New transfer tax regulations 2021

Are you considering buying a home this year? That’s great news. Especially when you’re younger than 35 years old and you’re buying your first home in the Netherlands.

The Dutch government has accepted a new law that came into effect this year and exempts all first time home buyers up to 35 years old from having to pay transfer tax. If you’re buying as a couple and only one of you is 34 years old, then you are eligible for the exemption for 50% of the purchase price. You would still pay 2% over the other 50%, which means in total you’ll pay 1% instead of the 2%.

There is a little extra worth mentioning though. Late 2020 an amendment was introduced that only allowed people who were buying a property for no more than €400,000 to benefit from this exemption. Since a lot of people based their decision to buy on the initial law (without amendments) which was widely communicated, when introducing the new amendment the government offered buyers that were spending more than €400,000 up until April 1st to benefit from the exemption. This meant that everyone who was eligible due to the age criteria who would get the keys to their new (400K+) home would still be eligible.  

Questions about transfer tax? Feel free to. We’re happy to answer any of them.