If you buy an existing home in 2026 and intend to live in it yourself for a longer period, you will usually pay 2% transfer tax. If you are aged 18 to 34 on the completion date and meet the other conditions, you may be able to use the first-time buyer exemption at 0%.
If you will not live in the home yourself, for example because you are buying it to let or as a second home, a rate of 8% applies in 2026. For immovable property that is not considered a home for tax purposes, such as undeveloped land or a separate garage unit, the rate is usually 10.4%.
When do you pay transfer tax?
Transfer tax becomes due when you become the owner of immovable property. In a standard home purchase, this happens when you sign the deed of transfer at the notary. The notary calculates the amount, includes it in the completion statement and pays the tax to the Belastingdienst.
The tax is part of the buyer’s costs, but is separate from costs such as mortgage advice, valuation and notary fees. You will need a separate calculation for a complete overview of these purchase costs.
With a standard new-build home, you generally do not pay transfer tax. Instead, VAT is included in the purchase price, which is free of additional purchase costs. The tax treatment may differ for building land, conversion projects and other special transfers. Check this before making an offer or signing a purchase or construction agreement.
Which rate applies to your purchase?
The main question is what you will do with the home after the transfer.
- You will live in it yourself for a longer period: usually 2%.
- You meet all the conditions for the first-time buyer exemption: 0%.
- You will not use the home as your main residence: 8% in 2026. This applies, for example, to a second home, holiday home or rental property.
- You are buying a non-residential property: usually 10.4%. Examples include commercial property, undeveloped land or a separate garage unit.
Simply declaring that you will live in the home yourself is not enough. It must genuinely become your main residence. To qualify for the first-time buyer exemption or the 2% rate, you must declare in writing before the transfer that you will use the home as your main residence for more than a temporary period. There is no fixed statutory minimum period. Government policy mentions six months as a rule of thumb, but the facts and circumstances remain decisive. An unexpected divorce, death or other unforeseen situation may lead to a different assessment.
When does the first-time buyer exemption apply?
You can use the first-time buyer exemption in 2026 if you meet all the following conditions:
- You are an adult and under the age of 35 when you acquire the home.
- You will use the home yourself as your main residence for more than a temporary period.
- You have not used the first-time buyer exemption before.
- The value of the entire home does not exceed €555,000.
You do not literally have to be a first-time buyer. If you have owned a home before but have never used the first-time buyer exemption, you may still qualify as long as you meet all the conditions.
The exemption can be used once and is not compulsory. You can choose to pay 2% now and save the exemption for a later purchase. This only makes sense if you will still be under 35 on the completion date of that purchase and meet the applicable conditions at that time. Because future rules and property values are uncertain, this choice requires careful calculation.
The completion date can make a financial difference
Your age and the applicable tax rules are normally determined by the date on which the notarial deed of transfer is signed, not the date of your offer or purchase agreement.
If you are almost 35, the transfer must take place before you turn 35 for you to meet the age requirement. A transfer around the end of the year also requires attention, because rates and the property value threshold may change each calendar year. Before fixing the completion date, ask the notary to confirm which rules apply.
How does the exemption work if you buy together?
For a joint purchase, each buyer is assessed separately based on their age, whether they will live in the home and whether they have used the first-time buyer exemption before. If one buyer meets the conditions but the other does not, the exemption applies only to the ownership share of the buyer who qualifies. The other share may, for example, be subject to the 2% rate.
The maximum property value is assessed differently. The value of the entire home counts, not just your share. If you buy a home together for €600,000 and each own half, the full value remains €600,000. The first-time buyer exemption does not apply in 2026, even though each person acquires a share worth €300,000.
What amount do you pay tax on?
Transfer tax is calculated on the property’s fair market value at the time of acquisition. This is the value the home has on the open market. The tax base must be at least equal to the purchase price plus any liabilities you take over from the seller.
For the first-time buyer exemption, appurtenances such as a garden, shed or garage count towards the property value if they belong to the home. If the home is on leasehold land (erfpachtgrond), the capitalised ground rent may also be included. The notary can calculate which value must be used in your situation.
Three calculation examples for 2026
For a property value of €450,000, the differences are substantial:
- You will live in the home yourself and do not use the first-time buyer exemption: 2% of €450,000 is €9,000.
- You meet all the conditions for the first-time buyer exemption: €0.
- You buy the home as a second home or to let: 8% of €450,000 is €36,000.
Include transfer tax before deciding how much of your own money you need. An incorrect assumption about living in the home yourself, its value or the first-time buyer exemption can make a difference of thousands of euros.
Take care with garages, letting and mixed use
Not every purchase falls entirely within a single rate. If you buy a home with commercial space, or if a garage is transferred separately, the purchase price may have to be divided between different parts and rates. Letting a small part of the home does not automatically mean it has to be split. The Belastingdienst allows the first-time buyer exemption or the 2% rate to apply to the entire home if you let no more than 10% and live in at least 90% yourself for a longer period.
A garage bought together with the home as an appurtenance may qualify for the same rate as the home. If you buy the same garage later or it is not considered part of the home for tax purposes, the 10.4% rate may apply. An appurtenance bought within twelve months after an exempt home purchase may also affect the property value threshold.
In these situations, have the applicable rate confirmed before the transfer. Do not wait until you receive the completion statement: the difference may affect your maximum offer and the amount of your own money you need to contribute.
