Hidden Costs of Buying a House in the Netherlands – What Expats Should Budget For

Understanding the costs of buying a house in the Netherlands that expat buyers face is essential before making an offer. Many expats focus on the purchase price and mortgage amount, yet overlook the additional costs that come on top.

As a result, budgets often fall short at the worst possible moment. However, with clear insight, these costs become predictable and manageable.

This guide explains every major cost item expats encounter when buying a home in the Netherlands. It also clarifies which costs are mandatory, which are optional, and which may be tax-deductible.

Costs of Buying a House Netherlands Expat: Transfer Tax Explained

The largest of the costs of buying a house in the Netherlands that expat buyers face is the transfer tax. This tax applies when ownership changes and is paid by the buyer.

In most cases, the transfer tax rate is 2% of the purchase price. For example, a €400,000 home results in €8,000 transfer tax. This amount must be paid from your own funds, as it cannot be financed through the mortgage.

However, some expats qualify for exemptions. Buyers under 35 purchasing their first home below the legal threshold may pay 0%. Because rules change over time, verification matters.

Transfer tax is not tax-deductible. Therefore, budgeting for it upfront avoids disappointment later. This cost alone explains why buying requires savings, even when mortgages finance 100% of the property value.

Hidden Fees Dutch Mortgage Buyers Often Miss

Many hidden fees that Dutch mortgage applicants overlook are smaller individually but significant together. These costs arise during the mortgage application and purchase process.

One major cost is the property valuation (appraisal). Lenders require this to confirm market value. Typical costs range from €500 to €800. This fee is usually tax-deductible.

Another common expense is a technical inspection. While optional, it protects buyers from costly defects. Prices typically range between €400 and €700.

In addition, bank guarantee costs may apply if requested. These often equal 1% of the guaranteed amount.

Because these fees appear at different stages, expats often underestimate their total impact. Planning early prevents last-minute stress.

Expat Mortgage Additional Costs: Notary and Legal Fees

Legal services form another part of the expat mortgage additional costs. Dutch law requires notarial involvement in every property transfer.

You will need two deeds:

• Deed of transfer

• Mortgage deed

Combined notary fees usually range between €1,200 and €2,000. These costs depend on complexity and location.

Part of the notary cost related to the mortgage deed may be tax-deductible. However, the transfer deed is not.

Because notaries also handle registration and funds flow, their role is critical. Choosing an experienced notary ensures smooth completion.

Costs of Buying a House in the Netherlands: Expat Mortgage Advice and Setup

Mortgage advice is another unavoidable item within the costs of buying a house in the Netherlands that expat buyers face.

Independent mortgage advice typically costs between €2,000 and €3,500. This fee covers lender comparison, application management, and guidance through the full process.

At Expat Mortgage Platform, transparency matters. Fees reflect expat-specific complexity, including visa status, international income, and tax considerations.

Importantly, mortgage advice fees and valuation costs are often tax-deductible when itemized. Therefore, the net cost may be lower than expected.

Learn what is included in expat mortgage advice by scheduling your first, free, non-binding consultation.

Hidden Fees Dutch Mortgage Buyers Face With NHG

If applicable, NHG introduces an extra but strategic cost. The NHG premium is a one-time fee, typically around 0.6% of the mortgage amount.

This premium provides lender protection and often results in lower interest rates. Over time, the interest savings can outweigh the upfront cost.

NHG applies only below a maximum purchase price. Eligibility depends on property use and buyer’s situation.

For official NHG rules, see the NHG foundation website (non-competitive, authoritative source).

Expat Mortgage Additional Costs Beyond the Purchase

Beyond legal and mortgage costs, expats face practical expenses that often get ignored.

These include:

• Moving costs

• Home insurance

• Municipal taxes

• Initial maintenance

Although not legally required at purchase, these costs affect cash flow immediately. Therefore, realistic budgeting must include them.

Home insurance is mandatory for lenders. Contents insurance, while optional, is strongly advised.

Costs of Buying a House in the Netherlands as an Expat: Summary Table 

While numbers vary, most expats should expect 4–6% of the purchase price in additional costs.

For a €400,000 home, this equals roughly:

• €16,000–€24,000 total additional costs

These costs sit outside the mortgage and require savings.

Calculate your borrowing power here: Expat Mortgage Calculator
(Important: borrowing power excludes these costs)

FAQ: Costs of Buying a House in the Netherlands as an Expat

Can I finance these costs in my mortgage?

No. Additional costs must be paid from your own funds.

Are any costs tax-deductible?

Yes. Mortgage advice and valuation costs often are.

Do renters face these costs?

No. Renting avoids most upfront expenses.

Are costs higher for expats?

Not higher, but often underestimated.

Ready to Budget With Confidence?

The costs of buying a house in the Netherlands that expat buyers face are manageable when understood early. Surprises happen only when planning is incomplete.

Get a free cost breakdown for your situation to avoid under-budgetting. Buy with clarity and confidence today.