Buying versus Renting in the Netherlands


The biggest advantage of buying a property in the Netherlands is the tax relief. Thanks to the Dutch Tax Deductibility system the interest paid on a mortgage for your house is deductible for your income tax. This makes it cheaper to buy than to rent in general. As an income tax payer in the Netherlands the mortgage interest payments are tax-deductible if the house is your main residence.

The deductibility also covers the expenses related to the mortgage such as notary mortgage fee, registration fee, bank commission and valuation report.


Benefits of Buying

  • Buying is cheaper than renting
  • Monthly interest payments are tax deductible
  • Notary costs for registering the mortgage are deductible in the year you buy your property
  • Deposit is not necessary
  • 100% mortgage


Benefits of Renting

  • Flexibility for when your stay in the Netherlands is more short term (less than 2-3 years)
  • Repairs and maintenance are the landlord's responsibility.
  • Fixed term contracts