You may need to leave the Netherlands for various reasons—it is a big decision, and it's important to understand what to do with your mortgage and property if you leave the country.

Should you sell it or rent it out? Or would investing in property abroad be a better choice? Together with the team Expat Letting Network , we guide you through the options.

Mortgage options:

Sell your home and repay your mortgage.
Refinance to a keep-to-let mortgage.

Property options:

Property management

Sell and pay off your mortgage

When considering selling your property, one of the initial thoughts is to repay your existing mortgage, which is a common practice in the Netherlands. Before proceeding, it's important to determine your outstanding mortgage balance and get your property ready for sale. Your asking price should equal your mortgage balance to ensure full repayment.

If you sell the property for a lower price and cannot repay your mortgage, you must use your funds to repay the mortgage.

If you manage to sell a property and get a profit from equity, you do not need to pay any capital tax because there is no capital gains tax for private individuals in the Netherlands.

The following steps to take in this journey:

Determine the right time to sell: think about how quickly you need to sell a property. Also, think about market trends: buyer vs. seller market.
Hiring a real estate agent: assists you in managing the listing process, conducting showings, and navigating negotiations to achieve your property's highest possible sale price.
Listing price and negotiation: determine the right listing price for your home. Consider the current housing market and comparable sales in the area. Once you receive an offer from a buyer, your real estate agent will help you negotiate the terms of the sale.
Closing: The closing process typically involves a lot of paperwork and formalities, but the notary will ensure everything is done correctly. The notary will also ensure that the remaining mortgage amount is paid off with the proceeds of the sale.

Want to know more about how to sell your home? You can read more in our article: Ultimate Guide to Selling a Home in the Netherlands, or contact us for personalized advice.

Keep property for rent

If selling and repaying your mortgage is not an option: refinance your mortgage to keep to let mortgage. In this case, you can rent your property.

Where to start?

The first step is to get in contact with a mortgage specialist. There are various factors to consider, such as additional homeowner's insurance, utility bills, property taxes, and other expenses that come with owning the investment property.

It's important to be aware that mortgage rates for buy-to-let properties tend to be 1% higher compared to residential mortgages, and the interest payments do not offer any tax benefits.

Besides, not all mortgage lenders offer keep-to-let products. The Mister Mortgage team works with eight mortgage lenders that provide keep-to-let products, and we can find the best interest rate for your situation. Contact us to learn more about your mortgage options.

Rules and Regulations

First, you must examine the rules and regulations to determine whether you can rent your property.

How much rent can you charge?
Do you or the tenant need a permit to rent or live on the property?
Who qualifies as a tenant?

All municipalities have a point-based system to determine if you can rent a property. The point-based system differs per area, for example:

Property Size.
WOZ value of the property.
Energy efficiency.
Luxury fittings can also add additional points to the property.

You can get a preliminary point counting via the huurcommissie website. Please note that each municipality has different requirements, and you may need a certain permit depending on what bracket your property fits in.

Properties with a value over 149 points are unregulated. Therefore there are no restrictions on who can live in the property and how much rent the landlord can charge. Additionally, depending on the property type, there may be a limitation and how many tenants you may have residing there. For example, some municipalities require a special permit to rent your property to more than two households, typically for property sharing.

Prepare your property for rent

Ensuring your property is top-notch before showcasing it to potential tenants is highly advisable. Expat Letting Network strongly believes that presenting your property in excellent condition is important in attracting responsible tenants who treat it with the same care and consideration as if it were their own. The preparation for rental may include making any necessary repairs, painting, cleaning, and staging the property.

Where to start?

To begin the process, we recommend contacting us for personalized guidance. We understand that navigating the rental market and adhering to local rules and regulations can be overwhelming. Our team ensures you are fully prepared to list your property for rent. Please don't hesitate to contact us for assistance.

We advise on the necessary actions on how to prepare your property for rent or how you can maximize your rent while staying compliant. For example: to rent property furnished or unfurnished.
Advertise your property. We take photos and publish them on reputable online platforms. We have a network of companies and agents we work closely with and potential tenants.
Viewings and Screenings of potential tenants. We schedule the viewings, welcome candidates to your property, and screen them before sharing the best offers with you.
It's important to screen potential tenants thoroughly to ensure they are responsible and reliable. We check for references and conduct a background check on your chosen tenant.
Draft a tenancy agreement. Once you find a tenant, you will need a tenancy agreement that outlines the rental terms, such as the rent amount, payment due date, length of the lease, and any special conditions. We will draft the rental contract and ensure all is signed and paid before we complete the handover and inspection.

Property management

Being available to address any maintenance or repair issues during your tenants' stay is critical. You can either manage the property yourself or allow us to take care of it for you. By availing our property management service, we will ensure that rent is paid on time and serve as the primary point of contact and manager for any property-related incidents. This is an excellent alternative for those needing more time or expertise to manage the property or residing far from the rental property.

For more information, please get in touch with the Mister Mortgage team. We help you to refinance your residential mortgage to keep to let mortgage. Our partners, Expat Letting Network, provide top-notch property and tenancy management services. Don't wait; reach out to us today for more information!