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An affordable annuity mortgage via DGA The Hague

Also for a affordable annuity mortgage DGA Financial Advisors is the place to be. Together with you, we will find the mortgage that best suits your personal situation. Our experienced advisors are happy to help you!

Because DGA The Hague works completely independently and is therefore not bound to any bank or insurance company, you are assured of objective advice. In addition, we can provide you tariffs offer those up to the lowest in the Netherlands belong.

You are always very welcome at our office in The Hague. Or would you prefer one of our advisors to visit you? Then we would be happy to make an appointment with you!

Many customers in The Hague, Scheveningen, Voorburg, Leidschendam, Voorschoten, Stompwijk, Zoetermeer, Nootdorp, Rijswijk, Wassenaar, Pijnacker, Delft and Wateringen have a affordable annuity mortgage via DGA Financial Advisors closed. Of course, we are also happy to help you!

The most important features of an annuity mortgage

“Annuity” is another word for “fixed amount.” Those who take out an annuity mortgage pay a fixed amount each month (apart from any changes in interest rates). This amount consists of two parts: interest that you have to pay on the outstanding loan and installment, which is used to repay the loan.

Annuity mortgage: less and less interest, more and more repayment

Although you always pay the same monthly amount, the distribution of this amount between interest and repayment changes over time. In the beginning, most of your monthly amount consists of interest and only a small part of repayment. As the term progresses, an increasing part of the monthly amount is used for repayment and an increasingly smaller part for interest payments. The outstanding loan is therefore getting lower because you repay the borrowed money step by step. Because the loan is getting lower, you will also pay less and less interest and an increasing part of your fixed monthly amount can be used to repay the loan.

A calculation example

In practice, with an annuity mortgage with a term of 30 years, it takes about 22 years to repay half of the mortgage amount. You repay the other half of the mortgage amount in the last 8 years, if you only have to pay little interest. Your monthly payment is calculated so that you have repaid exactly the entire amount by the end of the 30 years. Nothing more, nothing less.

Decreasing popularity

Although you pay the same amount each month with an annuity mortgage, in practice, you are a little more expensive each month. This is because only your interest costs are tax deductible. And because you pay less and less interest, the tax benefit is also gradually getting smaller,

This type of mortgage is being used less and less frequently. Mortgages that are more fiscally attractive in the long term, such as savings mortgages, are now much more popular.

For whom?

An annuity mortgage is interesting for people who have a good future perspective. Someone who is at the beginning of their career, for example.

Thanks to the tax deduction, you will be looking relatively cheaply in the early period. Later, you will lose more and more net money, but you will probably have a higher income to cover the higher costs.

An annuity mortgage can also be interesting if you are unable to benefit from the interest deduction. This is the case, for example, if you use the mortgage to finance a second home.

Annuity Mortgage Benefits

  • A simple, clear form of mortgage
  • A lot of tax benefits and therefore relatively low costs in the initial period
  • The loan amount is guaranteed to be repaid when the mortgage expires

The disadvantages

  • Your net housing costs are getting higher
  • In the initial stages, you hardly pay off
  • Viewed over the entire term, it is a relatively expensive type of mortgage.