Mortgages in the Netherlands

Buying a property in the Netherlands is not just about finding and obtaining your dream home. As well as saving up money for a deposit and to pay the various taxes and fees that accompany a home purchase, you’ll probably need a mortgage (hypotheek). Plenty of Dutch banks and other institutions offer mortgages to expats, but there are some rules and regulations you need to be aware of. Here's what you need to know about getting a mortgage as an expat in the Netherlands. 

Mortgage advisors in the Netherlands

Mortgages can either be taken out directly from a bank (or other institution), or via an intermediary such as a mortgage broker. 

While a bank can provide a direct route to financing, a mortgage broker can prepare a financial overview, investigate mortgage options with different banks, correspond with lenders, compile and submit documentation and offer insurance. There are many English-speaking mortgage advisors in the Netherlands that cater specifically to expats and can guide you through the whole mortgage application process.

Before you start searching for a property, it’s therefore worth consulting with a mortgage advisor to get an idea of whether your mortgage application would be successful, learn more about the costs involved, and get a good idea of what you can afford. 

Both banks and mortgage brokers charge a fee of roughly 2.000 to 3.000 euros. With both, it is important to enquire what services are covered. The first "orientation" meeting with a bank or broker is usually free.

How to get a mortgage in the Netherlands

Getting a mortgage in the Netherlands is relatively straightforward, so long as you fulfil certain requirements. Lenders in the Netherlands aren’t overly cautious, but they do subject potential borrowers to thorough checks. In order to ensure your application for a mortgage in the Netherlands is successful, you need to make sure that you fulfill the basic key requirements. 

Can foreigners buy property in the Netherlands? 

Yes, foreigners can buy property in the Netherlands without restrictions, no matter whether they are residents or non-residents. However, you need to be living and registered in the Netherlands in order to take out a Dutch mortgage. In principle, you could apply for a mortgage soon after arriving in the Netherlands, if your income situation is secure, but some lenders require that you have lived in the country for at least six months to five years before applying for a mortgage. 

This means that you can take out a mortgage in the Netherlands, whatever your nationality, as long as you fulfill the following basic requirements:

• You hold a valid residence permit which enables you to work
• You are currently working in the Netherlands 
• You have a permanent work contract or alternatively a statement from your employer confirming that your position is ongoing or will become permanent
• You can cover the closing costs with your own equity (up to 5% of the purchase price)

Mortgages for EU citizens

If you are an EU citizen, you are usually subject to the same rule as Dutch nationals, but some banks may require you to fulfil some additional conditions. For instance, you might be asked to pay a higher deposit (at least 10% of the property value), or you might be required to have lived in the Netherlands for at least five years before applying. 

Mortgages for non-EU citizens

Non-EU citizens are, in theory, eligible to apply for all types of mortgages, but you might face slightly stricter requirements. For instance, you may need to prove that your residence permit will be extended, or be asked for a larger upfront deposit to secure the mortgage. 

Mortgages for self-employed expats

It is more difficult for a self-employed person (ondernemer) to get a mortgage than it is for an employee because banks consider entrepreneurs to be riskier. Banks calculate your mortgage based on your net income over the last three years, for which you need to provide bank account records and income tax returns.

The longer you have been self-employed, the easier you will find it to get a mortgage. 

Mortgages for people approaching retirement age

If you are within 10 years of reaching retirement age (currently 67 in the Netherlands), you may find that lenders are more cautious about offering you a mortgage. Some set maximum age limits between 60 and 78 years. However, it’s not impossible. Potential lenders will look at your income and retirement funds, and may set additional conditions such as offering you a smaller mortgage or a shorter repayment period. 

How do mortgages work in the Netherlands?

The average mortgage term in the Netherlands is 30 years. While it is possible to choose a shorter term, this will result in higher monthly repayments. Normally, the interest rate is fixed for the first couple of years, but you can choose to fix it for up to 10, 20 or even 30 years in exchange for a higher overall rate.  

Mortgage interest rates in the Netherlands

Mortgage interest rates in the Netherlands vary according to several factors, including the profile of the person applying and the property itself. Additionally, if someone is able to put down a high upfront payment, they usually benefit from a lower interest rate. 

On top of this, there are various means by which you can reduce your mortgage interest rate in the Netherlands. This includes the National Mortgage Guarantee (NHG) scheme, which can bring your interest rate down by 0,50%, and the sustainability discount offered by banks, which can give you an interest rate discount of up to 0,15% if you are purchasing an energy-efficient home. 

As of 2025, the average mortgage interest rate in the Netherlands was somewhere between 4% and 5%. 

How much can I borrow?

In 2025, the maximum mortgage value in the Netherlands is up to 100% of the purchase price. This is the same as in 2024 and several years previously. In 2017, it was possible to borrow up to 101% of the purchase price. In 2016, you could borrow up to 102% of the purchase price. 

If you want to increase the sustainability of your house with energy-saving measures like insulation, heat pumps and solar panels, you can borrow up to 106% of the value of your house. 

Depending on your situation, a lender may consider it risky to offer such a large loan, and instead ask for a deposit of 10% or more of the property’s value. 

On top of this, you will have to cover some of the other costs of buying a house, like the closing fees and mortgage fees, with your own equity. 

The National Mortgage Guarantee (Nationale Hypotheek Garantie)

The National Mortgage Guarantee (Nationale Hypotheek Garantie or NHG) is a scheme in the Netherlands that offers a safety net for people taking the leap of buying a home. Essentially, it guarantees your mortgage, offering protection in case you become unable to pay off your mortgage due to something like losing a job, getting divorced, losing a partner, or becoming unable to work due to illness or disability. 

The National Institute for Family Finance in the Netherlands (NIBUD) has set criteria for responsible lending and borrowing, and all NHG-backed mortgages match these criteria, ensuring no one borrows more money than they can afford. However, should something unexpected happen, the NHG offers support. 

They will try to find solutions so that you can remain in your home, but if you are forced to sell your home, they will cover any discrepancy between the sale price and the mortgage debt. 

Choosing an NHG-backed mortgage will cost you 0,6% of the loan amount. However, to encourage you to take one out, lenders tend to offer lower interest rates if you opt for the NHG protection. 

National Mortgage Guarantee (NHG) limits 2025

In 2025, the National Mortgage Guarantee (NHG) covers properties with a maximum value of:

• 450.000 euros for properties without energy-saving features
• 461.100 euros for properties with energy-saving features

Online Dutch mortgage calculator

With this handy mortgage calculator (provided by Expat Mortgages), you can calculate the maximum Dutch mortgage amount that you can borrow.

Types of mortgages in the Netherlands

There are many types of mortgages to choose from in the Netherlands. The best mortgage for an expat depends on lifestyle and personal circumstances. With some Dutch mortgages, you have to start paying off the loan immediately, along with the interest, whereas other mortgage types allow you to postpone repayments and only pay the interest instead.

Annuities mortgage (annuïteitenhypotheek)

One of the most popular types of mortgages in the Netherlands, an annuities mortgage (annuïteitenhypotheek) is a fixed-rate loan that covers a period of up to 30 years. Your monthly mortgage repayment remains the same throughout this term.

In the early years of an annuities mortgage, your monthly repayments are mostly interest, with a small part going towards repaying the loan. Over time, as you gradually decrease your debt, the amount of interest you pay also decreases. Towards the end of the mortgage period, the balance reverses, meaning you pay lower interest payments and higher loan repayments.

Linear mortgage (lineaire hypotheek)

With a linear mortgage you repay a fixed amount every month, plus the interest. As your debt goes down each month, so does the interest, and so over time your monthly repayments gradually reduce. A linear mortgage is useful when you want to pay off your mortgage as quickly as possible, although the initial repayments are relatively high.

Only linear and annuity mortgages are eligible for the interest tax deduction. 

Other Dutch mortgage models

Alternative Dutch mortgage models are mainly variations on annuities and linear mortgages. However, if you take out one of these mortgage forms, you may no longer be entitled to mortgage tax relief.

Interest-only mortgage (aflossingsvrije hypotheek)

With an interest-only mortgage, you make no repayments on the loan, instead you just pay interest on a monthly basis. Banks only permit this kind of mortgage under certain circumstances, and you will need to repay the capital at a later date from savings or investment accounts.

Credit mortgage (krediethypotheek)

A credit mortgage loan is a flexible mortgage. Similar to a normal bank account, you can withdraw and deposit money. You pay monthly interest on the amount you borrow, which depends on the value of your house.

Investment mortgage (beleggingshypotheek)

With an investment account mortgage, you invest a certain amount into an investment or stock market account. This amount can be a lump sum or a monthly or annual premium.

Life insurance mortgage (levenhypotheek)

This mortgage combines a loan with a life insurance policy. You pay a monthly or an annual premium for life insurance, plus interest on the loan. Over the mortgage term, you do not pay off your debt but it is redeemed at the end of the term via the life insurance. There is also a guaranteed version of this mortgage with a guaranteed return that enables you to repay the loan at the end of the term.

Savings mortgage (spaarhypotheek)

This type of mortgage offers a high level of security by linking a savings account to your mortgage. You pay interest monthly and, instead of repayments, you deposit money into the linked savings account with a fixed interest rate that is equal to your mortgage interest rate. At the end of the mortgage term, you repay the mortgage from the savings account.

Hybrid mortgage (hybride hypotheek)

A combination of interest-only, savings and investment mortgages, the hybrid mortgage sees you make interest payments, but you have flexibility in how you generate the capital to repay the loan. During the course of the mortgage term, you can switch between saving and investing, taking advantage of low-interest rates and investment opportunities, or seeking less risk in a savings account.

Bouwdepot

Are you looking to renovate your home in the Netherlands? A bouwdepot (construction fund) is a loan alongside your mortgage, specifically intended to help you renovate your house. You can apply for a bouwdepot when you apply for a mortgage.

The Dutch mortgage process in 8 steps

The mortgage process in the Netherlands can be confusing, which is why we have created this useful checklist that explains the Dutch mortgage process in eight steps:

1. Check what you can afford

Before you start house-hunting, you should have a consultation with a mortgage provider or advisor to define your budget and ascertain whether you meet the requirements for taking out a mortgage. This will give you a good idea of how much you can afford. 

2. Start house-hunting

Armed with a realistic estimate of how much you can afford to offer on a property, you can start your search, either independently or with a real estate agent. Make sure you choose a building in good condition, within your budget and in the right location.

3. Make an offer

If you find somewhere you like, you’ll usually submit an offer within a few days (or sometimes less). The housing market moves fast in the Netherlands, so if you find your dream home you’ll want to act quickly to secure it. If your offer is accepted, you will meet the vendor at a notary’s office to sign the purchase agreement (koopovereenkomst). 

You may also be required to pay a deposit to the notary within a few weeks of signing. This can be a money transfer of 10 percent (or more) of the purchase price, or it can also be a bank guarantee (often arranged by your mortgage broker or bank). 

It’s a good idea to ensure that there is a clause that the agreement is non-binding if you can’t get the funding - although an increasing number of people are now choosing to scrap this clause with the aim of getting an edge over the competition. You’ll also want to define the settlement period, usually between 30 to 60 days.

4. Apply for your mortgage

Next you will need to submit your mortgage provider, along with all the necessary personal and property documents. Your application will be processed, and you should receive a response within a few working days. 

You’ll need to prepare quite a lot of documentation to submit with your application, to prove that you meet the requirements. This includes: 

• A form of ID like a passport
• Your BSN number
• Your residence permit (if applicable)
• Your contract of employment (with a declaration from your employer, if required)
• Confirmation that you receive the 30% ruling (if applicable)
• Your three most recent payslips
• An overview of all your assets and savings
• An overview of all your debts and other loans

If you are self-employed, you may also be required to submit your three most recent tax returns. 

You may also need to provide documentation about the house, such as a land registry extract, property valuation, and floor plan. 

5. Attend the settlement appointment 

After your mortgage application has been approved, you need to attend a settlement appointment at the notary to sign the property transfer deed with the vendor and the mortgage deed with the bank. The notary then handles the transfer of the money (your deposit, plus the loan from the bank), and the property finally becomes yours!

6. Pay your closing costs

At this point, you’ll have to settle your final closing costs. Your notary may bring together the different fees and allow you to pay them all at once (or in installments), or alternatively you’ll need to settle the bill with the individual organisations and authorities. You need to pay these fees from your own equity. 

7. Begin your monthly payments

Your first mortgage repayment will follow soon after, and then you’ll begin paying a regular amount each month. At this stage (if you didn’t already) you’ll want to take out home insurance and other kinds of insurance, possibly life insurance. 

8. Move in

Now that the property is yours, you can move in, set up your utilities, and enjoy your new home!