Homebuyers with faulty foundations get lower NHG mortgage capacity

The National Mortgage Guarantee (NHG) in the Netherlands is introducing new measures to protect homebuyers from the high financial burden of foundation repair costs. Starting January 1, 2027, lenders must account for expected foundation repair costs when determining mortgage limits for properties with a high risk of structural issues. This policy aims to ensure that buyers can afford potential renovations, which can often cost tens of thousands of euros. The assessment will rely on appraisal reports, with mandatory exploratory studies required for homes categorized as high risk.

NHG director Roald van der Linde emphasized that the goal is to provide clarity and prevent homeowners from facing unexpected financial distress after their purchase. Beyond these mortgage changes, the NHG advocates for a broader collaborative approach involving the government, municipalities, and the financial sector to better manage foundation risks. These updated regulations will be formally published on October 30 and will apply to all binding mortgage offers issued from the start of 2027.