Dutch mortgage interest rates 2025

In February, Woonnu offered the lowest mortgage rate, with a rate of 3.20% for a 5-year fixed-interest period.

In March, the lowest mortgage rate dropped to 3.03%. This rate is offered by Obvion for a 5-year fixed-interest period. Woonnu (3.17%) and NIBC Direct (3.17%) also offer low rates for a 5-year fixed term.

For a 10-year fixed-interest period, Rabobank is the cheapest, with a rate of 3.31%. For a 20-year fixed period, Tulp offers the most competitive rate in March (3.58%), and for a 30-year fixed period, Tulp, together with Attens, is the most affordable provider with a rate of 3.74%.

The lowest variable rates in February are offered by Aegon (4.21%), A.S.R. (4.34%), and Robuust Hypotheken (4.38%).

In February, mortgage rates increased slightly, after having been on a downward trend since August 2024.

In January 2025, the lowest rate was offered by Woonnu. This was a 5-year fixed mortgage with an interest rate of 3.10%. In February 2025, Woonnu still offers the lowest mortgage rate, although the rate has risen to 3.20%.

Florius (3.45%) and Obvion (3.54%) also offer low rates for a 5-year fixed-interest period. For a 10-year fixed term, HollandWoont is the most affordable (3.37%). For a 20-year fixed period, Venn offers the most competitive rate in February (3.65%), and for a 30-year fixed mortgage, Attens is the most affordable provider (3.83%).

The lowest variable rates in February are offered by Aegon (4.21%), A.S.R. (4.34%), and Robuust Hypotheken (4.38%).

The lowest interest rate at the start of 2025 was 3.10% at Woonnu. Florius and ABN AMRO followed with 3.11% and 3.14% for mortgages with a 5-year fixed-interest period.

The cheapest variable rates were 4.37% at Aegon and 4.39% at ASR.

For a 10-year fixed period, Rabobank offered the lowest rate (3.23%), followed by Woonnu (3.27%) and Moneyou (3.29%). For a 20-year fixed term, Tulp Hypotheken had the lowest rate (3.54%), and for a 30-year fixed period, Obvion was the most affordable with a rate of 3.74%.

You can’t borrow an unlimited amount of money to buy a house. When you want to take out a mortgage, the bank looks at your so-called “borrowing capacity.” This is the maximum amount you can borrow. There’s a limit to how much you can borrow because the bank wants to reduce the risk that you won’t be able to repay the loan.

To determine how much you can borrow – your borrowing capacity – your income is the main factor. Your income must be high enough to cover the monthly payments. These monthly payments usually consist of an interest portion and a repayment portion.

A higher mortgage interest rate results in higher monthly payments. If your monthly payments are higher, your income needs to be higher as well, because you need to be able to afford those payments. In this way, a higher interest rate means you can borrow less.

A lower interest rate allows you to borrow more, because the monthly payments are lower, which increases your borrowing capacity.

Your monthly payments – what you pay to the lender each month – usually consist of an interest portion and a repayment portion. When the mortgage interest rate is high, the amount you have to pay in interest increases.

The most common types of mortgages are the interest-only mortgage, the annuity mortgage, and the linear mortgage. When the mortgage interest rate is low, it has a positive effect on all three types.

When the rate is higher, it also affects all three, but the way it impacts them varies by mortgage type. With an interest-only mortgage, you only pay mortgage interest each month. So, if the interest rate is higher, your monthly payments will be higher.

With an annuity mortgage, the monthly payments remain the same throughout the term, but in the beginning, a larger portion of those payments goes toward interest. Over time, the ratio shifts and more goes toward repayment. Although the monthly payment stays the same, a higher interest rate means a larger part of the payment goes to interest and less to repayment – so you repay more slowly. When the interest rate is high, the monthly payments increase.

With a linear mortgage, you repay the same amount of the loan principal each month throughout the entire term. In the beginning, you pay more interest because the outstanding debt is higher. You pay interest on the remaining loan balance. Since the loan amount decreases over time, the interest portion goes down and your monthly payments decrease. When mortgage interest rates are higher, you pay more interest.

When interest rates are low, people can borrow more, and home prices rise (the ability to buy increases). When interest rates are high, people can borrow less, and home prices fall (the ability to buy decreases) – even if the demand for housing remains the same.

Unlike how the economy usually works, supply and demand have much less influence on final home prices. What matters most is how much money people can borrow, and that is determined by the mortgage interest rate.

So, the interest rate has a major impact on the prices of houses and apartments.

Mortgage lenders don’t lend money for buying a house for free. They earn a lot of money from mortgage interest, especially when looking at the full term of the loan. This term is often 30 years.

The mortgage interest rate ultimately determines how expensive the mortgage will be. Because the term is so long, even a small increase or decrease in the interest rate can have a big impact on the total cost of the mortgage.

If the interest rate increases by just 1%, the total cost can go up by tens of thousands of euros. To show how much impact the interest rate has on the total cost, here’s an example calculation:

• At 3% interest, you pay €137,210 over 30 years on a €265,000 loan
• At 4% interest, you pay €190,454 over 30 years on a €265,000 loan
• At 5% interest, you pay €247,128 over 30 years on a €265,000 loan

So, if the interest rate rises from 3% to 4%, you’ll pay €53,240 more over 30 years. If the rate goes up to 5%, that’s €109,918 more over the same period. A 2% increase in interest can cost you over a hundred thousand euros.

Since higher interest rates also tend to push house prices down (with some delay), you’ll eventually need to borrow less. That means your debt is smaller, but the mortgage itself is more expensive. When interest rates are low, house prices go up. In that case, your debt is larger, but the mortgage is cheaper.