Do you want to invest money in property in the Netherlands? Where to buy a property, what are the rules, can you invest as a foreigner? If you need tips and steps for buying a property in the Netherlands, you are in the right place.
Guide for buying a property in the Netherlands
First al all, you should know that purchasing property in the Netherlands is open too all – ex-pats and citizens. There are no restrictions when it comes to that. So, if you are moving to Europe from the USA, you can invest in a house, building, office, etc. Choose if it is a better option for you to rent or buy a property in the Netherlands, and if you choose to buy, take these steps.
Before you start looking for properties, make sure to have a smooth relocation there. Moving overseas is not simple or easy but with New World Van Lines it could be. Organize your move to the Netherlands and research a real estate market.
Looking for a property in the Netherlands
Research real estate trends in Europe and find a perfect home for you in the Netherlands. You can search online on different real estate websites and look in local newspapers. About 60% of people in the Netherlands own a place instead of renting, which is a good sign. When you find a perfect property, don’t wait too long because it will be sold quickly.
Makelaraas are Dutch estate agents you should hire to find a property there. They know the real estate market the best. Seller and the buyer (you) have their own estate agent, so they will negotiate. By hiring a local real estate agent, you will easily find a home.
Get a mortgage
Foreigners can get a mortgage in the Netherlands, so you should not worry about that. They are capped at 100% of the property value, but on the other hand, you need to budget another 5% for additional costs that are coming with the purchase. Use online mortgage calculators to know what can you afford and how much will be your monthly repayments.
Purchasing a property
After finding a property and making an offer, apply for a mortgage. You should know, in the Netherlands law requires that property purchases need to be handled by a notary. So, what are the steps?
- Signing a pre-sale agreement of buying a property in the Netherlands – both sides need to sign
- You will pay a 10% deposit to a notary.
- Arranging a mortgage.
- Sign a completion contract – both sides.
- You will pay for some fees, for example, transfer fax (2% for private dwellings), legal fees and registration fees (around 1-1.5%), and real estate agents fees (1 or 2%).
Claim your tax back
After buying a property in the Netherlands you are able to claim a tax refund, no matter if you are an ex-pat or a citizen. Also, some of the fees are tax-deductible.