Mortgage adviser vs bank. Which is better?

Whether you are planning to buy your first apartment, refinance or invest, you may not be aware of all your financing possibilities in the Netherlands. You’d be surprised to find out how many kinds of mortgage lenders there are in this country.

Dutch banks share the mortgage market with non-banking companies. For example, you can get a mortgage from a bank, pension fund, or insurance company. Yet, it’s good to keep in mind that most of the mortgage lenders work only with mortgage brokers.

So, how can you get the best mortgage offer that fits your financial goals? Should you choose a mortgage adviser or work directly with the bank? This article highlights the benefits of choosing a mortgage broker over a bank.

Bank vs. mortgage advisers in the Netherlands

If you aim for the best possible outcome, you should work with a mortgage broker. First and foremost, your mortgage broker will help you identify the best possible options based on your financial situation.

Secondly, your mortgage adviser manages your Dutch mortgage process for you, from start to finish. Besides, mortgage brokers have more time to explain the numbers behind your choices and advise you on how to improve your financial situation. If you decide to work with a mortgage broker, you can be sure you’ll get the best solution for your unique financial situation.

Dutch mortgage advisers work with multiple mortgage lenders, while the banks only represent themselves. A bank might offer a better rate to attract more customers, however, you cannot be sure you will get the deal. Imagine your bank rejecting your mortgage application. At this stage, you will have to start all over again. Mortgage brokers have more available options to choose from since they work with more than 25 mortgage lenders in the Netherlands. 

Here is a handy list of expat-friendly mortgage lenders in the Netherlands:

• ABN AMRO Bank
• Rabobank
• Nationale Nederlanden
• Obvion
• NIBC
• Florius
• A.S.R.
• Lloyds Bank

Risks of not getting advice

A decision to work without professional help can involve a great deal of risk. First, your mortgage process takes longer as you have to complete all the mortgage steps by yourself.

The most common problem when applying for a mortgage without any help is inaccurate financial information, which often leads to higher expenses in the long run. Besides, your pre-selected mortgage lender has the right to reject your mortgage application.

If you have difficulties with your request or you do not understand the requirements, the best possible solution is to contact a mortgage broker. Mortgage advisers have an in-depth knowledge of regulations and the housing market in the Netherlands. There is always a solution, no matter how difficult your situation is.

How to choose your financial adviser in the Netherlands?

Are you planning to purchase a property in the Netherlands and looking for a mortgage adviser? It is not difficult to find an English-speaking mortgage broker in Amsterdam; however, it is hard to select the right one.

Here is our “how to choose a mortgage adviser” checklist:

• Visit the website to find out if the mortgage broker offers the product you’re looking for.
• Book a phone or video consultation. Most of the mortgage advisors in the Netherlands offer a free consultation. Feel free to check all your options to find the best solution for you.
• Ask your network for recommendations.
• Make sure your mortgage adviser works with different types of mortgages (first-time buyers or buy to let mortgages).
• Research what additional services your mortgage broker offers. For example, translated documents, access to their trusted network (notaries, real estate agents or tax advisers).