Authored by the expert who managed and guided the team behind the Belgium Property Pack
Everything you need to know before buying real estate is included in our Belgium Property Pack
Buying property in Belgium involves substantial upfront costs and a structured legal process managed by notaries.
Belgian property purchases require 11-22% of the purchase price upfront, with banks typically financing 80-90% of the property value. The process involves multiple stages from making an offer to final completion, with transaction costs varying significantly between regions due to different registration duty rates.
If you want to go deeper, you can check our pack of documents related to the real estate market in Belgium, based on reliable facts and data, not opinions or rumors.
Property buyers in Belgium need 11-15% upfront for existing homes or up to 22% for new builds, covering down payment, registration duties, and notary fees.
The purchase process typically takes 2-4 months from signing the initial agreement to receiving keys, with notaries overseeing all legal aspects.
| Cost Component | Existing Properties | New Builds |
|---|---|---|
| Registration Duties | 6% (Flanders), 12.5% (Brussels/Wallonia) | 21% VAT instead |
| Notary Fees | 1.6% average (0.2-4% range) | 1.6% average (0.2-4% range) |
| Total Upfront Costs | 11-15% of purchase price | Up to 22% of purchase price |
| Bank Financing | 80-90% LTV (residents) | 80-90% LTV (residents) |
| Foreign Buyer LTV | 70-80% typically | 70-80% typically |
| Completion Timeline | 2-4 months | 2-4 months |
How much money do I need upfront in Belgium to cover the down payment, notary fees, registration duties and taxes?
For existing properties in Belgium, you need 11-15% of the purchase price upfront to cover all transaction costs and down payment.
New builds require significantly more upfront cash, up to 22% of the purchase price, due to the 21% VAT that applies instead of registration duties. This higher percentage makes new construction properties more expensive from a cash flow perspective for buyers.
Registration duties vary dramatically by region - Flanders charges 6% (potentially reducing to 3% for primary residences in 2025), while Brussels and Wallonia charge 12.5%. Notary fees average 1.6% of the purchase price but can range from 0.2% to 4% depending on the property value and complexity.
Additional costs include mortgage arrangement fees, property valuation (€300-800), and legal searches. First-time buyers should budget an extra €2,000-5,000 for these miscellaneous expenses on top of the main transaction costs.
It's something we develop in our Belgium property pack.
What percentage of the purchase price will Belgian banks typically finance with a mortgage?
Belgian banks typically finance 80-90% of the purchase price for residents with stable income and good credit history.
Non-residents and foreign buyers usually receive lower loan-to-value ratios of 70-80%, requiring larger down payments. First-time buyers may access higher LTV ratios through specific government schemes, particularly in Flanders and Wallonia where regional programs support homeownership.
Banks assess your debt-to-income ratio carefully, typically requiring that total monthly debt payments (including the new mortgage) don't exceed 33% of your gross monthly income. Self-employed buyers face stricter criteria and may need to provide three years of tax returns.
The maximum mortgage term in Belgium is typically 25-30 years, though some banks offer 35-year terms for younger borrowers with excellent credit profiles.
How do I find out if I'm eligible for specific tax reductions or bonuses when buying property in Belgium?
Tax reduction eligibility depends heavily on your region, property type, and personal circumstances as Belgium has three different regional tax systems.
Brussels offers an abattement (exemption) on the first €200,000 of purchase price under specific conditions for primary residences. Wallonia and Flanders provide reduced rates for "modest" homes and first-time buyers, with definitions varying by municipality.
Check the official regional government portals for current schemes: urban.brussels for Brussels, wallonie.be for Wallonia, and vlaanderen.be for Flanders. The Belgian Notariat Federation website also maintains updated information on regional tax benefits.
Your notary will calculate exact tax savings during the purchase process, but preliminary estimates can be obtained through regional online calculators available on government websites.
What's the exact process of making an offer on a Belgian property and is it legally binding?
All offers on Belgian properties must be made in writing and become legally binding once both parties sign the compromis de vente (preliminary sales agreement).
The typical process follows these steps: submit a written offer through your agent or directly to the seller, negotiate terms and price, sign the compromis de vente with both parties legally bound, arrange mortgage financing (if applicable), and complete the final deed signing with the notary.
The compromis de vente is enforceable by law, meaning withdrawal can result in significant penalties unless you've included specific contingency clauses for financing approval, building permits, or property inspections. Standard penalty for buyer withdrawal is typically 10% of the purchase price.
Including financing contingencies in your offer protects you if mortgage approval fails, but you must demonstrate genuine effort to secure financing within the agreed timeframe.
How long does it usually take from signing the compromis de vente to actually getting the keys?
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The completion period in Belgium typically takes 2-4 months from signing the compromis de vente to receiving the property keys.
This timeframe allows for mortgage processing (6-8 weeks), notary due diligence checks, property searches, and preparation of the final deed. Urban planning certificate requests can add 2-4 weeks if required for your specific property.
Delays often occur due to mortgage approval complications, missing property documents, or complex ownership structures. Properties with multiple owners or estate sales frequently take longer to complete.
New build properties may have longer completion periods tied to construction milestones rather than standard administrative timelines.
What role does the notary play in Belgium and how much do their services typically cost?
The notary serves as the central legal authority overseeing all aspects of the property transaction in Belgium, from title verification to final registration.
Notaries conduct comprehensive property title searches, verify planning permissions, check for outstanding debts or encumbrances, prepare all legal documentation, oversee the signing ceremony, and register the property transfer with the land registry. They also collect and pay all taxes and fees on behalf of both parties.
Notary fees average 1.6% of the purchase price but can range from 0.2% for expensive properties to 4% for lower-value transactions due to the sliding scale fee structure. The exact fee depends on property value, transaction complexity, and additional services required.
Both buyer and seller share notary costs equally unless otherwise agreed in the sales contract.
What are the main ongoing property taxes and annual charges I should expect to pay in Belgium?
Property tax (précompte immobilier) is the main annual charge, calculated based on the property's cadastral income and typically amounts to 0.8-1.5% of the property's market value.
| Tax/Charge Type | Rate/Amount | Payment Frequency |
|---|---|---|
| Property Tax (Précompte Immobilier) | 0.8-1.5% of property value | Annual |
| Municipal Taxes | €50-500 per year | Annual |
| Regional Taxes | Varies by region | Annual |
| Building Insurance | €200-800 per year | Annual |
| Property Management (if applicable) | 8-12% of rental income | Monthly |
| Apartment Common Charges | €50-300 per month | Monthly |
How do I check if there are urban planning restrictions or hidden debts linked to the property?
The notary automatically conducts comprehensive searches for urban planning restrictions, outstanding debts, and legal encumbrances as part of their standard service.
You can also independently verify planning restrictions by requesting an urban planning certificate from the local municipality, which details current zoning, building permits, and any pending planning applications affecting the property.
Property debt searches are conducted through the mortgage registry and local tax offices to identify any outstanding amounts for property taxes, utilities, or building violations. The notary provides a detailed report of all findings before completion.
For apartments, additional checks include reviewing the building's financial statements and any pending major repairs or assessments that could affect future costs.
It's something we develop in our Belgium property pack.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Belgium versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What documents do I need to provide to the bank to get mortgage approval in Belgium?
Belgian banks require comprehensive documentation to assess your creditworthiness and ability to service the mortgage.
- Valid passport or EU identity card
- Three months of salary slips or proof of income
- Employment contract or self-employment documentation
- Three years of tax returns (particularly for self-employed applicants)
- Bank statements for the past six months showing savings and spending patterns
- Existing debt obligations and credit commitments
- Property details and compromis de vente once signed
- Property valuation report (arranged by the bank)
Non-residents may need additional documentation including proof of foreign income, translation of foreign documents, and sometimes a Belgian guarantor depending on the bank's policies.
Can foreigners without Belgian residency buy property, and are there any extra requirements for them?
Foreigners without Belgian residency can freely purchase property in Belgium with no legal restrictions based on nationality or residency status.
However, banks apply stricter lending criteria for non-residents, typically offering lower loan-to-value ratios (70-80% instead of 80-90%) and requiring larger down payments. Some banks may require non-residents to open Belgian bank accounts or provide additional income verification.
Non-resident buyers often face higher administrative costs due to additional documentation requirements, translation services, and extended due diligence processes. Tax obligations may also differ, particularly regarding capital gains tax and rental income tax for investment properties.
EU citizens generally face fewer obstacles than non-EU nationals, though mortgage availability and terms remain more restrictive than for Belgian residents.
What are the typical real estate agent fees in Belgium and who pays them, buyer or seller?
Real estate agent fees in Belgium typically range from 3-5% of the property purchase price and are usually paid by the seller.
Buyers using an agent's services may pay a separate search fee ranging from €200-1,000, which covers property searches and viewings but doesn't include the main commission. This fee structure means buyers can often view properties without paying the full agent commission.
Some agents operate on a "dual agency" basis, representing both buyer and seller, which can create potential conflicts of interest but may result in lower total fees. Always clarify the agent's representation arrangement before engaging their services.
Private sales without agents are common in Belgium, particularly in smaller municipalities, and can save significant money on transaction costs.
How does the mortgage interest deduction work in Belgium and how much can I realistically save?
Belgium has significantly scaled back mortgage interest deductions since 2020, with current benefits varying by region and generally offering modest savings.
Wallonia provides the "check habitat" deduction worth up to €1,520 per year, declining over time. Brussels focuses primarily on registration duty exemptions rather than ongoing interest deductions. Flanders offers limited deductions primarily for energy-efficient home improvements.
Realistic annual savings range from €500-1,500 depending on your region, income level, and mortgage amount. These deductions are significantly lower than neighboring countries like the Netherlands or France.
The trend in Belgium is toward elimination of mortgage interest deductions in favor of upfront purchase incentives and energy efficiency programs.
It's something we develop in our Belgium property pack.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Belgian property transactions involve substantial upfront costs and regional variations that significantly impact your total investment.
Understanding the complete process from offer to completion helps you budget accurately and avoid unexpected delays or expenses.
Sources
- Expatica - Buying Property in Belgium
- Expatica - Guide to Mortgages in Belgium
- INVESTROPA - Average House Price Belgium
- Brussels Times - What to Know When Buying Property
- LexUnion - Reduction of Registration Duties
- Belgium Finance - Registration Duty
- CMS Law - Real Estate Transaction Costs
- BE Brussels - Reduced Registration Fees