As a homeowner, you may find yourself in a situation where changes in your personal life could impact your mortgage.

For instance, you might be considering a move to a new neighbourhood or need a larger home. In such cases, it's important to know that you have the power to adjust your current mortgage to align with your new circumstances. This blog article overviews the most common scenarios when you can adjust your mortgage.

Adjusting your mortgage might be necessary for home renovations, often undertaken to enhance functionality and aesthetics. However, it's important to note that such renovations can significantly boost your property's value, making it a worthwhile investment.

Let's say you want to renovate your kitchen or change the bathroom but don't want to drain your savings. The most common alternative to finance these improvements is increasing/adjusting your mortgage. Contact our mortgage specialists for more information on which steps you need to take to adapt your existing mortgage.

Another common method of adjusting your mortgage is to refinance your current interest rate, aiming to reduce your monthly payments.

If you are locked into a higher rate than current market rates, taking advantage of favourable interest rates might be wise. Refinancing allows you to replace your existing mortgage with a new one that offers better terms and conditions. This could result in substantially lower monthly payments, allowing you to save for the future.

Another reason to adjust your current mortgage is to make additional mortgage repayments. Adjusting your mortgage can be advantageous if you aim to reduce monthly expenses, lower interest rates, minimize overall costs, decrease residual debt risk, or transition from an interest-only mortgage.

If you must leave the Netherlands permanently due to a new job, personal reasons, or other circumstances, you must decide whether to keep or sell your property. An option to sell a property and repay the debt is straightforward and clear.

However, if you want to rent out your property, you must refinance your mortgage from a residential to a buy-to-let mortgage. This option offers flexibility and can provide a source of income while allowing you to retain ownership of your property.

Buy-to-let mortgages typically have higher interest rates than residential mortgages, and interest payments do not offer tax benefits.

Additionally, to rent out your property, you must comply with property rental requirements. New regulations determine if you need a permit, the maximum rent you can charge, and tenant qualifications. Each municipality uses its point system to assess rental eligibility. For more information, contact our mortgage specialists.

There are several factors to consider when going through a divorce in the Netherlands and adjusting your mortgage. You have a few options if you and your ex-partner jointly own the home.

One option is to sell the house and use the proceeds to pay off the mortgage. Any remaining funds would be divided between you and your ex-partner according to your ownership shares.

Another option is for one partner to buy out the other's share of the property. This involves refinancing the mortgage in the name of the partner who will keep the home. They would then be responsible for making the mortgage payments on their own.

It's important to consult with a mortgage advisor or financial expert who can guide you through the process and help you make the best decision based on your financial goals.