Financing residual debt.
Many Dutch people have to deal with a residual debt. You get a residual debt when your house is under water. The value of your home is then lower than the debt that you currently have. Are you selling the property at that time? Then you are left with this residual debt. For people whose house is under water, that is a reason to simply not move. But there are really solutions that make relocation possible.
Residual debt, what now?
In recent years, the number of people who have received a residual debt has risen considerably. The biggest cause was the falling house price in the Netherlands. Add to that the fact that many homeowners have had the surplus value of their home converted into an extra loan and you know the outcome. Many homeowners still think that you cannot move if you have a residual debt. But that’s just not true. Have your residual debt financed by Fet Credit Financier and you can then make plenty of plans for the future again!
How to finance your residual debt?
We call the residual debt that you have left over when you sell a property. You can transfer this debt to a new mortgage, finance it yourself (with savings) or have it co-financed separately in a new loan. The most obvious way to get rid of your residual debt is to use savings. However, we recommend that you do not put all the savings you have in your residual debt. Make sure you always have a buffer so that you can absorb unexpected costs. Because otherwise you may have to take out another loan in the future, for example to replace your broken washing machine.
Take out a special loan to finance residual debt
Now you can of course take out a new mortgage and include your residual debt. But this is not always possible. For example, all banks set a limit on the amount of your residual debt that you can co-finance. That is why more and more people are choosing to have the residual debt financed separately. You take out a special additional loan for this and you can have a loan of up to € 50,000 separate from your mortgage. You then decide for yourself at which bank you will place the new mortgage.
Financing residual debt through Fet Home Financier
It is also possible to request a special loan from Fet Credit Financier with which you can finance the remaining debt that you have. Ask about one of our loan advisors about the possibilities, the conditions or ask your pressing question about your personal situation!