Mortgage Interest Deduction – What Does It Mean for You?

By: Erwin Zimmerman, Gileon Duisters and Gijsbert van Lieshout – Zimmerman, Duisters & Van Lieshout Mortgage Advice

The mortgage interest deduction is regularly at the center of political debate, and this year is no exception. Many homeowners wonder: will the scheme remain as it is, or will it change? In this blog, we – Erwin, Gileon and Gijsbert – would like to provide clarity and share our perspective.

What is the current scheme?

When you take out a mortgage to buy a home that you will live in yourself, you can usually deduct the interest you pay from your taxable income. For 2025, this deduction is allowed at a maximum rate of 37.48%.

For example: if you pay €10,000 in mortgage interest in 2025, you may deduct up to €3,748 from your taxable income. This lowers the amount of income tax you owe, but it does not mean that you get back the full amount of interest you paid.

What are political parties proposing?

In their election programs, some political parties propose to gradually phase out the mortgage interest deduction, often spread over 15 to 30 years.

It is important to note: there is no majority in favor of abolishing the deduction immediately. If changes do occur, they will be gradual, giving homeowners plenty of time to adjust.

What does this mean for property values?

Some people worry that a phase-out of the mortgage interest deduction will lead to falling house prices. In practice, we expect this effect to be limited.

That is mainly due to the severe housing shortage in the Netherlands. As long as demand for homes remains higher than supply, it is unlikely that prices will drop significantly just because of changes to the mortgage interest deduction.

Our message to you

We understand that this topic can cause uncertainty. You may be wondering: will I still be able to afford my home in the future?

In our experience, these concerns are often greater than necessary. It is important to realize that if changes are made, there will be ample time to adapt to them.

Schedule an appointment with us

Whether you are buying your first home, planning to move, or have owned a house for many years: we are here to help. Together we will look at what political plans mean for your personal situation and how you can set up your mortgage in the smartest way.

👉 Feel free to contact us – we are happy to assist you.

Warm regards,

Erwin Zimmerman, Gileon Duisters and Gijsbert van Lieshout