interest is deductible under conditions, but you also add the imputed rental value (eigenwoningforfait) to your income.
Budget for annual charges such as the municipal property tax (OZB), based on the WOZ value of your home.

What matters

In the Netherlands a home is usually financed with a mortgage. Since 2018 you can generally borrow at most 100% of the property value; anything beyond that, such as the additional buying costs, comes from your own funds. Buyers who stay within the NHG limit (in 2026 € 470,000, or € 498,200 if energy‑saving measures are co‑financed) can opt for the National Mortgage Guarantee for a one‑off premium of 0.4% of the mortgage, often with a slightly lower interest rate. The tax core of the owner‑occupied home consists of two opposing items. Paid mortgage interest is deductible under conditions, but the deduction rate is capped: in 2026 you deduct at a maximum of 37.56%, the rate of the second tax bracket, for the income above roughly € 78,000. Against this stands the eigenwoningforfait: an addition to income of usually 0.35% of the WOZ value (2026) for homes up to € 1,350,000; above that threshold it is € 4,725 plus 2.35% of the excess. At the purchase itself, transfer tax is central. In 2026 there are several rates: 0% starter exemption, 2% for an owner‑occupied home, 8% for homes you do not live in yourself (reduced from 10.4% in 2025) and 10.4% for other real estate. On top come notary fees (often € 1,000–€ 1,500), valuation fees (around € 600) and mortgage advice (roughly € 1,500–€ 3,500). Finally there is the annual OZB: a municipal percentage of the WOZ value that varies by municipality; decisive is who owns the property on 1 January. All figures stated are as of 2026.

ExampleExample for an existing home of € 400,000 (owner‑occupied, no starter exemption, as of 2026, rounded): transfer tax 2% = € 8,000; notary ± € 1,300; valuation ± € 600; mortgage advice ± € 2,500. Total buyer costs ≈ € 12,400, or just over 3% of the price. For the annual charges: eigenwoningforfait of 0.35% on a WOZ value of € 380,000 ≈ € 1,330 added to your income. A first‑time buyer (18–35) buying this as a first home pays € 0 transfer tax thanks to the starter exemption, saving the € 8,000.

Run your own numbers first with the Kontoo mortgage calculator and verify current rules and amounts with the Dutch Tax Administration (Belastingdienst).

In depth

The WOZ value as the hub of housing costs

The WOZ value the municipality sets each year is the basis for both the eigenwoningforfait and the OZB. It reflects the situation on 1 January of the previous year. If you find the value too high, you can object — a lower WOZ reduces both your income addition and your OZB.

Kosten koper versus vrij op naam

For existing homes “kosten koper” (k.k.) usually applies: the additional costs are for the buyer. Much new‑build is sold “vrij op naam” (v.o.n.), where transfer tax and delivery notary costs are already included in the price. So check which label a property carries before fixing your budget.

Note: this is not advice

The rules around mortgages and owner‑occupied homes are complex and change yearly. The figures above are as of 2026 and intended for education. For your own situation consult the Belastingdienst, your municipality and an independent mortgage or tax adviser.

Checklist

Know the difference: 0% starter exemption, 2% owner‑occupied, 8% not‑self‑occupied, 10.4% other real estate (2026)
Set aside own funds for the buyer costs, since they usually cannot be added to the mortgage
Understand that eigenwoningforfait is an addition and mortgage interest is a deduction — the net matters
Budget annually for municipal OZB, based on the WOZ value as of 1 January

Common myths

Myth: “The mortgage interest deduction always gives me my highest tax rate back.”

Reality: For several years the deduction rate has been capped. In 2026 you deduct mortgage interest at a maximum of 37.56%, even if your income falls in a higher bracket. The real benefit also depends on the eigenwoningforfait you add to income.

Myth: “The starter exemption applies to anyone buying for the first time.”

Reality: Strict conditions apply: you must be 18 to 35, live in the home yourself, and in 2026 the home may not cost more than € 555,000. Above that limit the exemption is lost entirely and you pay 2% over the whole price.

Frequently asked questions

Who gets the transfer tax starter exemption in 2026?

Buyers aged 18 to 35 who buy a home for the first time and will live in it themselves pay 0% transfer tax if the home costs no more than € 555,000 (the 2026 limit). The exemption applies once; the date of transfer at the notary is decisive. As of 2026 — check the official source if in doubt.

What is the difference between mortgage interest deduction and eigenwoningforfait?

The mortgage interest deduction lowers your taxable income by (part of) the interest you paid. The eigenwoningforfait works the other way: a percentage of the WOZ value (usually 0.35% in 2026) is added to your income. The net difference determines your actual tax benefit.

How much of my own money do I need to buy?

You can usually borrow at most the property value (100%), so you pay the buyer costs — often 5 to 6% of the price — yourself. On a € 400,000 home that quickly amounts to € 20,000 to € 24,000 in own funds.

All lessons · Glossary · Editorial · Kontoo does the math and explains – this is general education, not tax, legal or financial advice.

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