As a Dutch person borrowing money in Belgium ‘Although some claim that it is easy, you cannot just send an email or request a quote and then assume that the loan is within reach. Read my previous article which condition you must meet.
Value property in Belgium
In the Netherlands, the value of a home is calculated completely differently than in Belgium. Dutch mortgage providers assume the foreclosure value of your property.
In Belgium, the value of a residence is determined by the location of the property and the interest of other potential buyers. By comparing properties with each other, you know how much your property can be worth under normal sales conditions (voluntary sale).
Apply for a mortgage in Belgium as a Dutch citizen
In this article I am going to give you a little more guidance on ‘As a Dutch citizen applying for a mortgage in Belgium’. Here too you must meet a number of conditions. Nevertheless, the advantages of a mortgage in Belgium outweigh the disadvantages. It is therefore worthwhile to decide for yourself whether you want to make that decision.
When you take out a mortgage in Belgium, you most likely have a house in Belgium in mind. As a Dutchman you can then choose to take out a mortgage in Belgium or in the Netherlands. That is because your domicile will be located in Belgium, so that the Belgian banks will always be able to find you. For example, if you are still working in the Netherlands, Dutch laws will apply and Dutch lenders will offer you a loan more quickly.
Advantages and disadvantages of a Belgian mortgage
House prices are still cheaper in Belgium than in the Netherlands. On the other hand, the real estate market in Belgium is more stable than in the Netherlands. This is due to the various premiums that were previously offered by the Flemish government: renovation premiums, mortgage interest deduction, green energy certificates for solar panels, etc., as a result of which people continued to invest in real estate.
In the meantime, that has changed somewhat. This year, as a Belgian, you can still enjoy the full deduction of the housing bonus. This will change from 2015. In addition, the number of renovation premiums has fallen enormously. However, you can enjoy a 6% VAT rate for certain renovation works.