Inheritance & Real Estate: What You Need to Know

Inheritance tax in Belgium can be very high. Depending on the region and the family relationship between the deceased and the heir, inheritance tax rates can reach as much as 80% on inherited property.

Planning ahead for inheritance can help secure your loved ones’ future and reduce the tax burden.

Rules That Vary by Region

In Belgium, each region applies its own tax rates and rules:

Wallonia: rates range from 3% to 80%, depending on the family relationship.

The 80% rate applies to certain tax brackets of the property’s value, not to the entire value of the property.

Brussels: children and spouses benefit from lower tax rates.

Flanders: spouses and children benefit from tax advantages.

Understanding these regional rules is essential to reducing inheritance tax and avoiding unexpected costs. The exact rates depend on the region in which the deceased was domiciled for tax purposes and the family relationship between the deceased and the heir. Your notary can confirm which rates apply to your situation.

Upcoming Reforms

Changes to inheritance tax rules are planned to ease the tax burden on heirs:

• Wallonia: The reform adopted in 2024 provided for inheritance tax rates to be capped at 15% for direct-line heirs (children, spouses and legally cohabiting partners) from 2028 onwards. However, the government announcement of 12 October 2026 calls this reduction into question and proposes instead to exempt the first €75,000 inherited by direct-line heirs, while capping the rate at 50% for other categories of heirs.

• Brussels: Enhanced protection for de facto cohabitants, reductions in inheritance tax on certain bequests, and an extension of the so-called “suspect period” to five years.

• Flanders: Exemptions for spouses and legally cohabiting partners, and an extension of the suspect period to five years.

The five-year suspect period applies to unregistered gifts of movable property, not gifts of immovable property. It is already applicable in Flanders and Brussels, depending on the date of the gift.

These reforms, which have been announced but have not yet been officially adopted, are expected to simplify the transfer of real estate and significantly reduce inheritance tax for your heirs.

To follow developments concerning these measures, read our article on the legislative changes that will affect your real estate plans.

What Can You Do With Inherited Property?

Once the estate has been opened, heirs have several options.

Keep the property and live in it

Allow for maintenance costs, taxes and other expenses.

Rent out the property

Generate rental income and help cover the property’s running costs.

Sell the property

Selling inherited property generally requires the agreement of all co-heirs when the property is jointly owned, as well as an assessment of its market value.

Renounce the inheritance

If the estate contains excessive debts or expenses, you can renounce the inheritance to avoid having to bear the financial consequences of accepting it. Renunciation is formalised before a notary and applies to the entire estate, not just the debts or individual assets of your choosing.

It is also possible to accept the inheritance under benefit of inventory (acceptation sous bénéfice d’inventaire). Subject to compliance with the applicable legal formalities, this limits your liability for estate debts to the value of the assets inherited.

Planning these choices carefully helps you make the most appropriate decisions for your estate and your heirs.

Are You a Property Owner? Plan Ahead for the Transfer of Your Property

If you own property, planning ahead can help reduce the tax burden on your heirs and prevent disputes when the estate is divided.

Gifting property during your lifetime, separating usufruct from bare ownership, or arranging the division of your estate during your lifetime are options that can be explored with a notary.

We explain these options in more detail in our article on transferring real estate.

Consulting a notary or tax adviser can help you structure the transfer of your assets in the most appropriate and tax-efficient way.

How Engel & Völkers Can Help You

At Engel & Völkers, we support our clients in ensuring that real estate transfers take place as smoothly and securely as possible.

We can help you to:

• Assess your properties to establish their market value.

• Put you in touch with notaries and tax specialists with relevant expertise.

This enables your heirs to make informed decisions and avoid administrative or tax-related complications.

Have You Inherited a Property?

Inheriting real estate does not have to be a source of stress.

With Engel & Völkers, you can plan ahead, protect your assets and optimise the transfer of your real estate.

Contact our experts for personalised, hassle-free support.