Summary
In December 2025, the Flemish Government reached an agreement on a number of regional tax measures. One of the key changes concerns the favorable 2% registration duty applicable to the purchase of a sole and primary residence in Flanders. This legislation has since been approved by the Flemish Parliament. The new rules apply to sale agreements concluded as from 1 January 2026.
The reduced rate was originally introduced with a clear objective: to give first-time (often younger) buyers a fiscal boost and to offer them a competitive advantage in their struggle on the real estate market against more capital-strong investors.
Old Regime
Until 31 December 2025, a more flexible regime allowing for a reduced registration duty of 2% was applicable in Flanders. Under that regime, the reduced rate applied to the acquisition, in full ownership, of a sole and primary residence by a private individual, provided that the buyer effectively used the property as their main residence and did not own any other dwelling or building land in full ownership at the time of purchase.
This 2% rate also applied in situations where a property was acquired in co-ownership by a private individual and a legal entity like a company, for example in cases involving ancillary professional use. In such cases, however, only the private individual’s share qualified for the reduced rate. The share acquired by the legal entity was always subject to the standard 12% registration duty.
New rules
As from 1 January 2026, the conditions for applying the reduced 2% registration duty have become significantly stricter. From now on, the acquisition must be carried out exclusively by a private individual. If a legal entity participates as a co-buyer, the entire purchase will be subject to the standard 12% rate.
A limited exception remains possible where the property is legally subdivided into separate lots. In that case, a private individual may still acquire the private residential unit – provided it constitutes a separate cadastral lot with its own cadastral registration – at the reduced 2% rate, while the business unit acquired by the legal entity will be subject to 12%. In practice, however, this solution is often impractical, as it requires the seller to carry out a legal subdivision prior to the sale, which means additional costs and administrative complexity.
Furthermore, split acquisitions, frequently used in estate planning structures, will no longer qualify for the reduced rate. Only a straightforward acquisition of the entire full ownership of a sole residence remains eligible. Where the acquisition is split between usufruct and bare ownership, the full purchase will now be subject to the standard registration duty.
Finally, the so-called domicile requirement is also being tightened. Each purchaser must not only register their domicile at the address of the acquired property within three years of the notarial deed, but must now also maintain that registration continuously for at least one year. This measure aims to prevent abusive use of the reduced rate and to ensure that the 2% tariff is reserved for genuine primary residences.
While this domiciliation requirement may appear strict, it is worth noting that in Brussels a comparable condition applies, whereby the purchaser must maintain their domicile in the property for a minimum period of 5 years in order to retain the registration tax benefit.
The 12% registration duty applies in all cases to the acquisition of a second home or non-residential real estate.
Overview
As from 2026, the reduced 2% registration duty will apply only if all of the following conditions are met:
· The acquisition is carried out exclusively by private individuals (no legal entity as co-acquirer).
· The transaction concerns an acquisition of full ownership (no usufruct/bare ownership split, no divided acquisitions).
· At the time of purchase, the property qualifies as the buyer’s sole residence or building land, and the buyer does not own any other dwelling or building land in full ownership, either in Belgium or abroad.
· The house or apartment must be ready for immediate occupation, or require only basic repair and/or maintenance works in order to make it fit for occupation.
· The acquired property qualifies as a residential dwelling intended for housing an individual or family. Professional acquisitions are excluded from the reduced rate.
· The buyer undertakes to register their domicile at the property within three years of the authentic deed.
· This registration must be maintained continuously for at least one year.
· Each purchaser must individually satisfy all conditions (the assessment is made for each buyer).
Conclusion
The 2% registration duty remains available in Flanders as of 2026, but only as a strictly defined registration tax benefit. Buyers must carefully verify each condition in advance, as any deviation, particularly involving legal entities or structured ownership, will result in the application of the standard 12% rate.