When purchasing a house, you are faced with additional costs: the so-called buyer costs. You must pay the notary for passing the deed of sale and you pay a transfer tax. These additional costs are indicated at the asking price of a home with the abbreviation kk.
You also have to deal with closing costs for the mortgage to the bank and, for example, appraisal costs. You could always co-finance these costs with the mortgage, but the stricter regulations on mortgages make this increasingly difficult. We will go there to buy our own house in the future is only possible with a (large) part of your own money.
Mortgage amount insufficient?
At the moment you can still take out a mortgage of a maximum of 101%, but this will be adjusted to 100% with effect from 2018. If consumers do not have sufficient resources of their own to finance the additional costs, they can take out a consumer Werther for this.
This is increasingly being done: research among consumers shows that 12% reduces the mortgage amount by taking out a Personal Loan or Ongoing Werther.
Good Finance: Purchaser’s costs via a mortgage
Good Finance does not want advisers to advise customers about financing the costs of the buyer with a consumer Werther. If there is enough room to increase the mortgage, that is a better option. This with a view to the responsible Re-lending, which the Good Finance strives for.
In addition to a current top mortgage, you can take out a consumer Werther, which is not (yet) prohibited by law. But the question is whether this is wise since you are at the maximum mortgage amount. Good Finance strives for responsible Re-lending and this development does not seem to be achieving that.
Buy a house? Mortgage. Other loan goals? Consumptive Werther
A mortgage is basically intended for financing your house; a consumer Werther is not. If you want to take out a loan to finance a house, you will first be referred to a mortgage because of the low-interest rate and the certainty of it. You take out a 30-year mortgage with your house as collateral. The approach is to have paid off your mortgage at the end of the term so that the house is completely your property.
Taking out a consumer Werther in addition to your mortgage is quite possible if you can bear it financially. With a loan, you enter into a subsequent payment obligation in addition to the monthly mortgage costs and other fixed costs that a household entails.
If you want to borrow money for a loan purpose other than your home, which type of financing do you choose? A mortgage has a term of 30 years. The economic life of, for example, a car or caravan is a lot shorter. The term of a loan fits in better with this. You prevent that you are still paying while the car or caravan has already been debited.
How do you finance the buyer costs?
Do you want to renovate your house? You can co-finance this loan target with your mortgage if you still have room for it. Do you have the maximum mortgage amount? Then you can finance your renovation with a loan. The advantage is that the term of a loan is shorter and you can repay the loan free of charge in the meantime.
How do you finance the buyer costs? Via your mortgage or via a loan? Get well informed by a specialist so that you make the best choice for your situation.