When a job abroad comes up, homeowners in the Netherlands face a decision that is easy to underestimate: keep the home and rent it out, or sell it. Renting out sounds attractive because you keep your foothold and let a tenant pay the mortgage. In practice it brings permission requirements, tax changes, strict tenant protection and a return that is often lower than expected. This article explains the main issues in plain terms so you can make the comparison properly.
Step one: ask your lender
Almost every Dutch residential mortgage requires you to live in the home yourself. Renting it out without permission usually breaches your mortgage conditions. Some lenders give permission for a limited period, for example while you work abroad, sometimes with a higher interest rate. Others require you to move to a buy-to-let mortgage, which typically has a higher rate and stricter conditions. Contact your lender before you sign anything with a tenant.
Step two: understand the tax change
While you live in your home, it falls under the owner-occupied home rules: you can deduct mortgage interest and you add the notional rental value to your income. Once you move out and rent it out, those rules generally stop applying. The home usually moves to box 3, the tax on savings and investments, and this generally also applies if you become a non-resident who owns Dutch property. Mortgage interest is then no longer deductible against your income.
There is an exception if you move out and the home is empty and for sale. In that case you can usually keep deducting interest for a limited period, up to three years after the year you moved out. The rules have conditions, so check them with the Belastingdienst or a tax adviser.
Step three: know what being a landlord means
Rent limits apply to you too
The points system that decides maximum rents applies to private landlords as well. If your home scores 186 points or fewer, the rent is capped under the social or regulated mid-rent rules, and your tenant can ask the Huurcommissie to check it. Only homes with higher scores can be let at a free-market rent.
Permanent contracts are the default
Since July 2024 most new rental contracts must be permanent. There is a specific arrangement for owners who temporarily rent out a home they lived in and intend to return to, but it has strict conditions and must be set up correctly in the contract. Without it, getting your home back when you return can be very difficult.
Local rules
Several municipalities restrict renting out recently bought homes or require a rental permit in certain areas. Check with your municipality before you advertise.
Worked example (estimate)
You own a home worth €400,000 with a remaining mortgage of €300,000 at 3.9%. You could rent it out for €1,500 a month, assuming the points system allows it.
| Item per year | Amount |
|---|---|
| Rental income (12 x €1,500) | €18,000 |
| Mortgage interest, no tax relief (about 3.9% of €300,000) | -€11,700 |
| Maintenance (about 1% of value) | -€4,000 |
| Insurance | -€300 |
| Letting agent (about 8% of rent) | -€1,440 |
| One month vacancy | -€1,500 |
| Result before box 3 tax and repayments | about -€940 |
In this example renting out costs money each year before you even repay anything or pay box 3 tax. It only works out if the home rises in value or the rent is higher. Selling instead would cost roughly 1.5% of the value, about €6,000, but frees your equity and ends the risk.
When renting out can make sense
- You are fairly sure you will come back within a few years and want to return to this home.
- Your mortgage is small compared with the value, so the rent comfortably covers the costs.
- Your lender agrees on acceptable terms, and the contract is set up for your return.
- You have someone reliable, such as a letting agent, to handle repairs and tenants.
When selling is usually simpler
- You do not know if or when you will return.
- The numbers are negative or close to zero without counting on price growth.
- You would need the equity for a home in your new country.
- You do not want to manage a tenant from a different time zone.
A middle route: selling later
Some owners choose neither option immediately. They leave the home empty and for sale, keeping their tax relief for the limited period the rules allow, or they rent it out for a short period under special vacancy rules while it is on the market. These routes have strict conditions, and an empty home still costs money every month in interest, insurance, energy and municipal charges. Make a simple monthly budget for the period the home may stay unsold, and decide in advance at what point you will lower the asking price. Leaving the decision open for too long is often the most expensive choice of all.
Practical tips
- Start the conversation with your lender months before you leave.
- Have the points of the home checked so you know the legal maximum rent before you set a price.
- Get tax advice for both countries; your new country may also tax rental income.
- If you sell, consider timing around the end of your fixed-rate period and any penalty-free options on sale.
Our refinancing and overpayment tools among the Hypozo calculators can help you see what your current mortgage costs if you decide to keep it for a while.
Key takeaways
- Renting out your Dutch home needs your lender's permission and changes how it is taxed.
- Rent limits and tenant protection apply to private landlords too, including permanent contracts by default.
- After interest without tax relief, maintenance and vacancy, the annual result is often lower than expected.
- Renting out mainly makes sense if you plan to return and the numbers work without relying on price growth.
All figures in this article are estimates, not financial or legal advice.