Current savings-based mortgages or mortgages with an insurance-linked savings scheme can also be changed until 1 April 2013. If you don’t have the summary anymore, we have listed the changes again for you. In this article we would like to explain once again what may change for mortgages as from 1 January 2013. This month we will know more about which plans will be implemented definitively and on which date.
For persons who will buy their first house in 2013 the choice is clear. They can only receive a tax advantage by taking out a full annuity mortgage or straight-line mortgage. The choice is therefore limited to these two types of mortgages, whereby the annuity mortgage will usually result in the lowest expenses.
Persons who have bought or will buy a house in 2012 (whereby a purchase agreement signed before 1 January 2013 is sufficient) and take out the mortgage in 2013, can still take out interest-free and savings-based mortgages while retaining a tax advantage.
The following rules apply to persons who already have a house and mortgage at present:
In brief, current mortgages cannot be changed anymore before 1 April 2013. However, in order to retain a tax advantage a change is also not necessary.
If a new house will be purchased as from 1 January 2013, it is only necessary to choose between the increase of the mortgage for an annuity mortgage or a straight-line mortgage.
As from 2014 the annual tax advantage will be reduced by 0.5% every year during 28 years. This is a total reduction of the tax advantage by 14%. This reduction also applies to mortgages that were already concluded on 31 December 2012.
Another measure that refers to the own house is the reduction of the transfer tax. This rate will remain 2%. It is also important that the maximum funding will be reduced step by step to 100% of the value of the house. At present the maximum funding is still 106%. This percentage will be reduced by 1% every year to 100%, starting in 2013. This means that buyers will always have to bring in own money in the future when buying a house.
Finsens Financial advisers, www.finsens.nl
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