The conditions for the National Mortgage Guarantee (NHG) in 2019 are known. An NHG mortgage will be cheaper and you will be eligible sooner.
National Mortgage Guarantee limit up
The cost limit for a mortgage with National Mortgage Guarantee (NHG) is going up again. In 2019 you can take out a mortgage with NHG for home up to 290,000 euros. This year the NHG limit is 265,000. For energy saving measures you can borrow more under NHG in 2019. The cost limit is then 307,400 euros.
So next year, more people will be eligible for an NHG mortgage in the event of re-acquisition and purchases. For a number of years, the NHG limit has been linked to the rising house price. The National Mortgage Guarantee thus remains accessible to a large group.
Maximum mortgage under NHG
The National Mortgage Guarantee follows, as usual, the regular mortgage standards. For 2019 this means, among other things:
- do not borrow more than the home value. The maximum mortgage on the basis of the home value remains 100%.
- the second income counts for 70% for the mortgage. This also remains the same.
- the maximum mortgage for the highest and lowest incomes is rising slightly.
Calculate your maximum mortgage here.
NHG mortgage is slightly cheaper
For the extra security of the National Mortgage Guarantee you pay bail commission. In 2019 this is 0.9% of the mortgage amount. This is a reduction of 0.1%, making a slightly cheaper NHG mortgage, namely a maximum of 290 euros.
According to a foundation behind the NHG, this premium reduction is an intermediate step. They are still in the process of calculating a bail commission which is acceptable in good and bad times. Now that the housing market is doing well, criticism is rising that the Guarantee Fund is raising too much money.
Since this year, the maximum mortgage is 100% of the home value. This means that you pay the full buyer costs, including the NHG costs, from your own pocket. The costs that you incur to take out the mortgage can be deducted from the tax once.
More certainty and interest discount with NHG
The National Mortgage Guarantee offers extra security when you take out a mortgage. The guarantee offers assistance with payment problems and can, in the case of a sale with a loss, under certain conditions, remit the remaining debt.
With National Mortgage Guarantee, lenders are also more willing to help target groups that are not so easy to get a mortgage. For example, elderly people and entrepreneurs with NHG are more likely to be eligible for a mortgage.
For this extra security, lenders are willing to give an interest discount. Compare your mortgage interest here with and without NHG.
It takes a while before you have earned back the guarantee commission with the interest discount. The NHG mortgage is therefore not interesting for everyone. View a calculation example here.