Close

Expat mortgages Amsterdam

Situated in the middle of the country, near one of the biggest airports in Europe, Amsterdam is an interesting city for companies to locate their business if they decide to open up a branch in the Netherlands. With its favourable Dutch tax conditions Amsterdam serves as an ideal location for foreign companies to set up their European headquarters. That also attracts a lot of expats that want to acquire property when to come over here. Dutch Umbrella Company knows everything on securing a mortgage when you want to buy a house as an expat in Amsterdam.

Expat mortgage requirements

Expats that want to secure a mortgage for their house in Amsterdam have no formal restrictions besides the normal requirements Dutch citizens are also faced with. That means that as an expat you have to provide the bank or mortgage broker with the following information for approval:

  • A proof income by issuing a permanent employment contract
  • An employer statement with information on your income and contract
  • A statement that your work is ongoing or will become permanent when you are currently working a temporary contract
  • Depending on the county of origin, some banks require that you already lived in the Netherlands for 5 years and are in the possession of a valid residence permit

For most expats, considering their job position and level of income, securing a mortgage for an Amsterdam apartment should be no problem. However the self-employed expat should be aware of the requirements for Amsterdam mortgages as bank consider their position to be more risky. Providing banks with your account records and income tax returns over the past three years is required before a mortgages can be granted.

Tax refund on expat mortgages

When you have bought property in Amsterdam, under Dutch tax law, you can claim a tax refund as interest on your mortgage is tax deductible. However, it is obligatory that during your stay as an expat you actually live in the property and not rent it. If you do so, the Dutch tax office will consider this as an investment which and the interest on your mortgage is not tax deductible. Another requirement to claim this tax exemption is that your mortgage is a capital repayment mortgage and not an interest-only mortgage.

Dutch Umbrella Company has vast experience in advising expats on their mortgages when they want to buy property in Amsterdam. We can help you with the application process with your bank or mortgage broker and sort out all necessary requirements in order to secure your mortgage. We will also make sure that you are aware of all the tax benefits that arise from being a house-owner in the Netherlands.