How cultural differences make buying a house challenging for expats

Internationals trying to buy a home in the Netherlands come from many different cultures, and they all have different assumptions about what is possible. Someone from Russia, for example, may have a very different approach than someone from Britain or Nigeria.

If you don’t fit the standard profile of a home buyer, for example, if you're paid in a foreign currency or already own property abroad, you might think buying a house in the Netherlands is not an option. But that is just one of the many preconceptions about the Dutch mortgage market. 

That’s why it’s so important that your mortgage advisors get to know you properly, your background, your finances and your goals, before you even begin the mortgage process.

Personal interview

A good mortgage advisor, who is used to working with expats and understands their unique position, should always start with an in-depth personal interview to find out more about their clients. Only when they understand what makes you tick can they put together a thorough and tailored financial plan.

Many buyers, for instance, wrongly assume they need to put down a large deposit, as is common in countries such as Germany. Others believe they must have a permanent contract, or that their partner living abroad will complicate the process.

Another common concern is whether someone can buy property in their own name without their partner’s consent. The answer to this lies in where you got married: What does your marriage contract say? Can you act independently? Once the facts are known, you can work through cultural and legal differences before the bank starts asking questions.

These are extremely common worries that expats have, stemming from the differences in how buying property works in their home country versus the Netherlands. These are exactly the types of questions that can be addressed in that first meeting. It's essential to identify possible obstacles early so that they can be tackled upfront. It’s all about preparation.

Book an appointment with a Wouters & Van der Velde advisor today

Prepare to succeed

With the Dutch housing market under pressure, being well-prepared is essential. Before you start viewing properties, you need to know how much you can borrow and how quickly you can act.
It can sometimes feel like the best time to make an appointment was yesterday, but now is the next best time. The market moves fast. You need to be ready to go as soon as you find the right home.

Buyers also need to consider what type of mortgage to choose, how long to fix the interest rate and whether a future international posting could affect their situation. These are tricky questions that you will want guidance on.

Make sure your mortgage advisors are independent and not working on commission from a bank or insurer. That way, their focus is on you and your financial needs, not on selling services. Companies that charge either an hourly rate or a fixed fee are going to give you the best advice.

Never assume

The most important thing to remember is that without doing your research, you don't actually know anything. Even things that may seem like completely unchangeable features of buying a house, such as requiring a large deposit, can be different in the Netherlands. 

Get a mortgage advisor that you trust, and don't be afraid to ask what might seem like silly questions. The answer might surprise you.