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Process of buying and financing a real estate property in the Netherlands.

Step:

1. What can we afford?
2. Looking for a suitable property.
3. The first impression.
4. Now it's getting serious.
5. Big Bucks!
6. Contract signing. (Your signature please)
7. What have I bought?
8. Money again.
9. Paperwork, paperwork, paperwork!
10. You're signature again please.
11. Waiting......
12. The first money.
13. Last check.
14. Getting the keys.
15. Your own Dutch Castle

 
Step 1: WHAT CAN WE AFFORD?
The first thing we have to do is, get an insight in your personal situation and the maximum mortgage amount you can get. So we need to get some information about you and, if applicable, your partner. This information contains:
• Your (and your partners) nationality. This can be determined by giving us a copy of your (and your partners) passport, and if applicable a copy of your Dutch or EU residence permit.
• Your gross salary. If you give us your (and your partners) pay slip, or if you don’t have a pay slip yet a copy of your labour contract, we can determine this.
• If you and/or your partner already have registered credits, we need to be notified, because this can influence the mortgage amount the mortgage provider is willing to provide.
• And we need to know if you and/or your partner can apply for the 30 percent ruling.
With all this information we can get an answer to the first question: what can we afford? To get started fill in the mortgage enquiry now.
 
Step 2: LOOKING FOR SUITABLE PROPERTY
Now we know what you can afford, it is time to start the search for a nice property that meets your wishes. There are actually 2 ways to conduct this search. You can hire a real estate agent (which normally count a fee of approximately 1.6% to 2.0% of the final bought properties price) or simply do the search yourself using the internet. Perfect websites to search your future home are:
www.MyDutchCastle.nl (MyDutchCastle is a free service of H&N Associates to assist expats while settling in The Netherlands.)
www.funda.nl
www.jaap.nl
These sites contain most of the properties in the market. If you need assistance during the negotiation process and buying process just call us and we’re willing and able to help.

Step 3: THE FIRST IMPRESSION
When you’ve found a property you might want to call your future home, you can contact the selling real estate agent to make an appointment for the first viewing. During this first viewing you’re able to get a first impression and get a feel of the house. Normally this first viewing is done on your own. On your request we can accompany you on this first visit.
 
Step 4: NOW IT'S GETTING SERIOUS
If the house feels like home and meets your wishes, we will make a second visit together. Now we are going to check if, from an objective point of view, the location, price and quality are in good balance with your personal wishes and future goals.
 
Step 5: BIG BUCKS!
Once you’ve decided after the second visit that it is a go, we can start the negotiations. Normally this takes a few days. The bid/offer letter, and later the purchase contract, normally contain:
• The approval of the mortgage provider to provide a mortgage for amount “X”;
• Statement of a building inspector that you will get limited immediate construction costs, because the costs will not exceed amount “Y”;
• Expected date of the transfer of ownership; and
• A bank guarantee.

Step 6: CONTRACT SIGNING (YOUR SIGNATURE PLEASE)
Dutch law requires that you have a good notary, who is able to speak and write in your language, accompanying you when you sign the purchase contract and later on the delivery and mortgage deed. So you will have to find one now. We can recommend some good notaries which are able to translate the documents in a professional and clear way. Often, however, an interpreter is required as well.
 
Step 7: WHAT HAVE I BOUGHT?
The next step we will now have to take is having the property valuated. And independent valuator can determine the economic and auction value of the property you need the mortgage for. Mortgage providers require such a valuation report. Usually these reports cost approximately 1.5‰ of the valuated property value. We can connect you with a good valuation company that valuates the property at an especially low negotiated price.
 
Step 8: MONEY AGAIN
Now we are going to have to take a look at what is the best mortgage solution for you, considering your wishes and financial situation now and in the future. There are several kinds of mortgages to choose from.
 
Step 9: PAPERWORK, PAPERWORK, PAPERWORK!
Now the mortgage has been chosen, for you the waiting begins. Meanwhile we will send the required information and documents to the mortgage provider. This information can be:
•  Copy of a bank certificate (concerning the Dutch bank account of which the mortgage obligations are going to be paid);
• Original signed employer’s declaration form;
• Copy of your labour contract;
• Copy of the purchase contract;
• Valuation report of the property;
• Copy of the ownership deed from the current owner(s);
• Notary contact details; and
• Execution date of the delivery and mortgage deed.
Additional information can be required by the mortgage provider, depending on your personal situation.
 
Step 10: YOUR SIGNATURE AGAIN PLEASE
Now you have to sign the official proposal from the chosen mortgage provider. As soon as you’ve signed the proposal the next step can be taken.
 
Step 11: WAITING...
Next step is for the mortgage provider to process the paperwork. We will prepare and sort out the necessary documents and make sure these reach the mortgage provider. Once they have received the paperwork, most mortgage providers need around 3 weeks to process them. Some mortgage providers are able to process everything within one week, but that is exception rather than rule.

Step 12: THE FIRST MONEY
If a bank guarantee or down payment is part of the purchase contract, you will have to pay this before the agreed date. Usually this is within one week after the resolutory conditions of the purchase contract have expired.
 
Step 13: LAST CHECK
Just before you are about to sign the delivery and mortgage deeds, you should do a final inspection of the property. During this inspection you will have to make sure that everything is as agreed upon.
 
Step 14: GETTING THE KEYS
You (and your partner) both have to be at the notary in person to sign the delivery and mortgage deeds. This is required by Dutch law. If someone is unable to be present in person, he or she has to go to the notary prior to the set date to sign an official notary authorisation form.

Step 15: YOUR OWN DUTCH CASTLE
After you’ve signed the above mentioned documents, you’re officially the new owner of your Dutch Castle.

The full process of buying a property usually takes about 2 to 3 months.

Click here for a print friendly version of the Process of buying.