From Frustrated Tenant to Proud Homeowner

If you want to stop paying rent to money-hungry landlords, it might be time to become a proud homeowner in the Netherlands. Owning a home is more than just a roof over your head; it could form a solid investment that will bring monetary stability, freedom, and a sense of belonging. So, let’s look into the benefits and see how all of this can be turned into reality.

Profitability: The Greatest Financial Decision

Buying a house is usually more cost-effective than renting, especially over an extended period. For example, the monthly rent for a 75m² apartment in Amsterdam is approximately €2,625 to €3,375. The average selling price per square meter in Amsterdam is around €8,222. With mortgage interest rates hovering around 3.5% to 4%, monthly payments for a 75m² flat would be around €2,769—cheaper than renting.

In the long term, the property is likely to appreciate, thus giving homeowners high investment returns upon the house’s sale or rent. For example, a property near station RAI was bought in 2022 for 500,000€ and sold for 750,000€ just two years later.

Paying Rent: Wasted Money

Renting may seem convenient, but the truth is you’re paying someone else’s mortgage. It’s time to become a homeowner and start earning money for yourself! If you can pay 2-3500€ monthly, you can pay a mortgage. Rent payments at this level probably mean a monthly gross household income of around 6,000€. This is easily a 350-400,000€ property.

According to the latest statistics, sellers in Amsterdam will make an average profit of €131,000. This is certainly true in big cities, where the average price increase is 8-11% annually. With annual rent increasing due to inflation, the tenant loses money yearly while accumulating no equity. When you buy a home, you invest for the long term, accumulating equity and obtaining peace of mind. After however many years of mortgage payments, you would have full ownership—something you can only dream of as a tenant.

Not as Restrictive as You May Think

Most tenants are not as aware as they could be about the process of owning their own home. Blame a lack of good quality info or financial illiteracy, but being a proud homeowner does not have as many rules as you may think. For starters, you don’t need to live in that property forever. Just 3,4,5 years down the line, you can sell, profit, and then upgrade to your next property. You don’t need to live in the Netherlands, either. If you do, you can get on that ladder after 3 – 6 months of living here, not 12 as it once was. You can also rent out bedrooms 2 and 3, etc. This is far less restrictive than a lot of expats think.

An Easy Path to Proud Homeownership

Buying property in the Netherlands is not particularly complicated. Foreigners may purchase property in the Netherlands, whether residents or non-residents. Nevertheless, to get a mortgage, you need Dutch residency and registration.

Buying a home in the Netherlands is becoming less complicated and more straightforward for international buyers. Even with considerations such as language and residency requirements, many organizations have realized the demand from international buyers and made adjustments. The well-organized Dutch real estate market, with transparent processes and legal protection, actually helps expats because there is a well-defined set of steps to complete. The mandatory use of notaries to ensure everything in the sale is done professionally adds an additional layer of security for international buyers.

No More Dealing with Landlords

One common complaint among renters is the hassle of having a landlord. Whether waiting for repair requests or suffering increased rents. This is no longer an issue when you become a homeowner: you become the King (or Queen) of your castle, without the headache of a landlord. This would enable repairs, renovations, and alterations to be at your whim and no one else’s. Being a homeowner and association member allows voting on maintenance, repairs, upgrades and other key issues.

There are also no more boundaries for pets, and you can pick the furniture yourself, too.

The Math of a Mortgage Is Not as Hard as You Might Think – Honestly

Although a housing shortage in the major cities (Utrecht, Amsterdam, Rotterdam, and The Hague) has contributed to a sharp rise in property prices during the past couple of years, mortgage interest rates remain low, and some lenders offer 100% financing.

Due to weighty tax benefits, mortgage costs are often lower than rent costs. If you purchase a home in the Netherlands as your primary residence, certain additional costs, such as mortgage interest repayments, are tax-deductible (depending on your tax rate, of course).

Final Thoughts

Owning your own home is one of the most satisfying accomplishments in life, and it’s far easier than you think. Transitioning from renting to being a proud homeowner in the Netherlands can be exciting and rewarding, especially with the proper guidance. There is no point maxing out your budget if you desire to leave in three years or if your stay in the Netherlands is temporary. Whether you’re looking for high-yield rental properties or a long-term home, let Dutch Real Estate Company guide you.