Do you qualify for a mortgage in the Netherlands?

Did you know that when buying a home in the Netherlands, you don’t need to have a permanent employment contract to qualify for a mortgage? Hendrik Schakel from Viisi Mortgages explains more.

It is often thought that you need to have a permanent work contract to be able to apply for a mortgage in the Netherlands. This isn't always the case. If you have a temporary employment contract or have been self-employed for at least a whole year, you might very well qualify for a Dutch mortgage!

Mortgage conditions

Most banks in the Netherlands will require proof of income in order to approve your mortgage application. They will want to see permanent employment contracts along with a statement from your employer (werkgeversverklaring).

But mortgages are not exclusively for those with a permanent contract! If you have a temporary contract, or are employed at a Dutch university as a PhD student / researcher, you may also be eligible for a mortgage. However, you must provide an employer’s statement, which shows that your position is ongoing or will become permanent in the future.

Even if you are self-employed for at least one full year, you can qualify for a mortgage. Depending on what you do, and what kind of work you did before starting your own company, that income will be taken into account. As a rule of thumb, after being self-employed, the average income of the past three years will be the base for calculating what the maximum mortgage amount is.  

Are interest rates non-negotiable in the Netherlands?

When it comes to interest rates, everyone in the Netherlands has the same options for the same mortgage product. Further, it is prohibited to negotiate on the interest rate of your mortgage product and mortgage providers cannot differentiate on the conditions of your mortgage.

Are the Dutch rules on lending amounts set?

The amount that you can borrow is not mortgage provider-dependent. The Dutch government decides the maximum amount you can borrow based on your income and other assets.

What to expect from mortgage advisors

Taking out a mortgage is a huge financial decision that should not be taken lightly. Consulting a mortgage advisor can help you sort out any questions or concerns that you have when considering a mortgage.

Mortgage advisors can address many topics, including:

• The current state of the property market - is this the right time to purchase real estate?
• What do the rules for calculating the maximum mortgage amount look like and how can you apply them in your situation?
• How can you prepare for making the winning offer?
• What options do you have for selecting the best mortgage for you as an expat?
• Learn the insider tips on preparing for the home-buying journey, from understanding the Dutch market to maximising your mortgage potential

Arranging a mortgage does not have to be difficult at all! Consulting a mortgage advisor ensures that you are making the best decision for your unique situation.

Find the best mortgage for you

Now you are more informed about mortgages in the Netherlands. Do you have any further questions about the process? Contact a mortgage advisor in your area to discuss your options.

Viisi Expats is a leading mortgage advisory service in the Netherlands, specialising in providing comprehensive guidance to expats seeking to buy property.