Deduction own house

In this video we explain how you can claim a deduction for your principal residence



If you own a property in the Netherlands which you use as your principle residence then you may be able to claim some tax deductions. So important is that you are living in the property. If the property is rented out or not used by you as your principle residence, the property will be seen as an investment. In that case other rules apply.

In general the costs related to financing the purchase of the principle residence are deductible but not the costs related to the purchase itself. Costs can be divided in one time only costs and annual costs.

One time only costs

  • Notary costs and other costs related to the mortgage deed
  • Valuation costs in order to get a mortgage
  • Bank commission and the costs of mortgage advice.
  • Costs related to the National Mortgage Guarantee.
  • Fine which has to be paid because of early repayment of the mortgage.


Annual costs

  • Interest paid on a mortgage for a maximum of 30 years
  • So called leasehold payments
  • Interest paid on other loans used for the main residence

Not deductible

  • costs of the buying agreement
  • notary costs and other costs related to the purchase deed
  • the transfer tax
  • repayments of the mortgage
  • costs of maintenance and renovation
  • interest on (part of) the mortgage if it's not used for the property but for other purposes

The deductions can be claimed in your annual income tax return. You can also claim a provisional monthly refund. This has to be done once and will continue automatically every year.

There are special options if you moved house and put your property on sale or if there was a divorce and one of the partners remains living in the property. Costs can also be deductible if you buy a property which will be used by you in the near future. Be also aware that there is a maximum to the amount which can be financed and that the deduction is reduced in the highest tax bracket. So in every situation needs to be checked which amount can be deducted.

Expatax can assist you with this and claim the deduction you are entitled to. Check our website for more information.