Cheaper mortgage with National Mortgage Guarantee 2023

The national mortgage guarantee 2022 and 2023 makes your mortgage cheaper and increases significantly. In addition, the premium will decrease. That is why many mortgages are taken out with this mortgage guarantee. Under certain conditions, the NHG also provides guarantees for the cancellation of any residual debt when you sell your house, even if you divorce. This housing costs facility is a major advantage, so if possible, take a mortgage with the NHG guarantee. But there are also questions. Does this warranty also apply, for example, to a holiday home or holiday home and what does that mean for the purchase costs? What is the maximum permitted purchase price in 2023?

Contents

  • More mortgage options are available for dual-income couples
  • NHG limit 2022 and 2023
  • National Mortgage Guarantee 2022 and 2023 up, premium down
  • Main residence as a requirement for NHG
  • Mortgage for a holiday home or houseboat
  • Benefits of the NHG
  • National mortgage guarantee and refinancing the mortgage
  • NHG and a renovation
  • The NHG and homeowners with payment arrears
  • The NHG and foreclosure value of the home
  • NHG and residual debt upon sale – debt cancellation through WLF housing costs facility, also in the event of divorce
  • NHG and consequences of a forced sale
  • Conclusion cheaper mortgage with the national mortgage guarantee 2022 and 2023

More mortgage options are available for dual-income couples

It is good to know that dual-income couples with a low income will be able to borrow more for a house with the National Mortgage Guarantee in 2022 and 2023. After all, anyone who borrows with the support of the NHG pays a lower interest rate and therefore has more money to spend. At the same time, it must be said that the government is making borrowing a bit more difficult. In 2022, top mortgages will only be granted up to 100% of the value of the home. So you will need to bring some of your own money, because the notary and transfer tax also have to be paid.

NHG limit 2022 and 2023

We have been dealing with a different NHG limit for years in a row. The NHG limit is the maximum value for which the National Mortgage Guarantee can be given. If a bank can lend money to someone with the mortgage guarantee, this is certainly the bank’s preference. You also get a cheaper mortgage interest rate with the National Mortgage Guarantee. Exactly how much you can borrow also depends on your income and the assessment at the BKR in Tiel.

National Mortgage Guarantee 2022 and 2023 up, premium down

A mortgage with a National Mortgage Guarantee is possible if you have an annuity mortgage with monthly repayments. This also applies to an existing mortgage if you move: you cannot simply take your guarantee with you to the new home. Without NHG your mortgage will be more expensive. The NHG limit (maximum purchase price) is increased annually:

  • As of January 1, 2020: 310,000.
  • As of January 1, 2021: 325,000.
  • As of January 1, 2022, 376,300.
  • As of January 1, 2023, 405,000.

Because a mortgage up to 100% of the market value is allowed in 2022 and 2023, this includes a maximum mortgage of 291,400. There are some additional costs such as transfer tax and notary costs. The premium you pay for the National Mortgage Guarantee is 0.7%.

Main residence as a requirement for NHG

The most important requirement is that the home you buy is also your main residence. If the house is not your main residence, the mortgage interest is also not deductible and the housing costs are a lot higher. Recreational homes and mobile homes are not eligible for the national mortgage guarantee. Neither do houseboats. For holiday homes and holiday homes, other aspects of the home are often also considered in order to obtain a mortgage.

Mortgage for a holiday home or houseboat

The maximum mortgage on a holiday home or holiday home is also lower. Important requirements for a mortgage are:

  1. The holiday home or holiday home must be on private land and free from leasehold.
  2. For a holiday home, the maximum term of a mortgage is standard 20 years.
  3. The valuation report must show that the house is a non-movable holiday home with kitchen, heating, bathroom and toilet. This is to enable normal use of the home.
  4. Special attention is paid to the building materials used, which determine the value.

Benefits of the NHG

The popularity of the national mortgage guarantee is increasing. Some advantages of the NHG are:

  • The Home Ownership Guarantee Fund guarantees through the NHG that you will not be left with a residual debt.
  • The NHG means a lower mortgage interest rate for you.

National mortgage guarantee and refinancing the mortgage

Anyone who wants to transfer their mortgage to a mortgage with the guarantee must first consider what that means for them financially. The mortgage interest rate is up to 0.6% lower than without a guarantee. If you are refinancing, you may sometimes have to pay penalty interest when refinancing a mortgage. All costs you incur to obtain the warranty are tax deductible.

NHG and a renovation

The NHG may also apply after a renovation, major maintenance or insulation, but only for the added value you achieve with your renovation. Consider measures such as:

  • An HR boiler;
  • Solar panels;
  • Cavity wall insulation;
  • Heat pump;
  • HR++ glazing;
  • Roof insulation or floor insulation

When renovating with a National Mortgage Guarantee, a number of requirements must be met. Some requirements to obtain NHG:

  • You remain within the maximum NHG cost limit for the home.
  • It is a renovation or improvement that increases the value of the house. There must be added value.
  • There is a declaration of renovation or quality improvement: appraisal report, a construction report or a specification drawn up by yourself.
  • There is a deposit relief at the bank if the amount for improvement is higher than 2,500 euros.

The NHG and homeowners with payment arrears

The National Mortgage Guarantee will help homeowners with payment arrears. Anyone who has an NHG and can no longer pay their mortgage payments due to dismissal or divorce may have their payment arrears increase to a maximum of 9 percent of the mortgage sum. The Own Home Guarantee Fund, WEW, guarantees this.

The NHG and foreclosure value of the home

The NHG requires that the lender maintains a file, including:

  • All data and documents;
  • In the event of a forced private sale and private foreclosure of the home, a report from an appraiser stating the market value of the home free of rent and use of the home and the foreclosure value free of rent and use of the property.
  • home.

NHG and residual debt upon sale – debt cancellation through WLF housing costs facility, also in the event of divorce

The guarantee regarding the residual debt is also very important. With the National Mortgage Guarantee, the residual debt can be waived if:

  • You have a mortgage with the NHG.
  • You cannot pay the residual debt yourself.
  • You have done everything to limit and prevent payment arrears.
  • You were obliged to sell the house.
  • The mortgage lender gives permission to sell the home.
  • The house was sold with the help of a real estate agent.
  • You leave your home neat and tidy.
  • There is dismissal, divorce or death of the partner.

NHG and consequences of a forced sale

A forced sale of the home is no fun. Moreover, such a foreclosure sale of the house yields less money. Then consider the following:

  • Contact your bank or mortgage provider in a timely manner to see what solution is available. A longer mortgage term can often make a big difference.
  • Try to sell with a good real estate agent yourself, because that will yield more.

Requirements have been tightened for both new and old contracts. The NHG will be less likely to judge that you were financially obliged to sell the house with a residual debt. A divorce alone is insufficient, because even then the judgment may be that the house does not necessarily have to be sold. If you do, the National Mortgage Guarantee will not pay out. The NHG is then of the opinion that a residual debt could have been prevented. You must have done everything you can financially to prevent a sale, the house must not be affordable for either of you and the house must be well maintained so that there is no additional depreciation through your actions.

Conclusion cheaper mortgage with the national mortgage guarantee 2022 and 2023

Get good advice to see whether a mortgage with the National Mortgage Guarantee is something for you. It can also be examined whether the NHG is a good solution for a renovation. Consider financing the purchase costs and the backup for any residual debt if you are ever forced to sell your house. Term life insurance may be mandatory.

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