Mortgage Explanation Principles

The shortened mortgage calculation is a calculation of the maximum mortgage you can apply for, based on your income. For the purposes of this calculation, we assume that you:

• a permanent employment contract;
• do not have any debts;
• have never previously bought or owned a home;
• opt for a Budget Mortgage;
• opt for an annuity mortgage with a 30-year term;
• will get 0.20% client discount on the interest rate;
• opt for a fixed-rate period of 10 years;
• opt for an NHG mortgage, if the amount is below the NHG mortgage limit.

The detailed mortgage calculation gives you an idea of the mortgage you could get and how this will affect you financially. The calculation is based on your income, any debts or loans, ongoing financial commitments and the house you intend to buy. It does not take your entire financial situation and specific requirements for a home into account. These will be discussed when you are given mortgage advice. For the purposes of this calculation, we assume that you:

• opt for an ABN AMRO Budget Mortgage.
  • Your mortgage interest rate is 0.15% lower than that of a Home Mortgage. At present, the offer for a Budget Mortgage is valid for 12 months instead of the usual 6 months. This promotion will last until 31 December 2024. A Home Mortgage offer is always valid for 12 months. To find out more, read the pros and cons.
  • If you’re buying a new-build property, a Home Mortgage might be a better option for you. This is because you can never be quite sure when building work will start and finish, and the offer is always valid for 12 months.
•  opt for a fixed-rate period of 10 years.  The interest rate used for the calculation is always the current applicable interest rate. Up-to-date interest rates can be found on our website.
  • The calculation will change if you opt for a shorter or longer fixed-rate period. This could mean a change to your mortgage debt and monthly repayments.
• will get 0.20% client discount on the interest rate. You will get client discount if you meet the criteria. One of the criteria is that you have a bank account with ABN AMRO, or that you open an account for your salary payments.
• opt for an NHG mortgage, if the amount is below the NHG mortgage limit.

More about current mortgage interest rates

You can borrow up to a maximum of 100% of a property’s value. If you’re planning sustainable home improvements, you may be able to borrow a maximum of 106% of the property’s value.

As the buyer, you are responsible for paying the estate agent, the notary and the property transfer tax. These costs cannot be included in the mortgage.

More about purchasing costs

This calculation is not the same as advice (for tax or other purposes), it is merely a simplified illustration of your potential new mortgage. It is intended for information purposes only. Please contact a tax or mortgage adviser to discuss your personal situation.

Make an appointment with a mortgage advisor

The amount shown here is the net amount of your first monthly repayment. This is an estimate as we do not have the details of your financial situation. The monthly payment may increase slightly each month, as an annuity mortgage means that you gradually pay less interest. As a result, you will have less interest to deduct from your taxable income. The calculation takes account of your imputed income from home ownership based on an estimate of the value for the purposes of the Dutch Valuation of Immovable Property Act (‘WOZ-waarde’), the gross monthly interest and, if applicable, the lower interest amount you can deduct from your income if you pay tax in the highest bracket.