The National Mortgage Guarantee (NHG), also known as the Homeownership Guarantee Fund (Waarborgfonds Eigen Woningen), is a financial safety net that offers extra security for both the homebuyer and the lender. If you can no longer pay your mortgage, NHG may step in. In addition, many lenders offer a lower interest rate on NHG-backed mortgages, since it reduces their financial risk.

When you take out a mortgage with NHG, the guarantee fund backs your loan. If you lose your job, become ill, or go through a divorce, NHG helps you find a solution. If you are forced to sell your home and are left with residual debt, NHG may cover part or all of that debt, depending on the situation.

You may also qualify for the Living Expense Facility (WLF), which allows your monthly payments to be temporarily reduced to help you through a difficult time. The additional debt that builds up must eventually be repaid.

In some severe cases, NHG may waive the remaining debt after the home is sold. This is only possible under specific conditions.

The goal of NHG is to prevent people from ending up in problematic debt when they are forced to sell their home due to unforeseen circumstances.

What are the benefits of NHG?

• Lower mortgage interest rate: Most banks offer reduced rates for NHG-backed mortgages due to the lower risk.

• Extra protection in tough times: If you’re unable to pay your mortgage due to unexpected life events, NHG can help lower your monthly payments or even cover residual debt.

• More affordable homeownership with added security: Especially useful for first-time buyers who want more financial confidence.

• Reduced risk in case of declining home value: NHG offers protection if you're forced to sell your home under less-than-ideal conditions.

To qualify for NHG, you must meet several requirements:

• Maximum purchase price: In 2025, the limit is €450,000 (or €477,000 if you include energy-saving improvements). Mortgages above this amount are not eligible.

• Repayment requirement: Your loan must be structured as an annuity or linear mortgage and repaid within 30 years.

• Guarantee fee: A one-time fee of 0.4% of the mortgage amount (2025 rate) is required. This fee is tax-deductible.

Who is NHG for?

NHG is available to anyone who meets the requirements, but it’s especially relevant for:

• First-time buyers: Often with little or no personal savings.

• Buyers with a limited budget: Looking for more financial stability.

• People who want to reduce risk: For example, if you have an uncertain job or family situation.

You arrange NHG through your mortgage advisor or bank. If your loan amount is within the NHG limits and meets the criteria, the guarantee will be included in the mortgage application. You don’t need to apply for it separately but make sure to get proper advice.

Is NHG available when refinancing?

Yes, NHG can also be applied when refinancing an existing mortgage, as long as the new loan amount stays within the NHG limits and meets all conditions.