The cost of buying property in Groningen
People often ask us: what are the cost of buying property in Groningen. In this short blogpost AnderZ real estate agency explains the general cost of purchasing property. No need to tell you it all starts with the purchase price since a lot of costs involved are a percentage of that price. Als we try to explain which costs are tax – deductable or by choice.
- The purchase price of the property
- Mandatory – Property tax: 0, 2% or 8% [see “property tax 2021“]
- Mandatory – Notary’s fees – about € 1.500 (includes settlement of property tax, sewage tax, waste tax)
- Choice – fee Real estate agent – 1%
- Choice – fees mortgage advisor – about € 2.500
- Choice – NHG – mortgage payment garantee – about 1 promille
- Mandatory – Valuation report – about € 600
- Choice – structural survey – about € 350
- Mandatory – translator – about € 500
The cost you have to make regarding your mortgage can be deducatble from your income tax.
Do mind: you can subtract those costs to your income, so you financial gain is about 40%.
So suppose the cost for mortgage (advisor, report, NHG, partial notary) are € 4.500, you subtract € 4.500 of your yeary income and depending on the scale of taxes you are in (mostly around 40%) that percentage is deducted from your taxes to be paid. Just once. So in this example you might benefit € 1.800 one time only.