Fixed mortgage rates in the Netherlands saw their most significant rise in two and a half years last week. The average 10-year fixed rate with National Mortgage Guarantee (NHG) jumped by 0.19 percentage points, reaching 3.77 percent. The 20-year fixed rate also rose by over 0.15 percentage points to 4.07 percent, according to financial advisory Van Bruggen.
The increase follows a period of slightly declining mortgage rates. September 2024 was the last time rates were at this level. Several lenders have already announced further hikes for the coming week, reinforcing expectations of continued increases.
This sharp rise is attributed to global economic uncertainty and rising interest rates in capital markets, where banks and financial institutions lend money to each other. Governments worldwide have also signaled plans to borrow more for defense spending, further driving up rates.
Van Bruggen expects rates to continue climbing. “The increase was expected, and with more lenders set to raise rates next week, we anticipate further hikes,” the firm stated. However, Van Bruggen does not rule out the possibility of mortgage rates falling again if geopolitical tensions ease.