There are times in life when you have no choice but to devote your attention and time to matters such as your mortgage. It could that there are significant changes in your personal life or other external movements in the market that might have an effect on your mortgage that you should be aware of. In this article we explain why you should or should not consider remortgaging.
In the past 24 months, there has been an increase in the interest rate on the Dutch market. Because of this, you should probably look into your current mortgage and see if you should change anything. Below a overview of reasons to remortgage:
1. More favourable terms, such as a mortgage type that is a better fit based on your circumstances.
2. A lower monthly mortgage payment (after taking into account any one-time charges associated with remortgaging).
3. More certainty looking at the future.
4. Using your excess value (overwaarde) to renovate your home and make it more sustainable. In addition, to save more on monthly utility costs.
The increase in interest rates in the past 24 months, has had a big influence on the market. After such a little period, interest rates have finally caught up and are now at the same level as they were in 2014. In spite of this increase, it is important to keep in mind that historically speaking, the present interest rate is still at a low level.
The interest rate that you are charged on your mortgage is an essential component of the loan since it is one of the primary factors that determines the total amount that you must pay back each month. This is in part owing to recent happenings throughout the world, including the effects of the COVID outbreak as well as Russia's invasion of Ukraine.
Do you find the idea of remortgaging to be scary? Or, would you rather get a comprehensive summary of the choices you have? Then it is strongly recommended that you consult with a mortgage expert via Financial Consultancy Holland.
A thorough evaluation of where you stand in your life is the first step in the remortgaging process. Take some time to consider the following questions:
1. How long do you anticipate staying in the house that you now own?
2. Do you have plans for any renovations?
3. Would you rather have financial stability, or are you willing to take the chance on something uncertain?
Do you have questions about your financial situation in the Netherlands or would you like to get in touch with us? You can do this via our contact form and we will contact you as soon as possible. Looking forward!