Are you a first-time home buyer looking to purchase property in the Netherlands? The Dutch government has introduced key changes for 2025 that could significantly impact your house-buying journey. Here’s what expats and new buyers need to know:
Increased Limit for Transfer Tax Exemption
In 2024, first-time buyers aged between 18 and 35 were exempted from paying property transfer tax for homes priced up to €510,000. Starting January 2025, this limit will rise to €525,000, an increase of €15,000. This means that more expensive properties can now qualify for this exemption, providing first-time buyers with greater opportunities to save on buying costs.
Important Notes:
- If you’re purchasing a property with a partner and only one of you meets the age and other criteria, the tax benefits are split. The qualifying person pays 0% tax on their share of the purchase, while the other pays the standard 2%.
Higher Limit for NHG Mortgages
The Dutch National Mortgage Guarantee (NHG) program offers security and favorable terms for buyers. In 2025, the NHG mortgage limit will increase from €435,000 to €450,000, a €15,000 rise.
The NHG fee, a cost paid by borrowers to secure a mortgage guarantee, will be reduced from 0.6% to 0.4% of the total mortgage amount, potentially saving buyers hundreds of euros. Coupled with the increased NHG limit, this reduction further enhances the appeal of NHG mortgages for prospective homeowners.
What This Means for First-Time Buyers
These changes create new opportunities for expats and other first-time buyers to:
- Purchase higher-value properties while benefiting from transfer tax exemptions.
- Secure NHG-backed mortgages with increased financial flexibility.
Get Expert Guidance
Navigating these changes can be complex, especially if you’re unfamiliar with Dutch property regulations. Don’t let the opportunities pass you by. Contact us today to understand how these updates can influence your home-buying plans and help you make the most of the 2025 regulations.
