Changes in the housing market for homeowners

16 Aug 2016 | Genoveva Geppaart

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In 2015, Dutch property prices rose all over the country. In popular locations such as Amsterdam, The Hague and Rotterdam, they even doubled. It is expected that this growth will continue in 2016.

Important measures for home buyers

The Dutch government decided about some measures that are important for those who want to buy a house:

  • The Dutch government offers tax exemptions for interest paid on mortgage payments for primary residences. The tax exemption rate has been reduced by 0.5% annually until it reaches 38% in 2041. In 2016, the maximum tax rebate rate is 50.5 %.
  • The maximum purchase price to get a NHG guarantee is around €212.26 as of 1 July 2016. The NHG guarantee offers you a mortgage that fits into your budget and limits the risks of buying a home. More information about the NHG guarantee is available on
  • As of 1 October 2016, the value of each property according to the municipality (WOZ), which is the basis of calculating some municipal taxes such as property tax and water charges, will become public. This allows homeowners to compare the value of their property with self-selected reference houses. This makes it easier for homeowners to object to the new WOZ value.
  • The EU Mortgage Credit Directive (MCD) came into effect on 14 July 2016. The new rules protect consumers against the risks involved in taking out secured housing loans and provide for increased transparency, disclosure of the annual costs, ensuring proper conduct of business, and certain quality standards of services relating to mortgage credit. According to the MCD, a houseowner must be able to change his mortgage from Euro to another currency at any time. This will cause risks that Dutch banks are not willing to take. Therefore, the banks in the Netherlands decided not to accept any new mortgages for those who earn their income in another currency than Euro.

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