Do you need a permanent contract to be eligible for a Dutch mortgage?

One massive misconception in the Netherlands is that you need to have a permanent work contract in order to be eligible for a Dutch mortgage. 

However, this simply isn’t true — let’s get into it.👇

Do I need a permanent contract to get a mortgage in the Netherlands?

While a permanent contract can certainly help when you want to apply for a Dutch mortgage, it is not a necessity. 

In fact, there are many scenarios in which you can still be eligible for a mortgage, even if you don’t have a permanent contract. 

I have a temporary contract, can I get a Dutch mortgage? 

In the Netherlands, it’s quite common for people to first receive a temporary contract from their employers before being offered a permanent one. 

As a result, mortgage providers won’t be horrified if you apply using your temporary work contract — they see it all the time. 

Instead, mortgage applicants with a temporary contract will be asked to submit extra information to guarantee to the bank that they will be able to pay their mortgage. 

This extra information can consist of: 

A letter of intent from your employer saying that they intend to keep employing you, or
Your income from the last three years (if you don’t have a letter of intent) 

I have a flexible contract, can I get a Dutch mortgage? 

Perhaps you have a flexible contract. This means your work varies in certain ways, for example, you may work on an on-call basis, or your hours may vary from week to week. 

Good news: it’s still possible to get a mortgage in the Netherlands. In this case, when you apply for a mortgage, you must provide a perspectiefverklaring (perspective statement). 

You can get this through your employment agency, and it will outline your future possibilities of earning an income. 

I have a zero-hour contract, can I get a Dutch mortgage?

One type of flexible contract is a zero-hour work contract. In this case, the mortgage provider will consider your income for the last three years when determining your eligibility for a Dutch mortgage. 

I’m a freelancer, can I get a Dutch mortgage?

While applying for a mortgage as a freelancer (ZZP’er) in the Netherlands can involve more paperwork, you can still be eligible for a Dutch mortgage. 

However, you will be asked to provide additional information, such as:

Your earnings over the last three years,
A copy of your last three income tax returns, and
Your most recent correspondence from the KvK

As a freelancer, your annual earnings tend to vary. The banks will use your average income over the past three years to help determine your maximum borrowing power.

However, it’s worth noting that your last year of income will be the most important when determining your mortgage, as this amount will be considered your maximum income. 

A ZZP’er for less than three years? That’s ok! Instead, you can have an accountant forecast what they expect you to earn in the coming years. 

Moral of the story? While having a permanent contract can make the mortgage application process easier, you don’t need one to successfully obtain a Dutch mortgage.

Have you gone through the Dutch mortgage application process? Tell us about your experience in the comments below!