Mortgage rates continue to fall

Housing Market
. Housing Market / Flickr

Today, mortgager Obvion, daughter company of Rabobank, is lowering tariffs for its most important mortgages with 0.1 percent, RTL Nieuws reports. For The Netherlands, the mortgage rates continue to fall as SNS Bank already announced a new drop in rates last Friday. 

At Obvion, the ten-year loan for a mortgage on the basis of National Mortgage Guarantee (NHG) is now 3.4 percent. At SNS, this is 3.35 percent.

The rate falls slowly, RTL Nieuws writes, because banks could loan cheaper money out on the international capital market the last few months.

Earlier this month, De Hypotheekshop calculated that the rate on an NGH-mortgage with a fixed rate period of ten years dropped under 3.5 percent. At the start of this year, a similar loan had an interest rate of 4.05 percent.

Martin Hagedoord, mortgage specialist at De Hypotheekshop, says that the Belgian financial institution Argenta is currently offering the lowest rate. "On the basis of ten years fixed and NHG, 2.9 percent is now available there, with the deposit of savings on an account with Argenta. An unimaginably low percentage", Hagedoorn tells RTL Nieuws.

For the time being, developments in the capital market show financial experts that the mortgage rate will remain low for the coming time. "For buyers, it is a favorable time on the housing market, not only starters, but because of the recovering housing prices also for people moving from one house to another", Hagedoorn says.

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