How to buy land in Netherlands (guide)

Authored by the expert who managed and guided the team behind the Netherlands Property Pack

Everything you need to know before buying real estate is included in our The Netherlands Property Pack

Who is the author of this content?

INVESTROPA

A team specialized in real estate investing in European countries (Netherlands, Germany, France, Spain, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in the Netherlands. If you'd like to learn more about us, you can check our presentation page.

How this content was created 🔎📝

At InvestRopa, we explore the Dutch real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Amsterdam, Rotterdam, and Utrecht. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

What types of land can foreigners legally buy in the Netherlands?

Foreigners can legally purchase all types of land in the Netherlands without any nationality-based restrictions.

This includes residential land for building homes, commercial land for business purposes, and agricultural land for farming or investment. The Netherlands maintains an open property market that treats foreign buyers equally to Dutch citizens.

The only universal restrictions apply to properties subject to European or national freezing orders, such as those under sanctions, which affect all buyers regardless of nationality. Some municipalities may impose self-habitation requirements on certain properties, meaning the buyer must live in the property themselves, but this applies to all purchasers.

For agricultural land or land zoned for specific uses, additional permits may be required, especially for non-EU/EEA nationals. Always check local zoning laws (bestemmingsplan) to confirm what activities are permitted on the land.

It's something we develop in our Netherlands property pack.

Which regions do foreigners prefer when buying land in the Netherlands?

Foreign buyers concentrate their land purchases in the Netherlands' major economic centers and university cities.

Amsterdam leads as the most popular destination due to its international business environment and strong rental market. Rotterdam attracts investors seeking more affordable options while maintaining urban amenities. The Hague appeals to diplomatic and international organization employees, while Utrecht offers excellent connectivity and growth potential.

Eindhoven has emerged as a technology hub, drawing foreign investment in both residential and commercial land. Haarlem's Schalkwijk area gains popularity for its affordability and proximity to Amsterdam. Student cities like Groningen, Enschede, and Maastricht see significant foreign investor activity, particularly for rental property development.

These regions offer strong economies, vibrant expat communities, high rental demand, and good investment potential. Foreign buyers typically prioritize locations with established international communities and strong economic fundamentals.

The concentration in these areas reflects the practical needs of foreign buyers seeking either investment returns or personal relocation opportunities.

Can buying land lead to Dutch residency or citizenship?

Purchasing land in the Netherlands does not automatically grant residency or citizenship rights.

Property ownership and immigration status remain completely separate legal matters in Dutch law. To live in the Netherlands, you must comply with standard immigration rules regardless of your property ownership status.

EU/EEA citizens can establish residency more easily through freedom of movement rights. Non-EU/EEA nationals must apply for residence permits based on work, study, family reunification, or other qualifying grounds. The Netherlands does offer a "Residence by Investment" program, but this requires a minimum investment of €1.25 million in a Dutch startup or venture capital fund, not property purchases.

After five years of legal residency, you may apply for Dutch citizenship through naturalization, subject to language proficiency and integration requirements. The path to citizenship involves demonstrating continuous legal residence, financial stability, and integration into Dutch society.

Direct citizenship through property investment is not available in the Netherlands.

What is the step-by-step process to purchase land?

The land purchase process follows a structured eight-step procedure in the Netherlands.

Step	Action Required	Timeline
1. Financial Preparation	Determine budget and secure financing approval	2-4 weeks
2. Land Search	Use Funda or real estate agents to find suitable land	Ongoing
3. Due Diligence	Check zoning laws, land registry, conduct surveys	1-2 weeks
4. Offer Submission	Negotiate price and terms with seller	Few days
5. Purchase Agreement	Sign preliminary contract and pay 10% deposit	1 day
6. Financing Finalization	Complete mortgage arrangements or transfer funds	2-6 weeks
7. Notary Process	Notary prepares transfer deed and schedules signing	2-4 weeks
8. Completion	Final payment, deed signing, ownership transfer	1 day

What documents do foreign buyers need to provide?

Foreign buyers must provide specific documentation to complete land purchases in the Netherlands.

Essential documents include a valid passport or EU/EEA ID card for identification purposes. You'll need proof of address and residency status if applicable to your situation. Financial documentation requires proof of funds or a mortgage approval letter demonstrating your ability to complete the purchase.

For mortgage applicants, additional documents include recent payslips, employment contracts, tax returns from previous years, and company financials if self-employed. A Dutch tax identification number (BSN) significantly helps with mortgage applications, though it's not always mandatory for cash purchases.

Banks may request additional documentation depending on your specific circumstances and the complexity of your financial situation. Having all documents prepared in advance expedites the purchase process.

Some documents may require official translation into Dutch, particularly for non-EU documents.

Is remote land purchase possible without visiting the Netherlands?

Remote land purchases are legally possible in the Netherlands using power of attorney arrangements.

You can authorize a legal representative to sign documents on your behalf during the notary appointment. However, most Dutch notaries require personal identification checks, which may necessitate at least one in-person visit during the process.

Remote purchases work better for cash buyers than those requiring mortgages. Banks often require in-person meetings for mortgage approval, identity verification, and document signing. The complexity increases for non-EU nationals who may need additional verification procedures.

Even with remote capabilities, conducting proper due diligence benefits from personal site visits. Evaluating land conditions, neighborhood characteristics, and development potential requires firsthand assessment or trusted local representation.

Legal advisors can facilitate remote purchases but expect some steps to require your physical presence or that of a trusted representative.

What are current land prices across different regions?

Land prices in the Netherlands vary significantly by location and intended use as of June 2025.

Residential property prices average €470,000 nationally, with Amsterdam commanding €632,733 per home as the most expensive major city. Rotterdam offers more affordability at €406,180 per home among major cities, while Utrecht reaches €556,988 per home with the fastest price growth rates.

Agricultural land prices hit record highs of €81,500-€94,000 per hectare, making the Netherlands the second most expensive in the EU after Malta. Urban development land commands premium prices near major cities, often exceeding €1,000 per square meter in prime locations.

Price factors include proximity to Amsterdam and major economic centers, zoning permissions and development potential, infrastructure quality and transportation links, and local demand-supply dynamics. The ongoing housing shortage continues driving prices upward across most regions.

Rural land prices increase with development potential and accessibility to urban centers.

What are the total costs and taxes involved?

Total transaction costs typically range from 3-5% of the land purchase price in the Netherlands.

Cost Type	Amount	Notes
Transfer Tax	2% (primary residence) / 10.4% (investment)	Most significant cost
VAT	21% (new builds/undeveloped land)	Replaces transfer tax
Notary Fees	€1,000-€2,000	Fixed professional fee
Registration Fees	€77-€126	Land registry costs
Real Estate Agent	1.5%-3% of purchase price	If using agent services
Valuation/Appraisal	€500-€1,000	Required for mortgages
Other Costs	€500-€1,500	Bank guarantees, translations, etc.

Can foreigners purchase land with cash payments?

Foreign buyers can legally purchase Dutch land using cash payments without restrictions.

Cash purchases must comply with anti-money laundering regulations, requiring you to document the source of funds to the notary. All transactions undergo scrutiny for suspicious activities, and notaries report unusual circumstances to authorities.

Cash purchases don't trigger additional taxes beyond standard transaction costs. Non-residents pay annual property tax (WOZ) of approximately 1.2% of assessed value, minus any mortgage interest deductions. The tax applies only to Dutch property, not worldwide assets.

Cash buyers often complete transactions faster than those requiring mortgage financing. The simplified process eliminates bank approval delays and reduces documentation requirements.

Ensure proper documentation of fund transfers from foreign accounts to satisfy legal compliance requirements.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in the Netherlands 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.

How do mortgage options work for foreign buyers?

Foreign buyers can access Dutch mortgages, though terms are stricter than for residents.

Dutch banks typically offer up to 70% loan-to-value ratios for non-residents, requiring 30% cash down payments. EU/EEA citizens enjoy easier approval processes compared to non-EU nationals. Interest rates currently range around 4-5% as of mid-2025, remaining competitive within European standards.

Banks require proof of stable income, employment contracts, tax returns, and a Dutch BSN number for optimal processing. Euro-based income improves approval chances significantly. Non-residents must demonstrate long-term financial stability and often provide additional guarantees.

Mortgage applications typically take 4-8 weeks for foreign buyers. Required documentation includes passport or residence permit, proof of income and employment, recent tax returns, and existing debt obligations. Self-employed applicants need comprehensive business financial statements.

Working with mortgage brokers experienced in foreign buyer situations can streamline the approval process and identify suitable lenders.

What mistakes should foreign buyers avoid?

Foreign buyers commonly make several critical errors when purchasing Dutch land.

The most frequent mistake involves not checking zoning restrictions (bestemmingsplan) before purchase. These regulations determine permitted land uses and can prevent intended development projects. Always verify what activities are legally allowed on the land.

Underestimating total transaction costs catches many buyers off guard. Beyond the purchase price, expect 3-5% in additional costs including taxes, notary fees, and registration charges. Failing to conduct thorough due diligence on property titles and potential hidden charges can lead to unexpected obligations.

Overbidding in competitive markets often results from emotional decision-making rather than market analysis. Not using local real estate agents or legal advisors familiar with Dutch procedures increases risks significantly.

Rushing the process without proper market research and professional guidance frequently leads to poor investment decisions and financial losses.

Why do foreigners typically buy land in the Netherlands?

Foreign land purchases in the Netherlands serve four primary purposes as of 2025.

1. **Investment purposes** dominate foreign buyer motivations, seeking rental income and capital appreciation in stable European markets2. **Development projects** attract international developers building residential, commercial, or mixed-use properties3. **Agricultural investment** appeals to investors seeking land banking opportunities and agricultural returns4. **Personal use** includes second homes, relocation preparation, and retirement planning5. **Business expansion** involves companies acquiring land for facilities, warehouses, or retail locations

The Netherlands' political stability, strong legal framework, and strategic European location make it attractive for international investment. The country's high property values and rental yields, particularly in major cities, provide compelling investment returns.

Many foreign buyers appreciate the transparent legal system and professional property market infrastructure. The absence of foreign ownership restrictions simplifies the investment process compared to other European countries.

It's something we develop in our Netherlands 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.

Sources

1. ELRA - Limitations to Foreigners in Netherlands
2. InvestRopa - Netherlands Real Estate for Foreigners
3. Expat Focus - Buying Property in Netherlands
4. Global Property Guide - Netherlands Buying Guide
5. Expatica - Buying Property in Netherlands
6. Global Property Guide - Netherlands Price History
7. NL Times - Land Prices Record High
8. RSM Global - Acquiring Dutch Real Estate