Calculating mortgage costs: complete overview 2026
Buying a home is probably the biggest financial decision you’ll ever make. Before you turn the key in the lock, you need to know exactly what you’re paying. Calculating mortgage costs goes beyond just the monthly payment. Consider notary fees, appraisal costs, consulting fees, and taxes. By 2026, some of these costs will have even risen due to changes in regulations and market conditions. This guide will help you understand where your money is going and how to budget wisely.
Why It's Important to Calculate Your Mortgage Costs
Many people focus only on their monthly housing costs but forget about the one-time expenses involved in a purchase. These can really add up. The buyer’s costs when purchasing a home average 3 to 5 percent of the purchase price. If you buy a home for €400,000, that could mean you’ll need to come up with an additional €6,000 to €20,000.
Furthermore, the total costs determine whether your home will remain affordable over the entire term of the mortgage. A low interest rate may seem attractive, but if your mortgage is loaded with high advisor and closing fees, you might actually lose money in the long run.
Overview of Direct and Hidden Costs
We divide mortgage costs into three categories:
- One-time costs at the time of purchase (notary, appraisal, advisory fees, land registry, NHG)
- Ongoing monthly expenses (interest, principal payments, insurance)
- Other costs during the term (refinancing, adjustments, prepayment penalties)
By calculating all these items in advance, you can avoid going over budget and financial stress. It also helps you objectively compare different mortgage offers.
One-time costs when taking out a mortgage
The initial costs are significant. Here is an overview of the main expenses you’ll need to pay before the mortgage is officially finalized.
Notary fees
The notary handles the transfer of ownership and prepares all legal documents. In 2026, you’ll pay an average of between €800 and €2,000 in notary fees. This amount depends on the purchase price and the complexity of the transaction. It may differ for a new-construction home compared to an existing home.
The notary also charges for the mortgage deed, which is billed separately. Expect to pay an additional €600 to €1,200 for this service. Since you’re often required to use the notary chosen by the seller, there’s little room for negotiation here.
Appraisal Costs
An independent appraiser assesses the market value of your future home. This is mandatory, as the mortgage lender wants assurance that the home is worth the amount borrowed. On average, a valuation report costs between €450 and €900, depending on the type of home and its location.
For new construction homes or historic buildings, the appraisal may be more expensive due to additional research. Ifyou plan to buy your next homelater , you’ll need another appraisal report.
Mortgage Advisor Fees
An independent mortgage advisor helps you find the best type of mortgage and terms. At Roling Advies, we compare more than 35 lenders to offer the most suitable solution. Advisory fees typically range from €1,500 to €3,500, depending on the complexity of your situation.
For first-time homebuyers, this amount may be lower, while self-employed individuals or those with multiple sources of income often require more extensive analyses. The best advisors work independently and are not tied to a single lender, which always guarantees you objective advice.
Cost Item
Notary fees (transfer)
Notary fees (mortgage deed)
Appraisal report
Advisory report
Land registry fees
Average amount
€800 – €2,000
€600 – €1,200
€450 – €900
€1,500 – €3,500
€100 – €150
Notes
Depending on purchase price
Mandatory legal services
Sometimes higher for new construction
Depends on complexity
Registration of property transfer
Transfer tax
Through 2025, first-time homebuyers (age 35 and under) did not pay transfer tax on their first home. In 2026, this exemption will still apply, but please note: this only applies if you will be living in the home yourself and the value does not exceed €555,000. For non-first-time homebuyers or second homes, a rate of 8% applies.
If you buy a home for €400,000 without the first-time homebuyer exemption, you’ll pay over €32,000 in transfer tax. That makes calculating mortgage costs especially important for those moving up the housing ladder.
National Mortgage Guarantee (NHG)
If you buy a home up to the NHG cost limit (€470,000 in 2026), you can take out a National Mortgage Guarantee. This involves a one-time fee of 0.4% of the mortgage amount but often results in a lower interest rate. For a loan of €400,000, you’ll pay €1,600 in NHG fees.
The benefit? If circumstances prevent you from making payments (job loss, death, divorce), the NHG will cover your remaining debt. In addition, you’ll often receive an interest rate reduction of 0.1% to 0.3%, which means the costs pay for themselves quickly. Ifyou’d like to learn more about the total costs of a mortgage, this calculator can help you.
Monthly mortgage payments
In addition to the one-time setup costs, you’ll pay fixed monthly expenses. These costs determine whether your home will remain affordable in the long term.
Interest and principal payments
Mortgage interest is by far the largest expense. In 2026, interest rates will range between 3.5% and 5%, depending on your borrowing situation and fixed-rate period. If you choose a 10-year fixed-rate period, you’ll often pay a higher rate than with a 5-year fixed-rate period.
With an annuity mortgage, you pay a fixed monthly amount that includes both interest and principal. In the beginning, you make very little principal payment and pay mostly interest. As the term progresses, this shifts. With a linear mortgage, your principal payment remains the same, but the interest decreases each month. As a result, you start with higher monthly payments that decrease over the years.
Example calculation of monthly payments
Suppose you borrow €350,000 at a 4% interest rate with a 30-year term. With an annuity mortgage, you’ll pay about €1,670 per month. Over the entire term, you’ll pay over €251,000 in interest on top of your principal payments. Calculating your monthly payments helps you see exactly what your situation will cost.
With a linear mortgage, you start at about €1,945 per month, but this gradually decreases to about €975 in the final year. Your total interest costs are lower (approximately €210,000), but you must be able to afford higher initial costs.
Insurance and Other Expenses
In addition to interest and principal payments, advisors often recommend additional insurance policies:
- Life insurance: covers the remaining debt if you die
- Disability insurance: pays your mortgage if you become unable to work
- Homeowners insurance: required if you have a mortgage; covers damage to the building
- Contents insurance: optional, but protects your personal belongings
Together, these insurance policies cost an average of €100 to €250 per month, depending on your age, health, and the amount insured. Ifyou’d like to learn more about insurance related to your mortgage, you’ll find detailed information there.
Variable Costs During the Term
A mortgage isn’t a “set and forget” product. Over the course of 20 or 30 years, circumstances can change, leading to additional costs.
Refinancing Your Mortgage
If interest rates drop significantly after a few years, you might consider refinancing your mortgage with a cheaper provider. In this case, you’ll often have to pay a prepayment penalty to your current lender because you’re breaking the agreed-upon fixed-rate period.
In addition, there are new costs associated with refinancing:
- New appraisal (€450 – €900)
- New notary fees (€600 – €1,500)
- Advisory fees for the new contract (€500 – €2,000)
- Any penalty interest from your old mortgage lender for early repayment
You’ll need to recoupthe costs of refinancing through lower monthly payments. A thorough calculation will show whether refinancing is financially worthwhile.
Extra payments and early repayment
Many lenders allow you to make penalty-free extra payments of up to 10% or 20% per year. If you pay off more than that, you may face a penalty of 1% to 5% of the amount paid off in excess. For linear or annuity mortgages with NHG, the rules are often more flexible.
Making extra payments reduces your remaining debt and saves on interest, but make sure you keep enough of a financial cushion for unexpected expenses. For those who want to use their homeequity —for example , to make their home more sustainable—it may actually be wise not to pay off the loan in full.
Adjusting Your Mortgage
Sometimes you may want to change your mortgage type, for example, from interest-only to an annuity mortgage. Or you may want to borrow part of your home equity for a renovation. Lenders charge advisory and administrative fees for this, often between €250 and €1,000.
For major changes, a new appraisal may be required. Keep this in mind if you have plans to renovate or expand your home.
Tax Benefits and How They Lower Your Costs
Calculating mortgage costs isn’t complete without factoring in tax benefits. In the Netherlands, you benefit from mortgage interest deduction, which means your effective costs are lower than the gross amounts.
Mortgage Interest Deduction in 2026
You may deduct the mortgage interest you’ve paid from your taxable income, up to a maximum of the highest tax rate of 36.97%. This percentage decreases annually, but in 2026 you’ll still save significantly on your net monthly payments.
Only interest on mortgages for your primary residence is eligible. Do you own a second home or an investment property? In that case, the deduction does not apply. You must also make at least annuity or linear payments to qualify.
Example of net monthly payments
With €1,670 in gross monthly payments (interest + principal) on an annuity mortgage, you’ll benefit from the interest deduction. Suppose €1,170 of this amount is interest in the first year. With a 36.97% deduction, you’ll receive approximately €433 per month back via your tax return. Your net monthly payment will then amount to approximately €1,237.
As you make more principal payments, the interest portion decreases, and so does your tax benefit. This makes it important to calculatethe total net costs over the term of the loan.
Home Equity Reserve and Home Equity
Are you selling your current home with equity and buying a new home within three years? Then you’re building up a home equity reserve. You can carry this equity over to your new mortgage without affecting your tax benefit.
This is particularly relevant for homeowners moving up the ladder who are buyingtheir next home and want to take advantage of the equity they’ve built up in their current home.
Additional expenses to keep in mind
In addition to the official mortgage costs, there are expenses that aren’t directly related to the loan but do affect your monthly budget.
Local taxes
- Property tax (OZB): on average €300 to €800 per year
- Water board tax: €200 to €400 per year
- Sewer and waste collection fees: €150 to €350 per year
These costs vary significantly by municipality. In Amsterdam or Utrecht, you often pay more than in smaller municipalities.
Energy costs and maintenance
Gas, water, and electricity cost an average of €200 to €350 per month for an average household. Do you have an older home without insulation? If so, these costs can quickly add up. Making your home more sustainable pays off, especially with subsidies and tax benefits available in 2026.
Don’t forget about maintenance, either. Set aside at least 1% of the home’s value per year for major repairs (roof, furnace, painting). For a home worth €400,000, that’s €4,000 per year—or just over €330 per month.
Cost item
Municipal taxes
Energy costs
Maintenance reserve
Water
Total Additional Expenses
Average monthly amount
€50 – €125
€200 – €350
€250 – €400
€30 – €50
€530 – €925
If you forget to include these items when calculating your mortgage costs, you could run into financial trouble. Make sure your total housing costs (mortgage + fixed expenses) do not exceed 35% to 40% of your net income.
Tips for Lowering Your Mortgage Costs
Now that you know what everything costs, you naturally want to save money wherever possible. Here are some practical tips that will have an immediate impact on your wallet.
Compare mortgage lenders thoroughly
Small differences in interest rates add up over 30 years. A difference of 0.2% may not seem like much, but on a €350,000 loan, it can easily save you €8,000 to €10,000 over the term of the loan. At Roling Advies, we compare more than 35 lenders to find the best rate.
Don’t just focus on the interest rate; also consider:
- Repayment terms
- Early repayment penalties
- Service fees and administrative fees
- Refinancing terms
Take advantage of promotional offers
Lenders regularly run promotions in which they temporarily reimburse advisory fees or waive origination fees. In 2026, you’ll also see more and more cashback promotions when refinancing. Keep an eye out for these through your advisor.
Choose the Right Mortgage Type
An annuity mortgage offers consistent monthly payments and maximum tax deductions. A linear mortgage starts higher but decreases each month, which works out cheaper over the entire term. An interest-only mortgage offers low monthly payments but no tax benefit, and the principal balance remains the same.
Which type is right for you? That depends on your income, savings discipline, and future plans. An advisor can help you make the right choice based on your personal situation.
Take Advantage of the NHG and Other Programs
Although the National Mortgage Guarantee (NHG) costs 0.4%, it often pays off more through interest rate discounts. You can also borrow additional funds for energy-efficiency improvements through the sustainability loan, which allows you to borrow beyond your NHG limit.
Maintain financial discipline
- Build a financial buffer covering at least 6 months of housing costs
- Make penalty-free extra payments annually if you have savings left over
- Reevaluate your mortgage every 5 years to see if refinancing is worthwhile
- Invest in sustainability measures to structurally reduce energy costs
Tools for Calculating Costs
Fortunately, you don’t have to calculate everything by hand. There are reliable tools that can help simplify the process of calculating mortgage costs.
Online Calculators
Various websites offer free calculators:
- Mortgage payment calculator for different types of mortgages
- Calculate buyer’s costs for all one-time expenses
- What does a mortgage cost? Get a complete overview
These tools provide a rough estimate, but they don’t always take your specific situation into account. For an accurate calculation, personalized advice is essential.
Personal consultation
An independent advisor will provide you with a comprehensive, customized financial plan. You’ll discuss not only mortgage costs but also your future plans, risk tolerance, and financial goals. This helps you avoid costly mistakes and ensures your mortgage fits your life perfectly.
Would you like to make an initial calculation yourself? Use the mortgage calculator to see the maximum amount you can borrow.
Schedule an appointment for personalized advice
Are you planning to buyyour first home, moving up to a larger home, or looking to tap into your home equity? An advisor will guide you through the entire process and ensure you don’t overlook any costs.
Common Mistakes in Cost Calculations
Even with the best tools and advice, people still make classic mistakes. Do any of these sound familiar?
Focusing Only on Monthly Payments
The most tempting mortgage often has the lowest monthly payment. But if you only look at that, you might overlook high closing costs or an unfavorable prepayment penalty clause. A low monthly payment can end up costing more in the long run if you sacrifice flexibility.
Forgetting to factor in extra costs
Appraisal fees, notary fees, consulting fees, transfer tax, and the NHG can quickly add up to tens of thousands of euros. If you don’t factor these in, you’ll come up short when making the purchase or will have to borrow more (which is more expensive).
Not maintaining a financial cushion
Putting all your available savings toward the purchase may seem smart to reduce the amount you need to borrow. But without a financial cushion, you’ll be in a bind if your washing machine breaks down or your car breaks down. Keep at least €5,000 to €10,000 in liquid assets on hand.
Overestimating tax benefits
Mortgage interest deductions help, but don’t forget that the percentage decreases annually and that principal payments aren’t tax-deductible. Always calculate based on the net monthly payment, not the gross amount.
Ignoring Future Changes
Are you expecting children soon? Do you want to start working part-time? Are you considering a career change? Make sure your mortgage is flexible enough to adapt to life changes. Being stuck with a mortgage that’s too high will work against you for years to come.
How Roling Advies Helps You Calculate Costs
Calculating mortgage costs is a complex process full of details that you, as a private individual, don’t deal with on a daily basis. At Roling Advies, we take that burden off your shoulders by providing personalized and independent advice.
Independent comparison of 35+ lenders
We’re not tied to any single provider, which means we can truly find the best deal for you. Whether you’re buyingyour first home, moving up, or financing a new-construction home —we’ll determine which mortgage lender offers the best terms.
Transparent advice
You’ll receive a complete overview of all costs, with no hidden fees. We’ll explain exactly what each euro costs and why. This way, you can make an informed decision without any surprises later on.
Support from Start to Finish
From the first consultation to the moment you receive the keys, we’re here for you. We’ll arrange appointments with the notary and appraiser, assist with your application to the lender, and monitor the progress. You can focus on your move while we handle the administrative hassle.
Calculating mortgage costs requires precision and a clear overview, from one-time setup fees to monthly payments and variable expenses over the term of the loan. By identifying all cost items in advance, you can avoid financial setbacks and make an informed choice about a mortgage that truly suits your needs. Roling Advies is here to guide you with independent advice, personalized attention, and expertise in comparing more than 35 mortgage lenders, so you can enjoy your new home without any worries.
Owner Roling Advies
Ready for personal mortgage advice?
Every situation is different. I compare over 35 mortgage lenders and give you clear, independent advice — fully online.