How to Move to the Netherlands: A Complete Guide (Including Mortgage Information)
The Netherlands, with its picturesque canals, cycling culture, excellent healthcare, and high quality of life, has become an increasingly popular destination for expats and immigrants worldwide. This comprehensive guide will walk you through everything you need to know about relocating to the Netherlands, with special attention to housing options and the Dutch mortgage system.
How to Get a Residence Permit for the Netherlands
Before you can move to the Netherlands, you’ll need to determine which residence permit suits your situation. The type of permit you need depends on your nationality and purpose of stay.
| Residence Permit Type | Suitable For | Requirements | Validity |
| Work Permit (TWV + Residence) | Non-EU/EEA workers | Job offer from Dutch employer, salary meeting threshold | 1-5 years, renewable |
| Highly Skilled Migrant | Professionals with specialized skills | Job offer meeting salary threshold (€4,840/month for 30+ years, €3,542/month for under 30) | Up to 5 years |
| Study Permit | International students | Acceptance at recognized Dutch educational institution, proof of sufficient funds | Duration of studies |
| Dutch-American Friendship Treaty | American entrepreneurs | Business plan, €4,500 investment | 2 years, renewable |
| EU Blue Card | Highly qualified non-EU professionals | Higher education qualification, job contract with high salary | 1-4 years |
| Family Reunification | Family members of legal residents | Relationship proof, income requirements for sponsor | Depends on sponsor’s permit |
For EU/EEA citizens, the process is much simpler as you have the right to live and work in the Netherlands without a residence permit. However, you must register with the local municipality if staying longer than four months.
Best Cities to Live in the Netherlands for Expats
The Netherlands offers a variety of cities that are welcoming to international residents. Each has its own character and advantages:
| City | Known For | Housing Costs (Average Monthly Rent, 1-bedroom) | International Community |
| Amsterdam | Cultural hub, international atmosphere | €1,600-2,200 | Very large, diverse international population |
| Rotterdam | Modern architecture, port industry | €1,100-1,500 | Growing international community, diverse |
| The Hague | International organizations, beach access | €1,200-1,600 | Diplomatic community, international schools |
| Utrecht | University city, central location | €1,100-1,500 | Student-oriented international population |
| Eindhoven | Tech hub, Philips headquarters | €900-1,300 | Tech professionals, expat-friendly companies |
| Groningen | Student city, affordable | €800-1,200 | University international students, growing expat community |
| Maastricht | Border location, historic charm | €900-1,200 | Proximity to Belgium and Germany, European feel |
When choosing a city, consider factors like proximity to your workplace, available international schools if you have children, and the type of environment you prefer.
Dutch Housing Market and Finding a Place to Live
The Dutch housing market is characterized by high demand and limited supply, especially in popular cities like Amsterdam. Understanding your options is crucial:
| Housing Type | Advantages | Disadvantages | Approximate Costs |
| Rental Apartments | Flexibility, lower initial costs | High monthly costs, competition | €800-2,500/month depending on location |
| Social Housing | Affordable | Long waiting lists (often 5-10 years), income restrictions | €350-750/month |
| Purchase Apartments | Build equity, stability | High purchase prices, additional costs | €200,000-600,000+ purchase price |
| Purchase Houses | More space, privacy | Higher costs, maintenance responsibility | €350,000-1,000,000+ purchase price |
When looking for housing, these are common platforms and resources:
- Funda.nl (largest Dutch housing website)
- Pararius.com (rental-focused, English available)
- Housing agencies (makelaar) specializing in expats
- Facebook groups for expat housing
- Housing associations for social housing
Understanding the Dutch Mortgage System
If you’re planning to stay in the Netherlands long-term, purchasing property might be more economical than renting. The Dutch mortgage system has several unique characteristics that expats should understand.
Planning your finances is essential when considering a home purchase in the Netherlands. Using a reliable mortgage calculator can help you understand your borrowing capacity and monthly payments based on your specific situation.
Can Foreigners Get a Mortgage in the Netherlands?
Yes, non-Dutch citizens can obtain mortgages in the Netherlands. Eligibility depends on:
- Residency status (EU citizens have fewer restrictions)
- Employment contract (permanent contracts preferred)
- Income level
- Credit history (though the Netherlands doesn’t use a credit score system like the US)
- Age (typically 18-67, working age)
Types of Dutch Mortgages
| Mortgage Type | Description | Advantages | Disadvantages |
| Annuity Mortgage (Annuïteitenhypotheek) | Equal monthly payments; more interest initially, more principal later | Tax deductible interest, predictable payments | Higher initial payments |
| Linear Mortgage (Lineaire hypotheek) | Decreasing monthly payments; equal principal amount plus decreasing interest | Lower total interest paid, decreasing monthly burden | Higher initial payments, less tax benefit over time |
| Interest-Only (Aflossingsvrije hypotheek) | Only interest payments, principal paid at end of term | Lower monthly payments | No tax benefits for new mortgages since 2013, must repay full amount eventually |
| Investment Mortgage (Beleggingshypotheek) | Part of payment goes to investment account | Potential for investment growth | Investment risks, complex structure |
| Bank Savings Mortgage (Bankspaarhypotheek) | Part of payment goes to savings account | Guaranteed growth of savings portion | Less liquid, complex structure |
Since 2013, only annuity and linear mortgages qualify for mortgage interest tax deduction for new mortgages.
Dutch Mortgage Costs and Requirements
| Cost Type | Typical Amount | Notes |
| Down Payment | 0-10% | While 100% financing is possible, many expats provide 10-20% |
| Property Transfer Tax (Overdrachtsbelasting) | 2% for primary residences, 8% for investments | First-time buyers under 35 may be exempt |
| Notary Fees | €1,000-1,500 | Required for property transfer |
| Valuation Report | €400-600 | Required by mortgage lenders |
| Building Inspection | €300-500 | Optional but recommended |
| Mortgage Broker Fee | €2,000-3,000 | Highly recommended for expats |
| National Mortgage Guarantee (NHG) | 0.6% of loan amount | Optional insurance for mortgages under €355,000 (2023) |
In total, buyers should budget approximately 4-6% of the property price for closing costs.
The Dutch Tax System and Mortgage Benefits
The Netherlands offers significant tax advantages for homeowners, which can offset the high cost of purchasing:
- Mortgage interest is tax-deductible for primary residences with annuity or linear mortgages
- The tax deduction gradually decreases (maximum 37% in 2023, decreasing annually)
- Property value is taxed in Box 1 of the income tax system (eigenwoningforfait)
- In 2023, homeowners must have at least 68% equity in their home after 30 years
Annual tax filing with the Dutch Tax Authority (Belastingdienst) allows you to claim these benefits.
Cost of Living in the Netherlands
Understanding the broader cost of living helps in planning your housing budget:
| Expense Category | Monthly Cost Estimate (€) | Notes |
| Housing (Rent/Mortgage) | 800-2,000+ | Highest expense, varies greatly by location |
| Utilities | 150-250 | Electricity, water, heating, internet |
| Health Insurance | 120-150 per person | Mandatory basic insurance (plus possible employer contribution) |
| Groceries | 300-500 | For one person, varies by shopping habits |
| Transportation | 100-300 | Public transport or car ownership costs |
| Child Education | 0-1,500 | Public schools free, international schools costly |
| Leisure | 200-400 | Restaurants, entertainment, sports |
The 30% ruling (a tax advantage for certain highly skilled migrants) can significantly reduce your tax burden and increase your mortgage capacity if you qualify.
Healthcare System in the Netherlands
The Netherlands has an excellent healthcare system that requires all residents to have health insurance:
| Healthcare Aspect | Details | Approximate Cost |
| Basic Insurance | Mandatory coverage, private insurers | €120-150/month |
| Deductible (Eigen Risico) | Annual out-of-pocket before insurance pays | €385/year minimum |
| Supplemental Insurance | Optional additional coverage | €10-100/month extra |
| Subsidy (Zorgtoeslag) | Income-based government assistance | Up to €111/month for individuals |
| GP Registration | Required upon arrival | Free, covered by insurance |
Healthcare quality is consistently rated among the best in Europe, with English widely spoken by medical professionals.
Working in the Netherlands
Employment prospects are generally good, especially for skilled workers in certain sectors:
| Industry | Job Prospects | Common Cities | Language Requirements |
| IT/Tech | Excellent | Amsterdam, Eindhoven, Utrecht | Often English-only acceptable |
| Finance | Very Good | Amsterdam, Rotterdam | English plus Dutch beneficial |
| Engineering | Good | Eindhoven, Delft, Rotterdam | Varies by company |
| Creative/Design | Moderate | Amsterdam, Rotterdam | Often bilingual preferred |
| Healthcare | Good for qualified professionals | Nationwide | Dutch usually required |
| Education | Good for international schools | Major cities | English for international schools |
| Hospitality | Moderate | Tourist areas | English plus Dutch beneficial |
The Dutch work culture values:
- Work-life balance (typically 36-40 hour workweeks)
- Direct communication
- Flat hierarchies
- Punctuality and planning
- Consensus-building (the famous Dutch “polder model”)
Education System in the Netherlands
For families moving with children, the Netherlands offers several educational options:
| Education Type | Language | Annual Costs | Considerations |
| Dutch Public Schools | Dutch | Free | Integration into Dutch society, language immersion |
| Dutch Private Schools | Dutch | €3,000-10,000 | Specific educational philosophies (Montessori, etc.) |
| International Public Schools | English/Dutch | €4,000-8,000 | Limited places, waiting lists common |
| International Private Schools | Usually English | €15,000-25,000 | International curriculums (IB, British, American) |
| European Schools | Multiple languages | Varies | For children of EU institution employees |
| Universities | Dutch/English | €2,209 for EU/EEA, €8,000-20,000 for non-EU | Many programs taught entirely in English |
The Dutch education system is highly regarded globally, with many universities ranking in global top 100 lists.
Learning Dutch
While many Dutch people speak excellent English, learning Dutch improves your integration and career prospects:
| Learning Method | Time Commitment | Approximate Cost | Benefits |
| Government Courses (Inburgering) | 2-3 times/week | €1,000-3,000 | Official certification for residence permits |
| Private Language Schools | Flexible | €500-2,000 per level | Often faster progress |
| Online Courses | Self-paced | €0-300 | Flexibility, lower cost |
| Language Exchange | Few hours weekly | Free | Cultural integration, social connections |
| University Courses | Intensive options | €300-1,000 | Academic approach |
Most expats reach basic conversational level (A2) within 6-12 months of consistent study.
Administrative Requirements Upon Arrival
After arriving in the Netherlands, these administrative steps are mandatory:
- Register with the municipality (gemeente) – Required within 5 days for non-EU citizens, 4 months for EU citizens
- Obtain a BSN number (Burgerservicenummer) – Essential for employment, banking, healthcare
- Arrange health insurance – Mandatory within 4 months
- Open a Dutch bank account – Necessary for salary, rent/mortgage payments
- Register with a GP (huisarts) – Required for accessing healthcare
Practical Tips for New Arrivals
- Transportation: Purchase an OV-chipkaart for public transport and consider buying a bicycle for local travel
- Weather preparation: Invest in quality rain gear; Dutch weather is notoriously changeable
- Social connections: Join expat groups, sports clubs, or community organizations
- Digital infrastructure: Set up DigiD (digital identity) for government services
- Utilities: Compare energy providers as prices vary significantly
Conclusion
Moving to the Netherlands offers many rewards, from excellent quality of life to strong work-life balance. While the process involves significant planning and the housing market presents challenges, proper preparation can ensure a smooth transition.
The Dutch mortgage system can seem complex to newcomers, but with proper guidance, you can navigate the process successfully and potentially save significantly compared to long-term renting.
With its open culture, strong economy, and welcoming attitude toward skilled internationals, the Netherlands continues to be an excellent choice for those seeking new opportunities in Europe.
