How is renting out your house taxed in the Netherlands?
How you're taxed depends entirely on which of five situations you're in.
This guide covers a private individual renting out residential property they own. It does not cover renting as a registered business, commercial property and short-stay holiday lets. A home you own abroad is also outside it. Those follow different rules, so check with an advisor. Box 1 taxes income from work and home. Box 3 currently taxes your assets through a deemed return. Our Dutch tax system page explains which box each situation falls in. Later we use the WOZ value, the value your municipality sets for your home. If you leave the Netherlands, a home you keep here stays taxable here as a non-resident.
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 falls 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.
Let a home that is for sale under the Leegstandwet (vacancy act). You pay no tax on the rent, and the home falls in Box 3. There is 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 from 1 January 2028 still needs a vote in the Eerste Kamer, the Dutch Senate. The cabinet has proposed an amendment. Parliament has not yet decided.
What if you rent out your own home while you're away?
You declare 70% of the net rental income in Box 1. That applies if you let your main home temporarily, 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. Once you stop being a Dutch resident, a home you let here falls in Box 3. You then have no mortgage interest deduction on it. Example: €6,000 rent minus €1,000 costs leaves €5,000. Then 70% of €5,000 is €3,500. The Belastingdienst sets no fixed period for temporary. During the let your home stays your main home. Your main home is the home you own and actually live in. The Belastingdienst page on temporary rental confirms the 70% figure, consulted 5 October 2026.
Belastingdienst, temporary rental of your own home · Accessed
What about renting out a room in your home?
The income is tax-free up to €6,633 in 2026. That applies if you rent out a room in the home you live in and 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 Belastingdienst's room-rental page confirms the €6,633 ceiling, consulted 6 August 2026. 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?
Box 3 taxes a second home at its WOZ value. That is a home you own but don't live in. The current system doesn't tax the rental income itself.
The Belastingdienst treats it as "other immovable property". You can list the remaining mortgage on that home as a Box 3 debt. So Box 3 taxes a deemed return on the value minus the debt. There is no mortgage interest deduction for a second home. You pay 36% on that return in 2026. Does your tenant have rent protection? Then the leegwaarderatio, a discount on the WOZ value, can lower the value you declare. Without rent protection, that reduction does not apply. The Belastingdienst page on 2026 Box 3 income confirms the 36% rate, consulted 5 October 2026. Temporary letting of your main home is a different situation.
Belastingdienst, Box 3 income 2026 (36% rate) · Accessed
What if you rent out a home that's up for sale?
The rental income is untaxed, and the home belongs in Box 3 during the letting. That applies if you let a home that's for sale under the Leegstandwet.
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. It returns only until the end of the third calendar year after the year the home became empty. The Belastingdienst sets this term, consulted 6 October 2026.
What if you provide extra services with the rental?
Extra services like linen, food or cleaning can shift your income to Box 1. Box 1 then taxes it 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 | Nomortgage = Box 3 debt |
| Home for sale (Leegstandwet) | Box 3 | No | Noreturns after letting, up to three years after the year it became empty |
| Extra services | Box 1other work / profit | Depends | Depends |
What happened to the 2028 Box 3 change?
The 2028 start still stands, but parliament has not decided yet. The bill to tax actual returns in Box 3 from 1 January 2028 still waits for an Eerste Kamer vote. In September 2026 the cabinet proposed an amendment. It taxes gains on shares, bonds and other financial instruments only when you sell them.
The bill is called Wet werkelijk rendement Box 3. It would tax your actual rental income minus deductible costs. Real estate, such as a home you let, would fall under a capital-gains tax. That tax counts the change in value only when you sell. The Eerste Kamer page on the bill confirms this, consulted 5 October 2026. Our Box 3 reform page explains the bill in full.
“"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
Eerste Kamer, Wet werkelijk rendement Box 3 (bill 36748) · Accessed
Frequently asked
Do I have to declare rental income from my own home?
Only in some situations. Temporary rental of your main home means 70% of the net rent in Box 1. Go over the room-rent exemption and the rented room moves to Box 3. Box 3 taxes a second home and a Leegstandwet let on value, not on the rent. For a second home you can use the tegenbewijsregeling instead, and then the rent you receive does count.
How much room rent is tax-free in 2026?
€6,633 in 2026, if you meet the conditions. Both registered at the address, not an independent dwelling, and a long-term (not holiday) let.
Do I keep my mortgage interest deduction when I rent out?
It depends on the situation. You keep it when you let your main home temporarily. You lose it for a second home and for a Leegstandwet let. You also keep it if you let a room within the exemption.
What counts as a "second home" for tax?
A home you own but don't live in, like a holiday home. It's taxed in Box 3 as other immovable property, usually at its WOZ value. A main home you let temporarily is not a second home.
What happens if I go over the room-rental exemption?
The whole exemption lapses, it doesn't shrink. The rented part is then taxed as in the other situations. It moves to Box 3, with no mortgage interest deduction on that part.
Does the 2028 Box 3 change affect me?
If you hold a let property in Box 3, it may still affect you. The bill to tax actual returns from 1 January 2028 has not passed yet. The cabinet has proposed an amendment for financial instruments. Parliament has not decided.
I'm moving abroad for work and renting out my home, what applies?
On a temporary let of your main home, you pay Box 1 tax on 70% of the net rent. You keep your mortgage interest deduction. Tell us your moving dates and we'll include it in your return. This applies while you stay a Dutch resident and the home stays your main home. If you stop being a Dutch resident, the home you let moves to Box 3. You then lose the mortgage interest deduction on it.
What changes if I move abroad and stop being a Dutch resident?
You become a non-resident taxpayer. Dutch real estate stays taxable in the Netherlands. A let property or holiday home in the Netherlands goes in Box 3. Debts on that property count in the calculation. Box 3 does not tax your whole wealth, only Dutch assets such as real estate. Are you only away for a while and does the home stay your main home? Then the temporary-let rule from situation 1 applies. Tell us your moving date and we'll check which situation fits you.
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.