You guys know that we’re sort of stuck when it comes to our mortgage right now. We are unable to make extra mortgage payments due to weird tax rules and other stupid systems.
However, I have hope that things will be changed. This Tuesday our government will present new plans and they want to do something about the fact that the Dutch have way too much mortgage debt.
The things I picked up in the news recently:
- Banks should stop fining people for making extra mortgage payments. That’s right, in The Netherlands banks have these rules that you can only pay off 10% – 20% of your mortgage a year. That percentage differs per bank. In our case it’s 10% for our remaining mortgage. However, we can’t exercise that right because Uncle Sam conjured up a certain bandwidth for our type of mortgage.
- Our government carried out an impact assessment on letting go of this bandwidth and they couldn’t find any substantial arguments against letting it go. Kudos!
- Parents will be able to give each of their kids up to €100.000 tax free as long as they invest it in their house or mortgage. However, if they don’t tackle the bandwidth and bank fines it’s of no use. So this gives me hope that they will do something about the first two points.
- The European Parliament is in favour of giving people the opportunity to pay off their mortgages faster. This should be made easier all over the EU. And since the laws they pass are superior to a country’s laws…
So, we’ll just wait for our government to come to their senses and make the right choices. In the meantime, we’ll keep building our ‘stash and when the time comes (hopefully sooner than later) we’ll start slashing our mortgage debt again!