What happens to my mortgage when I sell?

There are a few steps you need to take to sell your mortgaged home if you haven’t already found a new property. 


In the Netherlands, there are no penalties for selling a property before the mortgage term ends. It’s actually quite common for people in the Netherlands to sell their homes long before they’ve paid off their mortgages. 

Find a buyer


Of course, the most important step to selling your home is having someone who is ready to buy it. It’s important that you go through the selling process and have an agreement with a potential buyer. Once you’ve signed the purchasing contract, agreed upon the transfer date, and determined the terms that need to be met (by both parties) for the sale to go through, you are ready to speak to your mortgage lender. 

Get permission from your mortgage lender


It may sound daunting to have to ask permission from your mortgage lender in order to sell your home. Don’t worry, you will often get a resounding yes from your mortgage lender. The only condition where your bank might deny your request is if, for whatever reason, the selling price is less than the debt you still owe to the bank. 

In these situations, which are rare these days, your mortgage lender might still agree to the sale under the condition that the remainder of the debt is repaid via another loan. 

Visiting the notary


When both parties have met the conditions of the sale, you will head to the notary to sign the necessary documents. Once all is signed, the buyer’s mortgage lender will pay the notary. From that fee, the notary will repay the remainder of the mortgage to your lender, your selling agent’s commission (generally 1%), and their own fee. If there is anything left over, that money will be transferred to your bank account. 

This is the short version of the story as these processes tend to take time and documentation in order to go through. Are you looking for a mortgage to purchase your next home and need advice? Contact me today to book a free consultation.


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