How is renting out your house taxed in the Netherlands?
How you're taxed depends entirely on which of five situations you're in, ranging from 70% of the net rent in Box 1 to nothing at all.
This guide covers a private individual renting out residential property they own. It does not cover renting as a registered business, commercial property, or short-stay holiday-let operations. Those follow different rules, so check with an advisor. Our Dutch tax system page explains which box each situation falls in.
In short
Rent out your main home temporarily: declare 70% of the net rental income in Box 1 and keep your mortgage interest deduction.
Rent out a room: tax-free up to €6,633 in 2026 if you meet the conditions. Go over and the whole exemption lapses.
Rent out a second home: it sits in Box 3, usually at its WOZ value. The rent itself isn't taxed under the deemed return and there's no mortgage interest deduction.
Rent out a home that's for sale under the Leegstandwet: rent untaxed, house in Box 3, no deduction, until the letting ends.
Provide extra services (linen, food, cleaning): your income can shift to Box 1 as "other work" or business profit, so check with an advisor.
Taxing your actual return in Box 3 was planned for 1 January 2028. The cabinet postponed it on Budget Day 2026. The new date is open, expected in spring 2027.
What if you rent out your own home while you're away?
If you let your main home temporarily, you declare 70% of the net rental income in Box 1 as income from temporary rental.
This is the situation when you leave for a while, for work for example, and let your own home in the meantime. You keep your right to mortgage interest deduction. First take off the costs directly tied to letting: gas, water and electricity, cleaning, and the costs of arranging the rental. You then declare 70% of what is left in Box 1. If you move abroad permanently the home moves to Box 3 and the deduction ends. Example: with €6,000 rent and €1,000 costs, you declare €3,500.
What about renting out a room in your home?
If you rent out a room in the home you live in, the income is tax-free up to €6,633 in 2026, provided you meet the room-exemption conditions.
The conditions: you and the tenant are both registered at the address for the whole rental period, the space is not an independent dwelling (no own entrance, kitchen and toilet), and it is a long-term let, not a short holiday rental. You keep your mortgage interest deduction and still add the notional rental value (eigenwoningforfait) to your Box 1 income. The table below shows the ceiling per year.
| Year | Room-rental exemption |
|---|---|
| 2024 | €5,998 |
| 2025 | €6,324 |
| 2026 | €6,633 |
How is a second home you rent out taxed?
A second home you own but don't live in is taxed in Box 3 at its WOZ value, and the rental income itself isn't taxed in the current system.
The Belastingdienst treats it as "other immovable property". You can list the remaining mortgage on that home as a Box 3 debt, so you're taxed on the value minus the debt. There is no mortgage interest deduction for a second home. The Box 3 rate is 36% in 2026. Does your tenant have rent protection? Then the leegwaarderatio can lower the value you declare. That reduction does not apply to temporary letting. Belastingdienst's 2026 rate table confirms the 36% figure, consulted 6 August 2026. The WOZ value is the value your municipality sets for your home.
What if you rent out a home that's up for sale?
If you let a home that's for sale under the Leegstandwet, the rental income is untaxed and the home sits in Box 3 during the letting.
While it's let this way you may no longer deduct the mortgage interest. When the letting ends and the home is again empty and for sale, the deduction returns. That lasts at most until the end of the three-year period after you moved out.
What if you provide extra services with the rental?
Provide extra services like linen, food or cleaning and your income can shift to Box 1, taxed as "income from other work" or business profit.
Whether it does depends on the scale and nature of what you offer. Because the line is fact-specific, this is the one situation where a short call with a tax advisor makes sense.
| Situation | Where it's taxed | Rental income taxed? | Mortgage interest deductible? |
|---|---|---|---|
| Temporary rental of main home | Box 1 | Yes70% of the net rent | Yesretained |
| Renting out a room (within exemption) | — | Noup to €6,633, 2026 | Yes |
| Second home | Box 3WOZ value or less with rent protection | Novalue taxed, rent counts under tegenbewijs | No |
What happened to the 2028 Box 3 change?
On Budget Day 2026 the cabinet postponed the move to taxing your actual return. That move was planned for 1 January 2028. It asked the Eerste Kamer to hold the bill.
The bill is called Wet werkelijk rendement Box 3. It would tax your actual rental income minus deductible costs. A fully-let property would fall under capital-gains rules. The rent you receive and the change in value at sale would both count. That date is now open. The next word is expected in spring 2027.
“"Renting out touches your Box 1, your Box 3 and your mortgage at once. One conversation usually saves a lot of guesswork, and the odd costly mistake."”
Belastingdienst, room-rental exemption (kamerverhuurvrijstelling) · Accessed
Rijksoverheid, Wet werkelijk rendement Box 3 · Accessed
Frequently asked
Do I have to declare rental income from my own home?
What to do now
Determine which of the five situations applies to you. Keep the €6,633 room-rental ceiling in view if you rent out a room. Keep your letting cost receipts for your tax return.