27 May 2022
WOZ value in the Netherlands
Egle Kemezyte
Growth Marketer

WOZ (Waardering Onroerende Zaken) value determines the property’s value and taxes homeowners must pay annually in the Netherlands.

WOZ value determines the following taxes:

1. The homeowners’ tax.
2. The municipality taxes such as property tax and sewage tax.

How does the municipality calculate the WOZ value? The WOZ value is computed using similar property’s value and characteristics, for example, construction year, location, size, and state of maintenance. You can check your property value by visiting www.wozwaardeloket.nl

WOZ value in 2021

Rising housing prices increased the WOZ value in 2021. On average, the WOZ value increased by 8.9% in 2021, which is the most significant rise compared with previous years. The WOZ values that are published in 2021 are calculated based on data from 2020.

WOZ value pros

1. The WOZ value can help you to indicate the price if you plan to sell your home. It gives you an estimated value of the market.
2. It is possible to use the WOZ value to lower the mortgage interest rate if your property’s value increased during the years.

WOZ value cons

1. The rising value of the property increases municipality taxes (property and waste taxes).
2. WOZ impacts income tax
3. WOZ impacts heritage tax

UPDATE 2022: WOZ value and rent

Are you planning to set a rental price for your property(s) soon? Keep in mind that the central government has implemented a new rule that affects the amount of rent. As of May 1, the WOZ value may be less critical.

The WOZ value indicates the market value of a home. This is determined by averaging the sales prices of comparable homes in the neighborhood. The municipality does not consider the homes' condition, renovations, or location. This means that the WOZ value does not always correspond to the actual market value.

The WOZ value calculates various taxes, including sewerage charges, notional rental weight, and real estate tax. This value affects the rent as well—the maximum rent increases as the WOZ value increases. And the government wishes to alter that.

What does it mean for you as an investor?

Since May 1, the new rule in action allows only 33% to be counted in determining rent. The reason for the lowering is the current housing shortage. Due to high selling prices, the rent is climbing up too fast accordingly, making housing less affordable for many people.

Do you have questions about the WOZ value?
Meet the team
Sezer Yilmaz
Managing Director & Financial Specialist
Egle Kemezyte
Growth Marketer
Robin Uijtdehaage
Commercial Director & Financial Specialist
Özkan Karakol
Financial Specialist