Fearing the new regulations regarding the provision of mortgages, there are end of 2012 many houses sold. By 2013, it has become harder to buy a home.
By government decisions, it has become more difficult in 2013 to buy a house. These measures are taken to reduce the expensive settlement of mortgage interest. The mortgage interest paid is deductible from income. To take maximum advantage of this scheme, homeowners have decided en masse to the repayment of the mortgage scroll to the end date of the mortgage. The monthly costs could be further depressed by letting the redemption completely omitted the so-called interest-only mortgage. By now we know that it does not pay off the mortgage can be troublesome when housing prices go fast down.
By 2013, it is required to repay all over the term for new mortgages. The mortgages that meet the new requirements, the annuity and the linear mortgage. Because the annuity mortgage the monthly payments are lower at the start, this mortgage will most be closed. In this mortgage burdens remain unchanged throughout the current interest period, only the composition of the monthly charges change slowly during the term. The repayments will be less and less mortgage interest paid and increasingly redemption. This mortgage is more expensive than the most popular types of mortgages before 2013, namely the investment mortgage, savings mortgages and interest-only mortgage.
In the past it was possible to finance additional costs when buying a home. By 2013 this possibility still exists, but there are limitations. You may finance up to 105% of the purchase price of the home. In 2012 this percentage was 106%, and after 2013 this proportion will further drop by 1% annually. In 2014, it is still possible to finance 104% of the purchase price of the house and by 2018 it is only possible to fund the purchase price. This may be an additional incentive to not to delay buying a home.
Most experts predict for 2013 also still falling house prices. This may be different if the political decision to take stimulus measures to give the housing market a helping hand. For the year 2014, the experts were moderately positive in early 2013. One predicts a recovery, while the other says that the bottom is going to be yet reached a year later.
The housing market is not predictable. The housing market is even worse because banks have become very critical in providing mortgages. However, this is partly due to the regulator, the AFM. They try to avoid going to be granted loans that too heavy a burden on the monthly budget of families. The times that banks have offered to eight times their annual salary, are behind us.
Buying a house in 2013 has advantages, but you must consider the consequences of buying a home. If house prices continue to fall sharply after the purchase, there may be a potential residual debt build up.