Why your own investment is a barrier for many: The reality of 2026

In the Netherlands of 2026, the dream of owning a home is still alive and kicking for many, but the road to it seems to be paved with financial obstacles. Although the government has taken various measures to make the market more accessible, such as increasing the transfer tax exemption to €180,000 and the NHG limit to €180,000, one stumbling block remains unchanged: the necessary personal investment, also known as the down payment.

It is a paradoxical situation. Many tenants easily pay €1,500 in rent in the free sector every month, but do not receive a mortgage with comparable monthly payments from the bank because they do not have sufficient savings. In this article, we analyse why your own investment became the biggest gatekeeper in the housing market in 2026.

The 100% LTV limit: Not a cent more

For years, the Netherlands has used a strict rule: the Loan-to-Value (LTV) ratio must not exceed 100%. This means that a bank cannot lend out more than the appraised market value of the home.

• The “Buyer costs” (K.K.): Although the transfer tax has been removed for many starters, there are still considerable costs that cannot be co-financed. Think of the notary fees, the valuation, the mortgage advice and the bank guarantee.
• The funding gap: For an average home of €450,000, a buyer will still have to expect around €10,000 to €15,000 in their own money in 2026, just to complete the transaction. This is money that 'evaporates' immediately and is not converted into bricks.

The phenomenon of “Overbidding”

Although the market is more stable in 2026 than during the extreme peaks of a few years ago, chronic scarcity is still causing bids. When a buyer bids above the asking price, a dangerous gap occurs.

Calculation example: Suppose a home is for sale for €400,000. The appraiser sets the market value at €400,000. However, the buyer offers €420,000 to get the home. The bank borrows a maximum of €400,000 (100% of the market value). The buyer must pay the extra €20,000 completely out of pocket, in addition to the buyer's costs.

For the average starter, who spends a large part of their income on rent each month, saving such amounts is a process of years, while house prices often rise faster than the savings balance at the same time.

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The influence of student debt

In 2026, the impact of student debt on mortgage applications will be more transparent than ever by using source data via Ockto and iWize. Although the calculation method for student debts has become more favourable (it looks at the actual costs), it remains an enormous brake on borrowing capacity.

If the maximum mortgage is lower than the purchase price of the home due to student debt, the difference must be supplemented with, you guessed it, your own deposit. For many graduates of the “unlucky generation”, this means that they have to overcome an additional barrier of tens of thousands of euros before they even reach the starting line.

The gap between renting and saving

The biggest structural barrier is the “rental trap”. In 2026, rents in the free sector in cities such as Amsterdam, Utrecht and Eindhoven will be so high that they will consume a large part of disposable income.

• Capital accumulation vs. consumption: While a homeowner is forced to make monthly savings by paying off his mortgage, the tenant sees his money disappear to the landlord.
• Opportunity costs: The money needed for one's own investment could also be invested in stocks or index funds. Choosing to put everything into the 'bricks' of a first home feels like a risky concentration of wealth for many young professionals in 2026.

Sustainability: The new hidden costs

In 2026, an energy label C or D is often no longer sufficient for a favourable interest rate or a future-proof home. Buyers are confronted with the need to become more sustainable immediately after purchase.

Although there are more options to co-finance sustainability in 2026 (sometimes up to 106% of the market value), banks often require that the buyer himself also contribute, especially if the home value does not directly increase proportionally as a result of the renovation. This puts additional pressure on the buyer's already scarce cash.

Table: The required own investment in various scenarios (2026)

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Type of buyer                    Property value                  Strategy                                    Required own money (estimate)

Starter (<35 years)            € 400,000                           Bid at appraised value              € 8,000 – € 12,000 (K.K.)

Starter (<35 years)            € 400,000                           5% overbid                                 € 28,000 – € 32,000

Doorstromer                       € 550,000                            Including 2% transfer tax         € 25,000 – € 30,000

Self-employed person       € 450,000                           Bank risk surcharge                  € 15,000 – € 25,000

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The “Jubelton” hole

In the past, many start-ups could count on the tax-free donation from parents (the jubelton). Since its complete abolition, housing market inequality has moved to those who can get “friendly” loans from their parents versus those who have to build everything themselves. For the group without wealthy parents, their own income is a wall they can barely cross without help, putting pressure on social mobility in 2026.

How to break the barrier?

Despite the challenges, there are ways to reduce the amount of capital needed in 2026:

1. Starter loans: In 2026, many municipalities will again offer comprehensive starter loans that bridge the gap between the maximum mortgage and the purchase price.
2. Sustainability subsidies: Use national ISDE subsidies to get the costs of sustainability back immediately after purchase, so you will permanently lose less equity.
3. Family mortgage: Instead of making a donation, more and more families are opting for a loan at a competitive rate, which can increase borrowing capacity if properly set up for tax purposes.

The core

In 2026, your own investment will no longer be a 'bonus', but a hard condition that divides the housing market into haves and have-nots. It's the sum of strict LTV rules, the need to outbid and the high cost of living that makes saving difficult. As long as the housing market has a shortage of supply, the down payment will act as the filter that determines who can join the class of homeowners.

For the 2026 buyer, the message is clear: your income determines whether you get a loan, but your savings determine which house you can actually buy.