Everything you need to know about kosten koper (k.k.)

When browsing a property website like Funda, you might notice the abbreviations "v.o.n." (vrij op naam) or "k.k." (kosten koper) listed alongside the asking price. These abbreviations indicate to you, the buyer, which costs are included or excluded from the asking price. This article will clarify what kosten koper entails, the expenses you should account for, and whether these costs can be financed through your mortgage.

Go directly to:

• What does kosten koper mean?
• What are kosten koper?
• What is the percentage of kosten koper on the purchase price?
• What amounts should I consider for kosten koper?
• Calculating kosten koper (overview + example calculation)
• Can I finance the kosten koper within my mortgage?
• Are the kosten koper tax-deductible?

What does kosten koper (k.k.) mean?

Kosten koper (k.k.) is commonly seen on Dutch real estate websites such as Funda. It indicates that the buyer is responsible for paying the additional property costs. These costs typically include transfer tax, notary fees for the property transfer and mortgage deed, and registration fees with the Land Registry. When a property is listed with kosten koper, the purchase price does not include these extra expenses.

What are kosten koper?

When kosten koper (k.k.) is indicated after the asking price, it means that as the buyer, you are responsible for the following additional costs:

• Transfer tax
• Notary fees
• Mortgage costs (if applicable)
• Buyer's agent fees (if applicable)
• Other costs (if applicable)

So, purchasing a house with kosten koper means you will have to pay more than just the purchase price. Naturally, you want to know these additional costs and how much money is involved. Below is an overview of the extra expenses you’ll incur in addition to the purchase price:

Purchase price k.k.
+ Transfer tax
+ Notary fees
+ Mortgage costs
+ Buyer's agent fees
= The total amount you need to pay

Vrij op naam

Do you see "v.o.n." listed after the asking price? This means you are buying the property vrij op naam (freehold). All legal costs associated with the house purchase are already included in the price. Read more below about buying a property vrij op naam.

What is "Vrij op Naam" (v.o.n.)?

What is the percentage of "kosten koper" on the purchase price?

When looking at properties, it helps to estimate the percentage of kosten koper quickly. On average, the rate of k.k. ranges between 4.5% and 6.5% of the purchase price. You can use 5.5% as a general guideline. In our example calculation, we arrived at 4.5% of the purchase price (see above).

What amounts should I consider for "kosten koper"?

If you’re buying a house with "kosten koper," keep in mind the following additional costs (in addition to the purchase price):

1. Transfer Tax

The transfer tax for properties in the Netherlands in 2023 depends on the category you belong to:

• General rate: 10.4% transfer tax on the purchase price (kosten koper).
• For buyers aged 35 and older who live on the property, there will be a 2% transfer tax on the purchase price (kosten koper).
• First-time buyers under 35 years old: No transfer tax.*

Example: You are 38 years old and purchase a property with "kosten koper." The purchase price is €350,000. You will then pay €350,000 x 0.02 = €7,000 in transfer tax.

For more information on the transfer tax, please visit the Dutch government's website at Rijksoverheid.nl.

If you are under 35 and purchasing a property, you can use the one-time transfer tax exemption. This means you do not have to pay transfer tax when buying your house, saving you thousands of euros, which is worth considering. The exemption applies in 2023 for properties with a valuation up to €440,000 and only for homes you will occupy as your primary residence. You will pay a 2% transfer tax for properties with a higher valuation.

2. Notary Fees

When purchasing a house, you are required to hire a notary. The notary will draft official documents, such as the deed of transfer and the mortgage deed, which are legally binding. Each notary sets its own fees for these services. Additionally, there are costs associated with registering the deeds with the Land Registry.

Notary fees typically range between €1,000 and €3,000, depending on the complexity of the documents to be prepared. On average, notary fees amount to around €2,000 for purchasing a property and the mortgage.

3. Mortgage Costs (if applicable)

If you need a mortgage to purchase your house, you will incur additional costs related to the mortgage, such as:

• Mortgage advisor fees: This typically costs you around €2,250. Some advisors charge a fixed fee, while others charge an hourly rate.
• Appraisal report for the bank: This usually costs about €750, including VAT and all expenses (advances).
• Mortgage deed: Finally, for a mortgage, a mortgage deed must be signed at the notary's office. We have already included these costs in the notary fees (see "2. Notary Fees" above). You will receive a single invoice that itemizes these various charges.

4. Buyer’s Agent Costs (if applicable)

Hiring a buyer’s agent is not mandatory, but many people choose to do so, especially in a highly competitive housing market where it can be a valuable service. If you decide to work with a buyer’s agent, be prepared to pay a brokerage fee of approximately 1% of the purchase price (kosten koper).

For a property priced at €350,000, you would pay a fee of €3,500 to the buyer’s agent. While this is significant, it's important to remember that a buyer’s agent assists and advises you throughout the bidding and negotiation process, potentially helping you secure your home at a better price.

Curious about other costs you may encounter when buying a home, in addition to the purchase price and "kosten koper"? You can read more in our article about all the costs of buying a house.

5. Other Costs (if applicable)

In addition to transfer tax, notary fees, mortgage costs, and agent fees, you might also encounter the following:

• Structural survey costs: If you want to gain more insight into the structural condition of the property and potential hidden defects, you can opt for a structural survey. In the case of a new-build property, this is called a “handover inspection.” This is an inspection by an expert to assess whether the house is in good condition and free of hidden defects. The costs vary depending on the property, its size, location, and the complexity of the inspection. You can expect to pay between €250 and €450 for a standard structural survey.

• NHG costs: The National Mortgage Guarantee (NHG) application fee in 2023 is 0.6% of the mortgage amount. However, this comes with an interest rate benefit, which can help you recoup these costs quickly.

• Bank guarantee: When purchasing a property, you enter into a purchase agreement. In most cases, the seller requires that you, as the buyer, pay a deposit or provide a bank guarantee after signing the purchase agreement. This is intended to assure the seller that you will follow through with the purchase. The deposit is usually 10% of the agreed purchase price and must be paid within two weeks of signing the purchase agreement. If you do not have the necessary funds or choose not to deposit them, you can arrange a bank guarantee. In this case, the bank guarantees the specified amount on your behalf. You usually pay 1% of the guaranteed amount for this service.

Calculating kosten koper

General Overview: Amounts and Percentages for kosten koper

Transfer Tax

• 10.4% of the purchase price (kosten koper) (general rate)
• 2% of the purchase price (kosten koper) (for buyers aged 35 and older who will live in the property)
• No transfer tax (for first-time buyers under 35 who meet the requirements)

Notary Fees

• €2,000 (average notary fees, including the mortgage deed costs)

Mortgage Costs (if applicable)

• €2,250 (average mortgage advisor fees)
• €750 (average appraisal report costs)

Buyer’s Agent Costs (if applicable)

• 1% of the purchase price (kosten koper)

Other Costs (if applicable)

• €350 (average cost of a structural survey)
• 0.6% of the mortgage amount (NHG costs)
• 1% of the guaranteed amount (bank guarantee costs)

Example Calculation of kosten koper

Below is an example calculation of the "kosten koper" for a purchase price of €350,000 for a 38-year-old person living in the property as their primary residence. They need a mortgage for the total purchase price and use a buyer’s agent. They are having a structural survey conducted, do not need a bank guarantee, and are not using the NHG.

Can I finance the kosten koper within my mortgage?

When discussing financing the kosten koper, we ask whether you can include the additional costs (associated with kosten koper) in your mortgage. This was possible in the past, but since 2018, the rules for the maximum mortgage amount have been tightened. This means that 2023 you can borrow up to 100% of the property's value.

Additional costs, such as the kosten koper, cannot be included in the mortgage unless the property's value exceeds the purchase price (higher appraisal value). In most cases, you must have enough savings to cover these costs. For kosten koper (k.k.), you should consider an amount of approximately 4-6% of the total cost of the house.

Are kosten koper tax-deductible?

Tax deductions are expenses that you can fully deduct from your income tax. Some kosten koper (k.k.) costs can be deducted from your taxes.

The following costs are deductible once:

• Mortgage advice
• Notary fees for the mortgage
• Appraisal report
• Application for National Mortgage Guarantee (NHG)

The following costs are not deductible:

• Transfer tax
• Buyer's agent fees

Generally, all costs related to obtaining a mortgage are tax-deductible. All other costs are not deductible. We refer you to the Dutch Tax Administration (Belastingdienst) for more information on tax deductions.

More about buying and selling your home in The Netherlands

The Ultimate Guide to Buying Property in The Netherlands

An introduction to leasehold in Dutch real estate

What is "Vrij op Naam" (v.o.n.)?

A step-by-step guide on selling property in the Netherlands

Preparing your house for sale

Find real estate agents in the biggest cities

Real estate agent in Den Bosch ('s-Hertogenbosch)

Real estate agent in Groningen

Real estate agents in Rotterdam

Real estate agent in The Hague (Den Haag)

Real estate agent in Maastricht

Real estate agent in Amsterdam

Real estate agent in Utrecht

Frequently Asked Questions about k.k. (Kosten Koper)

• What does k.k. mean after the asking price?

  'k.k.' means that the property is being offered with 'Kosten Koper.' This means that in addition to the purchase price, you also have to pay for notary fees and transfer tax. There may also be other costs, such as mortgage fees and agent fees. The opposite of 'k.k.' is 'v.o.n.' (Vrij op naam). A 'v.o.n.' asking price means that all costs associated with purchasing the house are already included in the asking price.

• What additional costs are there if the asking price is k.k.?

  If k.k. is listed after an asking price, it means that you, as the buyer, must pay the following additional costs:

  Transfer tax Notary fees Mortgage costs (if applicable) Buyer's agent fees (if applicable) Other costs (if applicable)

• What is the percentage of kosten koper on the purchase price?

  When you're searching for a home, it's useful to quickly estimate the percentage of kosten koper. Generally, this percentage ranges between 4.5% and 6.5%. An average of 5.5% can serve as a reference. In our example calculation, you can see how each cost contributes to the overall percentage.

• Can you finance the additional costs within the mortgage?

  In most cases, this is not possible. Since 2018, you are only allowed to finance up to 100% of the appraised value. If the purchase price of your property is equal to the appraised value, you will need to pay the additional costs for "kosten koper" out of your own pocket. You cannot cover this amount with your mortgage. However, if the appraised value of your property is higher than the purchase price, you can finance the kosten koper within the mortgage.