MortgageUpdated May 20, 2026🕐 3 min read
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How to Save for a House Deposit
Saving for a house deposit is one of the largest savings goals most people undertake. In the Netherlands, first-time buyers can borrow up to 100% of the property value from a lender, but additional costs — transfer tax (for some buyers), notary fees, valuation, and mortgage advice — must be covered from savings. Understanding the full cash requirement and building a systematic savings plan makes the goal concrete and achievable.
In the Netherlands, starters (first-time buyers under 35 buying a property below 510.000 in 2025) pay 0% overdrachtsbelasting (transfer tax). This dramatically reduces the cash needed versus buying as an investor or existing homeowner. However, buyers still face significant mandatory costs beyond the property price.
The kosten koper (KK) — buyer costs — typically include: notary fees (aktekosten) for the deed of purchase and mortgage deed (approximately 1.500 to 2.500), valuation report (taxatierapport) required by most mortgage lenders (400 to 700), mortgage advice fees (approximately 1.500 to 3.500), building survey (bouwkundige keuring, recommended, approximately 400 to 600), and NHG (Nationale Hypotheek Garantie) fee if applicable (0,6% of mortgage amount).
Total buyer costs for a starter in 2025, excluding transfer tax, typically range from 5.000 to 12.000 depending on the property price and service providers chosen. On a 300.000 property, buyer costs of 8.000 represent 2,7% of the property value.
Non-starters (existing homeowners or those over 35 buying their first home above 510.000) pay 2% overdrachtsbelasting. On a 350.000 property this adds 7.000. Investment property buyers pay 10,4% — 36.400 on a 350.000 property.
Beyond the purchase costs, buyers need a financial buffer for furnishing and initial repairs. First-time buyers moving into a property that is not move-in ready should budget 5.000 to 20.000 for this, depending on the property's condition and their standards.
Add together all mandatory purchase costs, any applicable transfer tax, moving expenses, and an initial maintenance buffer. For most Dutch starters, the total cash requirement is 5 to 8% of the property value, even though the mortgage can cover 100% of the purchase price.
Kosten koperMandatory buyer costs: notary, valuation, mortgage advice — typically 5.000 to 10.000
Transfer tax0% for eligible starters, 2% for other owner-occupiers, 10,4% for investors
Moving costsRemoval van, storage, initial utility connections — typically 500 to 2.000
BufferRecommended cash reserve for immediate repairs and furnishing — 5.000 to 15.000
Result: Total cash needed: 18.500 | Mortgage: 320.000 (100%) | Monthly savings plan: 616/month over 30 months
Cash requirement: 8.500 KK + 5.000 moving/furnishing + 5.000 buffer = 18.500. Mortgage covers the full 320.000. At 616/month savings over 30 months (2,5 years) = 18.480. At a 3% savings interest rate, monthly savings needed: approximately 597/month. A 600/month savings target achieves the goal in approximately 30 months.
Result: Total cash needed: 28.600 | Monthly savings: 954/month over 30 months
Cash requirement: 7.600 transfer tax + 10.000 KK + 3.000 moving + 8.000 buffer = 28.600. Mortgage: 380.000. Monthly savings at 1.000/month over 29 months: 29.000 — achievable with modest interest. Without the transfer tax exemption the cash requirement is 54% higher than the starter scenario on a modestly more expensive property.
Example 3Impact of choosing a lower property price
Given: Target: 350.000 vs 300.000 | Starter | Both 0% transfer tax
Result: At 350.000: KK ~9.500, total cash ~19.500 | At 300.000: KK ~8.000, total cash ~17.000 | Difference: 2.500 less to save
Buying at 300.000 instead of 350.000 requires approximately 2.500 less in savings (mainly from lower notary and valuation costs and a smaller NHG premium). However, it may mean accepting a smaller property or different location. The cash saving of 2.500 reduces the timeline by approximately 2 to 3 months at 1.000/month savings rate — usually not a decisive factor in the property choice.
Savings Goal Calculator
Enter your target deposit amount and monthly savings to see how long it will take to reach your goal with interest.
Monthly savings required to reach deposit targets in Netherlands — at 3% savings interest
Cash Target
12 months
18 months
24 months
36 months
10.000
825
552
416
280
15.000
1.237
827
624
419
20.000
1.649
1.103
832
559
25.000
2.061
1.379
1.040
699
35.000
2.886
1.930
1.456
978
Common mistakes when saving for a deposit
✗ Not accounting for full buyer costs — saving only for a deposit percentage
✓ In the Netherlands, starters do not need a deposit in the traditional sense (the mortgage covers 100% of the property value) — but they do need cash for kosten koper and a buffer. Saving for a percentage deposit without calculating the actual buyer costs leaves people short at completion. Calculate the full cash requirement including all fees before setting the savings target.
✗ Investing deposit savings in volatile assets
✓ Money needed for a house purchase within 1 to 3 years should not be invested in stocks, ETFs or other volatile assets. A 20% market correction in the year you plan to buy reduces a 30.000 deposit fund to 24.000, potentially delaying the purchase or forcing a compromise. Keep deposit savings in a high-yield savings account or short-term guaranteed instruments where the nominal value is protected.
✗ Not checking eligibility for the startersvrijstelling before planning
✓ The overdrachtsbelasting exemption for starters under 35 requires that: the buyer is under 35 on the date of signing, has not previously used the exemption, the property is purchased for personal occupation (not investment), and the property value is below 510.000 (2025 limit). If any condition is not met, the 2% owner-occupier rate applies — adding potentially 8.000 to 10.000 to the cash requirement. Confirm eligibility before setting the savings target.
Methodology
Dutch transfer tax rates from Belastingdienst 2025. Startersvrijstelling threshold of 510.000 from 2025 Rijksoverheid publication. Kosten koper estimates based on typical service provider rates in the Netherlands 2025. NHG fee 0,6% of mortgage. Monthly savings required calculated using savings account with 3% annual interest compounding monthly.
Property prices and purchase costs vary by region. Amsterdam costs are typically higher than national averages for notary and advice services. Transfer tax threshold for the startersvrijstelling is subject to annual adjustment. Verify current thresholds at belastingdienst.nl before planning.
Do I need a deposit to buy a house in the Netherlands?
Dutch starters under 35 can borrow up to 100% of the property value from a mortgage lender — so no traditional deposit is required. However, buyer costs (kosten koper) must be paid from savings. These typically total 5.000 to 12.000 for a starter purchasing a property up to 500.000. Additionally, a buffer for immediate repairs and furnishing is strongly recommended. In practice, most starters need 15.000 to 25.000 in savings to proceed confidently with a purchase, even without a deposit in the traditional sense.
What is the Nationale Hypotheek Garantie (NHG)?
NHG is a government-backed guarantee scheme that protects both lenders and borrowers. Mortgages with NHG qualify for lower interest rates (typically 0,3 to 0,5% below non-NHG rates) because the lender's risk is lower. If a borrower faces financial hardship and cannot maintain payments due to involuntary unemployment, divorce, or disability, NHG can cover any shortfall if the property is sold for less than the outstanding mortgage. The NHG fee is 0,6% of the mortgage amount, paid once at purchase. In 2025, NHG is available on mortgages up to 435.000.
Can family gifts count toward my deposit savings?
Yes. Family gifts can be used for buyer costs. In the Netherlands, parents can give a one-time tax-free gift of up to 31.813 per year (2025) to a child for any purpose. A specific higher exemption — the jubelton — was eliminated in 2024, so the general annual gift exemption now applies. Gifts received must be declared in the income tax return of the recipient if they exceed the annual gift tax exemption. A gift from parents toward a house purchase is a common and legitimate way to accelerate the deposit savings timeline.