New lending limits 2027: how much more can you borrow?

Good news if you want to buy a home in 2027: almost everyone will be able to borrow more next year, even if their income stays the same. That is the outcome of the Nibud advice on the 2027 mortgage lending standards, which the minister sent to the Dutch parliament on 2 November. The new standards apply from 1 January 2027.

Nibud is the Dutch National Institute for Family Finance Information. Every year it advises the government on how much households can safely spend on housing, and those standards determine your maximum mortgage. In this blog you will read how much more you can borrow, why, and what to watch out for.

1. How much more you can borrow in 2027

Nibud calculates with an interest rate of 4.25% and a 30-year annuity mortgage. With the same income, your maximum mortgage looks like this:

Getting a pay rise too? Then the difference grows. The CPB (the Dutch Bureau for Economic Policy Analysis) expects wages to rise by 3.7% in 2027. With that increase, an income of €50,000 lets you borrow about €211,700, and an income of €70,000 about €309,900.

Buying together? Then your incomes are added up. Since 2023, the second income counts in full. If you earn €100,000 together, the same row in the table applies as when one person earns €100,000.

2. Why can you borrow more?

Nibud bases the standards on the average of the past four years. For 2027, those are 2023 to 2026. That means 2022, the year of extremely high energy prices, drops out. Households had less money left over that year, which pushed the standards down. Now that it no longer counts, borrowing capacity goes up.

3. What else changes

• Single buyers get €18,000 extra. Buying on your own? Then you may borrow an extra amount on top of the normal limit. This goes up from €17,000 to €18,000.
• Extra room for energy-efficient homes stays the same. With energy label A or B you can borrow €10,000 extra, with A+++ €25,000. To make a home with label E, F or G more sustainable, you can borrow up to €20,000 extra.
• Student debt counts as it does now. The rules do not change. With a Dutch student loan of €20,000, you can borrow about €17,700 less.
• Pensioners on a low income can borrow slightly less. They do not benefit from the higher employment tax credit, and the tax credit for older people is reduced.

4. Watch out: the interest rate matters more

The extra borrowing room is often a few thousand euros. A small change in interest rates can quickly wipe that out. According to Nibud, with an income of €70,000 you can borrow about €7,000 less at 4.25% than at 3.75%.

Your fixed-rate period matters too. If you fix your rate for less than ten years, the lender calculates with a test rate of at least 5%. You can then borrow less than with a fixed period of ten years or more. Curious how rates are developing? See our weekly interest rate outlook.

5. What does this mean for you?

• First-time buyer or renting now? A few thousand euros extra can make the difference when you place a bid. Especially in Rotterdam and Utrecht, where a tight budget leaves little room.
• Expat with a Dutch employment contract? The same standards apply to you. Your income from a Dutch employer counts in the same way. Lenders do set extra conditions for some residence permits and contract types, so we are happy to check your situation.
• Buying around the turn of the year? Ask your adviser which standards apply to your application. It can make a difference whether it is assessed in December or January.
• Being able to borrow more is not the same as having to. Nibud warns that more borrowing room does not automatically bring a home within reach. Above all, look at what you can comfortably pay each month.

The amounts in this blog are examples based on the Nibud advice. What you can borrow depends on your own situation: your income, any debts, the home and the interest rate.

Want to know how much you can borrow in 2027? At Advies van Jord, we are happy to calculate it for you, in English or Dutch. Book a free introductory consultation: online, at our office or at your home in the Rotterdam and Utrecht region.

Sources

• Nibud – Advice on mortgage lending standards 2027 (Dutch parliament, in Dutch)
• Adfiz – Mortgage standards 2027: more borrowing room, even without a pay rise (in Dutch)
• De Dagelijkse Standaard – Lending standards 2027: maximum mortgage by income (in Dutch)