Dutch mortgage terms

You live in the Netherlands as, for example, an expat. Having a high income and probably is starting a new family. Therefore, you plan to buy a house, and take out a mortgage. Unfortunately, you are not familiar with all these dutch terms of mortgage arrangement.

Find here the Mortgage Dutch terms explained in English

First step is to find your mortgage advisor. Or make a calculation of your maximum mortgage, they will contact you soon.

Mortgage terms
Aankoopkosten (Purchase costs)
There are several additional costs associated with the purchase of a house. These one-time costs are called purchase costs. Afsluitkosten (Closing cost)
"Afsluitkosten" refers to the closing costs associated with taking out a mortgage. These costs include commissions, appraisal fees, notary fees, and fees for applying for a National Mortgage Guarantee (NHG). Bankgarantie (Bank guarantee)
When buying a house you will be asked for a bank guarantee. The bank guarantee is a guarantee that you, as the buyer of a house, must give to the civil-law notary. Belastingaftrek (Tax deductions)
The government has various tax measures that are favorable to homeowners with a mortgage. Betalingstermijn (Term of payment)
The payment term is the periodic term in which you pay the interest, premium and possibly also the repayment. Boeterente (Penalty interest)
Lenders charge a penalty if the mortgage is repaid earlier than agreed in the mortgage deed, for example when refinancing. With the penalty interest, the lender compensates for the lost income from the mortgage. Bouwfinanciering (Construction finance)
Construction financing is the way in which you can finance a new building. Bruto jaarinkomen (Gross annual income)
The gross annual income (or gross annual salary) is the income before deductions. Read what is included in the gross annual salary. We also provide a handy rule of thumb to calculate this. Bruto maandlast hypotheek (Gross monthly mortgage payment)
Gross means 'without deduction'. The gross monthly payment for a mortgage is the amount that is paid monthly without mortgage interest deduction without tax settlement. Eigen geld (Own money)
You can use this capital to finance your house. This capital is called equity. Own money offers on the one hand the possibility to borrow less