Business · Economy · 1 hr ago
About 950,000 Dutch homeowners face higher mortgage costs
About 950,000 Dutch homeowners may pay more for their mortgages in the coming years, according to the Dutch central bank.
The increase affects people with variable rates or mortgages whose fixed-rate periods are ending.
Mortgage rates have risen from an average of 1.6% five years ago to about 4% now, while people with longer fixed-rate deals keep their current payments until those deals end.
Rates on about one-fifth of Dutch mortgage debt could change before 2029.
The average extra cost is estimated at €150 a month before tax relief, though some households could pay up to €300 more and others about €50.
Tax deductions reduce the actual increase, depending on each household's circumstances.
The central bank does not expect widespread financial trouble, partly because many households have more money to spend than before.
More Dutch homeowners are expected to face higher monthly mortgage payments in the coming years.
De Nederlandsche Bank (DNB) reported the trend based on mortgage data from banks.
DNB estimates that one million Dutch households will see payments rise by an average of 150 euros.
The increase is linked to rising mortgage interest rates.
- Who
- Dutch homeowners, including an estimated one million households.
- What
- Many are expected to face higher monthly mortgage payments.
- When
- In the coming years.
- Where
- The Netherlands.
- Why
- Mortgage interest rates are rising.
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- Households
- One million
- Average increase
- 150 euros
- Country
- The Netherlands
- Source of data
- Mortgage data from banks