Increasing your mortgage: how to do it smartly
Your home has gone up in value. Or you have been paying off your mortgage for years and there is room to borrow more. Now you want to do something with that: renovate the bathroom, build an extension, install solar panels. Or simply find out how much financial room you have. Increasing your mortgage (in Dutch: hypotheek verhogen) is an option many people are not fully aware of — yet it opens up a surprising amount of possibilities.
At Libero Financieel we look at what is possible in your specific situation. How much equity do you have? What are the costs? And is increasing your mortgage actually the smartest route, or is there a better option? We discuss this openly and without beating around the bush.
When can you increase your mortgage?
Increasing your mortgage is not automatically possible for everyone. There are two conditions that always apply:
- You have equity in your home. This means your home is worth more than your current mortgage debt. Equity builds up when property values rise, when you have paid off part of your mortgage, or both.
- Your income is sufficient. The lender checks whether you can genuinely afford the higher monthly payments — not just now, but also if your circumstances change.
Do you meet both conditions? Then there are usually several routes available. Which one fits best depends on how your mortgage is currently registered with the notary and what you intend to use the money for.
Three ways to increase your mortgage
There is no single way to increase your mortgage. Here are the three options.
1. Private increase (onderhands verhogen)
Is your mortgage registered with the notary for a higher amount than you currently owe? Then you can draw on that difference without visiting the notary again. Lower costs, less paperwork and usually settled quickly. This is the simplest route when the headroom exists.
2. Second mortgage (tweede hypotheek)
No headroom left in the existing registration but enough equity? Then you take out a second mortgage. One visit to the notary is required. The interest rate and conditions of this new loan part are separate from your existing mortgage.
3. Remortgaging (oversluiten)
Are the first two options not available, or do you also want to adjust your existing mortgage? Then remortgaging may be the smartest choice. You combine the increase with a new interest rate or a different term. This sometimes results in lower overall monthly payments.
Not sure which route works for you? That is exactly what we help you figure out.
What can you use a mortgage increase for?
Most people increase their mortgage for one of these purposes:
- Renovation or extension. A new kitchen, bathroom, dormer window or extension. The interest is tax-deductible if you demonstrably use the increase to improve your own home and repay it within 30 years (annuity or linear basis).
- Sustainability upgrades. Solar panels, insulation, a heat pump or a new roof. For energy-saving measures you can in many cases borrow up to 106% of the property value — more than for a standard renovation. See also our page on sustainable living.
- Releasing equity. Want to free up money for a gift to your children, additional pension savings or something else? That is also possible. Note: if you use the increase for non-housing purposes, the interest is not tax-deductible.
- Major maintenance costs. Think of replacing a central heating boiler, foundation repairs or deferred maintenance you want to tackle.
Money earmarked for a renovation or sustainability upgrade is usually placed in a building deposit (bouwdepot). From there you pay the invoices of the contractor or installer directly.
What does increasing your mortgage cost?
Increasing your mortgage is not free. Expect a combination of the following costs:
- Valuation costs (taxatiekosten). The lender needs to know the current value of your home. For a private increase, a desktop valuation is sometimes sufficient, which is cheaper than a full valuation report.
- Notary costs (notariskosten). Only applicable if you take out a second mortgage. For a private increase, no notary visit is needed.
- Advice and brokerage fees. These are paid to Libero Financieel. We compare all lenders for you and manage the application from start to finish.
- NHG costs. Do you already have a mortgage with the Dutch National Mortgage Guarantee (Nationale Hypotheek Garantie) and want to increase it? Be aware of the NHG limit of € 435,000 (purchase price) or € 461,100 (renovation) in 2026. Above these limits, NHG does not apply to the new loan part.
The total costs depend heavily on your situation and the amount you want to increase by. We always discuss this upfront, so you know exactly where you stand.
Increasing your mortgage in 5 steps
- Free consultation with Libero Financieel
We discuss your plans, look at your equity and income situation and determine which route suits you best. - Valuation of your home
A valuer establishes the current market value of your property. Based on that, we calculate how much room there is to increase your mortgage. - Application to the lender
We submit the application and make sure your file is complete. You do not have to chase anyone. - Offer and approval
You receive an offer with the new terms. If you approve it, we sign the deed — at the notary if it concerns a second mortgage. - Payout
The money is transferred to your account or placed in a building deposit (bouwdepot), depending on the purpose of the increase.
Independent advice tailored to you
We are not tied to any single lender. That means we compare the market and choose what is genuinely best for your situation. Not for the bank, not for the insurer: for you.
Increasing your mortgage for a renovation? We also look at the tax implications straight away. Does the interest qualify for deduction? Is it better to draw the money in one go or in stages? Does your current mortgage type still fit what you have in mind?
We answer all of that in one conversation. Honest, clear and without jargon.
What you get from us
- Personal advice based on your specific situation
- Comparison of multiple lenders
- Insight into costs and tax consequences
- Full guidance from application to payout
- Online or at our office in Enschede
Frequently asked questions about increasing your mortgage
Can I increase my mortgage without equity?
In most cases, no. Lenders require your home to be worth more than the total mortgage debt after the increase. Without equity, a personal loan is sometimes an alternative, but it usually comes with a higher interest rate.
Is the interest on a mortgage increase tax-deductible?
Yes, if you use the increase to improve or make your own home more sustainable, the loan is on an annuity or linear basis and you repay it within 30 years. If you use the money for other purposes, the interest is not deductible. We always explain this concretely for your situation during the consultation.
How long does increasing a mortgage take?
For a private increase with a complete file, expect two to four weeks. A second mortgage takes slightly longer because a notary appointment is also required. We always give you a realistic estimate in advance.
Can I increase my mortgage with a different lender than my current one?
Yes, through remortgaging (oversluiten). You pay off your existing mortgage and take out a new, larger mortgage with another party. This is sometimes more advantageous, especially if your current interest rate is high or the terms of your existing mortgage no longer suit you.
What is the difference between a private increase and a second mortgage?
With a private increase (onderhands verhogen), you use the headroom that already exists in the current mortgage deed: the mortgage is registered with the notary for a higher amount than you currently owe. No notary visit needed, lower costs. A second mortgage is the option when that headroom no longer exists. You register a new loan part with the notary. Higher costs, but more borrowing capacity if you have sufficient equity.
Can I use a mortgage increase for a renovation via a building deposit?
Yes. When the money is intended for a renovation or sustainability upgrade, it is almost always placed in a building deposit (bouwdepot). From there you pay the contractor's invoices directly. This gives the lender certainty that the money is genuinely used for the property.
Ready to explore your options?
Tell us what you have in mind. Together we look at whether an increase is feasible, what the costs are and which route makes the most sense for you. No obligations, just honest advice.