As 2025 ends, here’s a wrap-up of the most important housing news of the past few months and a look at what is in store in 2026.

A new government?
Housing is one of the key topics in the current negotiations to put together a new government in the Netherlands, and addressing the shortage of places to live is at the top of the agenda.

So far the parties involved in the talks have said they want to cut red tape and streamline the appeals process to speed up building – it currently takes two years to build a home from scratch, compared with 1.5 years ten years ago – make it easier to extend existing homes and possibly phase out mortgage tax relief.

Mortgage tax relief
“The government has made huge changes to mortgage tax relief since 2013 – it is now around 37% and only for repayment mortgages,” says Richardo Cruz Fortes from Expat Mortgages.

“If there were more change, there would be a small impact on house prices, but that does not get away from the shortage of housing which is affecting everyone, whether students, single people, couples, families or seniors looking to downsize.”

“We basically stopped building at the time of the financial crisis in 2012, and we are still feeling the impact of that. That’s what we’ve got to fix. We can stick plasters on the wounds but not the big issues. What matters at a time of high house prices is how much you can borrow.”

What is changing in 2026?
While we wait and see what the new government is planning, some changes for 2026 that affect home buyers have already been agreed.

The amount buyers can borrow for highly energy-efficient properties will fall because government policy on solar panels is changing. From 2027, homeowners will no longer be able to deduct the energy they feed back into the grid and will have to pay a fee, reducing the financial benefit of solar panels.

As a result, the extra borrowing available for A+++ homes will drop by €5,000 to €25,000, and for A++++ homes by €10,000 to €30,000, although the allowance for buyers of E, F and G-label homes to borrow an additional €20,000 for improvements remains unchanged.

Several tax and guarantee rules will also shift next year. The property transfer tax exemption for first-time buyers aged up to 34 will apply to homes costing up to €550,000 in 2026, while the rate for second home purchases will fall from 10.4% to 8%.

In addition, the national mortgage guarantee scheme will cover homes valued at up to €470,000, or €498,200 when combined with energy-saving measures.

Check out how much you can borrow with an online mortgage calculator.

Reassess your situation
When winter hits, we tend to go into hibernation,” says Richardo. “But given we are still facing so many challenges on the housing market, it might be a good idea for potential buyers to focus on the changes being made next year and to review their own personal situation as well. For example, if you don’t get a pay rise in 2026, you may be able to borrow slightly less than you thought.”

Interest rate movements
Interest rates have gone down slightly throughout 2025 but the trend in the last quarter is up. “It’s not much but they have risen,” says Richardo. “We’re waiting on what the European Central Bank is going to do, but a cut does not necessarily mean banks will cut their mortgage interest rates as well.

“You can, however, get a discount on your mortgage rate at some banks if you buy a house with a good energy label, which also helps their own sustainability rating of course. I do expect interest rates to come down by around 0.5 percentage points across 2026.”

Any questions?
Expat Mortgages helps scores of clients each year with “complex” situations, and on January 15 is hosting an online seminar about entrepreneurs and mortgages. Sign up here or contact Expat Mortgages for advice on your personal situation.