Two rules of the Dutch housing market that most expats learn too late

No down payment.

No transfer tax if you're under 35.

Here's what these rules actually mean for you.

Moving to the Netherlands, you quickly learn that almost everything works a little differently here.

Bikes have the right of way. Directness is a virtue. And the housing market has two rules that will make you stop mid-scroll and re-read the sentence twice.

Let's go through them — because understanding these early can save you tens of thousands of euros, or at least stop you from making a very expensive assumption.

Rule #1: Under 35? Buying for the first time? Your transfer tax is zero.

In most countries, buying a home means paying a welcome gift to the government — stamp duty in the UK (up to 5%), real estate transfer tax in Germany (3.5–6.5%), notary and agency fees on top in France. It adds up fast, and buyers budget for it from day one.

In the Netherlands, there is a transfer tax called overdrachtsbelasting. The standard rate is 2% of the purchase price for owner-occupied homes. On a €450,000 property, that's €9,000 — real money.

But if you are under 35 and this is your first property purchase in the Netherlands, the rate is 0%. You pay nothing. The exemption is called the startersvrijstelling — the starter's exemption — and yes, it applies to expats too. Nationality is irrelevant. Age and first-purchase status are all that matter.

One catch: as of 2026, the exemption applies to homes up to €555,000. Above that threshold, you pay the full 2% on the entire amount. So if you're approaching your 35th birthday and looking at properties, this is worth factoring into your timeline.

Rule #2: There is no down payment requirement in the Netherlands.

This one genuinely surprises most international buyers.

In the US, a 20% down payment is the default assumption (less, and you pay private mortgage insurance). In the UK, lenders typically require 5–10% minimum. In Germany, 20% down is standard practice, and banks look at you strangely if you have less.

In the Netherlands, a bank can — and routinely does — finance 100% of the property value. No down payment required. If the home is appraised at €400,000, you can borrow €400,000.

This doesn't mean buying costs nothing. You still pay for the notary (roughly €1,500–2,500), the appraisal report (taxatierapport, around €500–800), and potentially a mortgage adviser. These are real costs — budget €3,000–5,000 as a rule of thumb. But the idea of saving up 10% or 20% of a purchase price before you can even start? That's not how the Dutch system works.

The practical implication: your entry point into the market is determined by your income — specifically, what the bank will lend you based on salary — not by how much cash you've managed to set aside.