In 2024, homeowners deducted 24.8 billion euros from their income for their homes in their tax returns, 7 percent more than the previous year. This mortgage interest deduction amount has increased for the second consecutive year. The deduction provided homeowners with 9.5 billion euros in tax benefits. This is according to an analysis by Statistics Netherlands (CBS).

The mortgage interest deduction consists of two parts. The largest part (94 percent) is the mortgage interest deduction, the rest is the deduction due to no or low mortgage debt. The latter is also called the Wet Hillen. Homeowners with low mortgage debt pay less tax under this scheme. The increase over the last two years is mainly due to higher mortgage interest rates and larger mortgage debts.

The tax benefit from the mortgage interest deduction increased by 0.6 billion euros in 2024. Before that, it had been declining for years. This was due to declining mortgage interest rates, the phasing out of the mortgage interest deduction, and the Wet Hillen.

Wet Hillen
Tax benefit