How does a Dutch mortgage work?
A mortgage (hypotheek) is a long-term loan for buying a home, with the property itself as security for the lender. You pay interest and, in most cases, repay the loan within thirty years.
Interest and repayment
Your monthly payment consists of interest on the outstanding debt and, for most modern mortgages, a repayment part. For new mortgages with interest deduction, the loan must be repaid in full within 30 years using an annuity or linear scheme.
The fixed-rate period
You choose how long the interest rate is fixed — for example 5, 10 or 20 years. A longer fixed-rate period gives more certainty; a shorter one is often cheaper at the start but carries more risk when rates change.
What determines the amount you can borrow
- Your income and that of your partner, plus the type of employment contract.
- Existing financial obligations such as loans or study debt.
- The value of the home: normally you can borrow up to 100% of the market value.
- Your own savings, which you need for the buyer's costs.
Good to know
Options differ per personal situation and per lender. Always have your situation assessed personally.
Frequently asked questions
- How long does a mortgage last?
- Usually 30 years. The fixed-rate period within that term can be shorter and is chosen separately.
- Do I need savings to buy a home?
- Yes. The purchase costs (kosten koper) cannot be financed with the mortgage, so you pay them from your own money.
Last updated: 27 August 2026