Buying a property in the Netherlands is not just about finding and obtaining your dream home. In order to get a mortgage (hypotheek) you need to enter into a financial and legal agreement with a Dutch bank or institution. Here's what you need to know about getting a mortgage as an expat in the Netherlands.
Basic requirements for Dutch mortgages
For expats, banks require proof of income via a permanent employment contract and also a statement from your employer (werkgeversverklaring) giving details over your contract and income. If you have a temporary contract, or work for a Dutch university as a PhD student or researcher, then you also need to provide this statement from your employer or institution that your position is ongoing or will become permanent. Templates of the form can be found online. Remember that your statement still needs to be approved by your mortgage provider before your financing is guaranteed.
Mortgages for self-employed expats
It is more difficult for a self-employed person (ondernemer) to receive a mortgage than for an employee, because banks consider entrepreneurs to be riskier. Banks calculate your mortgage based on your net income of the last three years, for which you need to provide bank account records and income tax returns.
If you have been self-employed for more than three years then it will be easier to get a mortgage than if you have just started.
Mortgages for EU citizens
If you are an EU citizen (but not a Dutch national) banks may require you to fulfil some or all of the following conditions:
- You have lived in the Netherlands for five years.
- You have a residence permit.
- You are employed and financially independent.
- You may need to pay a deposit.
- Your mortgage may be limited to 90 per cent or less of the property value.
If you are able to provide a deposit then sometimes mortgage providers will not require you to have lived for 5 years in the Netherlands.
Mortgages for non-EU citizens
Applicants from outside the EU will have similar requirements as for EU citizens, although banks may be stricter in enforcing them. Your may also need to prove that your residence permit can be extended.