Potential increase in registration duties in Flanders to 3% as from 1 January 2027
In the September Declaration 2026, the Flemish Government announced that the reduced registration duty rate for the acquisition of a sole and principal residence in Flanders may increase again from 2% to 3% as of 1 January 2027. The measure still needs to be implemented through final legislation, but it is already raising important questions for prospective buyers today.
When will the 2% rate still apply?
According to a recent administrative position issued by VLABEL, the decisive factor for determining the applicable rate is, in principle, the date on which the sale and purchase agreement (the preliminary sale agreement or “compromis“) is concluded.
This means that purchasers who enter into a valid sale agreement no later than 31 December 2026 may, under the current administrative position, still qualify for the 2% rate, even if the notarial deed is executed in 2027.
However, VLABEL’s position remains subject to the final legislation that is yet to be adopted.
The importance of sufficient evidence
Anyone wishing to rely on the 2% rate will need to be able to demonstrate that the sale agreement was effectively concluded before 1 January 2027. To avoid discussions with the tax authorities, it is therefore advisable to retain sufficient documentation evidencing that the agreement was entered into on time.
Such documentation may include proof of payment of a deposit, documents relating to a mortgage application, or records showing that the notary had already commenced the necessary preparatory work on the file before 1 January 2027.
Furthermore, VLABEL has announced that for notarial deeds executed after 30 April 2027, such supporting evidence will be requested systematically.
Attention for specific structures
Certain real estate structures may be subject to a different assessment. This is, for example, the case for a mutual promise to purchase and to sell.
Under the current administrative position, the relevant date is not the date on which these documents are signed, but rather the date on which the notarial deed is executed. In such situations, the new 3% rate may therefore apply sooner.
Conclusion
Anyone considering the purchase of a property towards the end of 2026 would be well advised to assess the potential impact of this announced change in a timely manner. Not only the timing of the acquisition, but also the contractual structure chosen may result in a difference of several thousand euros in registration duties.
We continue to closely monitor legislative developments and will keep you informed as soon as further clarity becomes available regarding the final transitional rules. Should you have any questions about the impact on a planned real estate transaction, our specialists will be pleased to assist.
