WOZ Value (Property Valuation)
The WOZ value (Valuation of Immovable Property) is the estimated market value of your home as of January 1 of the previous year, determined by your municipality. This value is used for multiple taxes: the deemed rental value (box 1), property tax (OZB), and if you have a second home, also for box 3. You usually receive the WOZ assessment in early January. If you disagree with the value, you can file an objection with your municipality within 6 weeks. This is free and can be worthwhile, as a lower WOZ value means less deemed rental value and lower property tax.
Example
Your WOZ value is set at €400,000, but comparable homes on your street sold for €360,000. You file an objection and the municipality lowers the WOZ value to €365,000. This saves you €35,000 × 0.35% × 36.97% = €45 in deemed rental value, plus a lower property tax of about €35. In total you save around €80 per year.
Why does this matter?
The WOZ value affects multiple taxes you pay. Check every year if the value is correct by looking at comparable properties. Filing an objection is free, and there are even companies that do this for you on a no-cure-no-pay basis.