Despite the credit crisis, there were also good times for homeowners. For example, home owners could benefit from a low mortgage loan rate. But that low interest comes to an end. In fact, according to the DNB (De Nederlandsche Bank), the lowest point has already been achieved! The interest rate has risen slightly since a few weeks. Expectations are that mortgage loan rates will continue to increase this summer.
From 2012 onwards, the decline started well
In 2012, the relatively high interest rates on mortgage loans came to an end. From that year until the end of 2016, the interest rate fell to around 2.4%. In short: a significant drop of no less than 2%! In June 2017 it rose again slightly by 0.01% to 2.41%. From July 2017, interest rates appear to rise slightly faster.
Households have let the interest rates fixed massively
It had already become clear in recent months that the lowest point had been reached. Soon more Dutch households secured the mortgage loan interest for several years. The figures certainly do not lie: From 2016 to 2017, more than 3/4 of the households have taken out their mortgage loan for a longer period with a fixed-rate period. Interest-free period of 15 years have long since become an exception.
In 2012, 2013, 2014 and 2015, only half of the mortgage loan loans consisted of a fixed-rate period of 5 years or longer.
Long lock for a higher interest rate
Who fixes his mortgage loan for a long period (for example 15 years), who pays a higher interest rate. The shorter the fixed-rate period, the lower the interest rate. The DNB also noted that the banks in the Netherlands have provided much more mortgage loans for a long time. The mortgage loan debt has even increased in total!
Inflation is also slowly but surely returning now that economic growth is increasing. In itself a good sign. A sign of recovery. The expectation is that interest rates will be raised again in 2018. Who wants to buy a house must be quick. And with the scarcity on the housing market you pay the main price anyway.