When obtaining a mortgage loan, banks take into account income first. The time is ripe for change: the parliament proposes to take into account not only income, but also expenses when obtaining a loan. Namely - how conscientiously and for how long the borrower paid for the already existing obligations.
In the Netherlands, many have rented a home for 1,000 euros per month or more, for many years.
This fact may make it easier in the future to obtain a mortgage to buy your own home.
What documents are now required for employees to obtain a mortgage
You will need:
- A permanent work contract (or temporary, but then it must be accompanied by a statement by the employer that after the end of the temporary contract he intends to issue you a permanent one - Werkgeversverklaring or WGV).
- If your contract has a probationary period, then your mortgage request will not be considered until it ends (even if the contract is permanent or there is a WGV);
- At least 3 salary statements from your current employer. And some banks require 6 statements.
- Proof of your right to reside in the Netherlands (residence permit). If you have a temporary residence permit - it is also a type 1 residence permit (Verblijfsvergunning voor bepaalde tijd), then it will be difficult for you to find a bank or credit organization willing to work with you.
Mortgage Rate in NetherlandsIn the Netherlands, after January 1, 2021, the mortgage rate fell to a record low of 1.23% per annum.
According to Rente.nl, a month earlier the mortgage was issued for 20 years at 1.48% per annum. But since the new year, rates have dropped to 1.23%. Analysts point out that cheap mortgages will fuel demand in the real estate market, which will push up real estate prices in the country. Also, experts do not exclude that the Dutch authorities may reduce the mortgage rate even more. It depends on the development of events around the pandemic: the effect of vaccination and the possible economic consequences.
At the same time, realtors note that the number of demands on the market already prevails over the number of offers.