48 • Te x t Romy Lange • Photography Davien Hulsman • 49
When applying for a mortgage, independent contractors, expats and people with highly variable salaries are subject to different
rules from those in regularly paid employment. De Kredieter is a mortgage broker that has been based in the WTC for over 20 years,
arranging affordable mortgages with reputable lenders, which include these particular target groups. Ronald Bieger, financial adviser
at De Kredieter, explains the special rules and conditions.
De Kredieter
DIFFERENT MORTGAGE
RULES FOR INDEPENDENT
CONTRACTORS, EXPATS
AND VARIABLE EARNERS
INDEPENDENT CONTR ACTORS
According to Ronald, many independent contractors
work under the misconception that they don’t qualify
for a mortgage, when in fact a growing number of
lenders do cater for this clientele. ‘Even with the huge
increase of independent contractors in recent years,
especially in Amsterdam, the banking sector has
hardly changed’, Ronald says. ‘Lenders have jumped
in to fill the gap. Business owners who are able to
come up with figures for a full financial year and good
earnings have an excellent chance of being approved
for a mortgage, and we can help. The more business
figures to substantiate an applicant’s request we
receive, the better. A client’s own accountant or
bookkeeper can also assist with that. Please note
that not all contractors can offer this ser vice.’VARIABLE INCOME
People in paid employment whose salar y fluctuates
significantly are also assessed differently by
mortgage lenders. ‘Banks are reluctant to over-
finance clients, so they have to establish whether
that variable income is a structural occurrence’,
Ronald continues. ‘This mostly concerns an income
consisting of earned bonuses and commissions.
Bonuses depend on the volume of business;
commissions depend on personal performance.
Commissions can always be stated on the mortgage
application, whereas bonuses are averaged over the
most recent three years. So that’s a key difference.’EX PATS
De Kredieter receives a large number of referrals
through the Expat Center and Expat Help, both of
which assist expats with finding housing, among
other things. From experience, Ronald knows that
‘After a year or thereabouts, most expats want to
switch from renting to buying a house. The rent is
often higher than the mortgage costs, because of
the low interest rates at the moment. That’s where
we come in. Estate agents also refer lots of expats to
us. The rules for expats are different as well. Because
they pay lower income taxes in the Netherlands,
they can afford a larger down payment, which
makes them an interesting target group for lenders.
On the other hand, they’ve also built up less state
pension in the Netherlands, so that has to be
factored into the calculation as well. Procuring loans
for expats from outside the EU tends to be trickier.
They often have to invest a greater amount of their
own money.’NEW RULES
From 2018, mortgage lenders will be subject to
new rules. ‘In the past, mortgages also covered the
closing costs for the buyer, which include real estate
transfer tax and notar y fees, but that’s about to
change ’, Ronald explains. ‘As from next year, loans
will be capped at 100% of the purchase price. The
only exception to this rule is the remodelling work
that adds value to the home.’DE KREDIETER
WTC Central Hall
next to tower A
Strawinskylaan 17
1077 XW Amsterdam
+31 (0)20 - 575 33 20
[email protected]
http://www.kredieter.nlRONALD BIEGER