Releasing equity from your home
Turning equity into money is a financing question. The consequences, however, land straight on your home policies, because a higher loan and a refurbished home change what has to be insured.
- Several insurers compared objectively
- 9.5 customer rating for a new policy
- AFM licence 12016589
- Personal 072 - 509 24 56, weekdays 9–17
This page in another language: Nederlands
- We compare the offerings of several insurers
- An adviser checks whether the cover suits your situation
- We arrange the switch, including cancellation
A premium indication, not personal advice. Prefer to talk it through? Call 072 - 509 24 56.
- Independent advice
- Several insurers
- Switching arranged
- Help with claims
In brief
Equity is the difference between the value of the home and the outstanding mortgage debt. Releasing that amount can be done by various routes: increasing the existing loan, a second mortgage, remortgaging or a release scheme for older homeowners. Which route fits depends on income, age and the purpose of the release. We do not act as an intermediary for mortgages and refer you on for that; see releasing equity from your mortgage and remortgaging.
If the money is used to refurbish, that affects your buildings insurance at two moments. While the work is going on there is an increased risk that the ordinary policy carries only to a limited extent. After completion the home costs more to rebuild than at the last valuation. If you fail to adjust the sum insured, a claim is reduced proportionately for underinsurance. See mortgage for a refurbishment.
A higher monthly payment also makes a loss of income more expensive. Disability, unemployment or the death of a partner are then no longer abstract risks. In that connection, look at disability insurance. A term life cover that is still geared to the old debt no longer fits after an increase; have it reassessed before the deed is executed.
This page deals with one situation. The full overview is on Mortgages: we refer you on.
Please note: borrowing money costs money. Finass Advies B.V. holds a licence for non-life insurance and does not act as an intermediary for credit or mortgages. This page is informative. For an application we refer you to a provider with a licence for consumer credit or mortgage credit. Every licensed provider consults the BKR (the Dutch credit register) for credit of € 250 or more with a term of longer than one month.
Insurance never stands alone
A mortgage, loan or investment often touches your insurance too. We look at the bigger picture and point you to the right specialist whenever something falls outside insurance itself.
Financial
Overview
AdviceWhy arrange it through Finass Verzekert?
We look at the terms as well as the premium, and stay your point of contact when there is a claim.
Independent
We are not tied to one insurer and compare on the basis of an objective analysis of several companies.
One fixed adviser
You call or email someone who knows your file. No menu options, no changing call centres.
Switching without hassle
We cancel your old policy and align the start date, so you are never a day without cover.
Help with claims
We report the claim and monitor how it is handled. In urgent cases you can reach us on the emergency line.
What goes wrong after a release
Four situations in which the release itself is properly arranged, but the insurance lags behind.
Damage during the refurbishment
Buildings insurance covers sudden events at an occupied home. During a refurbishment much falls outside that: water damage through an open roof, storm in a facade without glazing, theft of building materials and damage caused by the builder. For that period there is a separate construction insurance; see Personal CAR insurance.
The rebuild value lags behind
An extension, a dormer window or an enlarged kitchen raises what it costs to rebuild the home. If the sum insured stays the same, there is underinsurance and a claim is every reduced proportionately, even a small leak. A rebuild value calculator or a valuation gives a guarantee against underinsurance; have it filled in again after the refurbishment.
Spending on consumption does not change the security
If the money goes on a car, a course of study or a gift, the home does not become worth more while the debt does rise. In a forced sale the residual debt is therefore larger. Insurers do not cover a residual debt. That is not a loss within the meaning of the policy. Only term life cover or a mortgage payment provision absorbs this at a life event.
Letting part of the home
If the release is used to make part of the house suitable for letting or letting by the room, the description of use changes. Owner occupation is then no longer the right description. Reporting it is compulsory under Article 7:928 of the Dutch Civil Code; if you fail to do so, the insurer can, under Article 7:930 of the Dutch Civil Code reduce the payout or refuse it altogether.
What does your premium depend on?
- New rebuild value: the basis of the buildings premium after the refurbishment
- Nature of the extension: a timber extension weighs differently from brick
- Length of the building period: decisive for the premium for the construction cover
- Value of the contents after the refurbishment: a new kitchen or installation shifts the balance
- Level of the new monthly payment: the starting point for mortgage payment protection or death cover
- Age and health for risk cover: decisive for the acceptance and premium of life cover
Insurers weigh these details differently. That is where your saving is.
What is arranged
| Situation | At Finass Verzekert | With the provider |
|---|---|---|
| You see side by side which lenders allow an increase for consumer purposes | Yes | No |
| You get a first indication of your equity before there is a valuation | Yes | Provided that |
| Someone checks whether the release conflicts with your current buildings and term life cover | Yes | No |
| The income assessment and the binding offer are drawn up | No | Yes |
| The valuer is engaged and the report is assessed | No | Yes |
| You get an opinion on deductibility for tax in your own tax return | No | No |
The mortgage advice and the assessment run through the provider. We make sure you know in advance which route suits your purpose.
Frequently asked questions
This is what people ask us most.
Does Finass arrange the release of equity?
No. We are an insurance adviser and do not act as an intermediary for mortgages. For that we refer you to a specialist adviser. What we do is assess what consequences the release has for your buildings, contents and risk cover, and adjust those so that when you claim there is no gap between the new situation and the policy schedule.
Do I have to tell my insurer that I am going to refurbish?
Yes. A refurbishment changes the risk for the duration of the works and the value afterwards. Many policies have limited cover or a higher excess during the building work. Report the nature of the work, the building period and whether there is a builder or an element of DIY. The latter is a separate section for the construction cover.
Is damage caused by the builder my problem?
In the first instance the builder is liable under Article 6:162 of the Dutch Civil Code and its liability insurance has to bear the loss. In practice that goes wrong with small firms without cover or where there is argument about the cause. A construction insurance then pays the loss anyway and handles the recovery. Always ask for valid evidence of insurance before the work starts.
What is a guarantee against underinsurance?
An arrangement under which the insurer waives any reliance on underinsurance, provided you have established the rebuild value with an approved tool or a valuation and the details are correct. That guarantee applies for a limited period and lapses on a substantial refurbishment you do not report. Article 7:960 of the Dutch Civil Code continues to apply as well: no more than the actual loss is paid.
Every situation is different. For these situations we have a separate page.
- Finance: we refer you onThe main page
- Releasing equity from your mortgage
- Calculating the value of your homeMarket value, WOZ, rebuild value
- A mortgage for a renovationBuilding deposit, rise in value, reporting
- Interest-only mortgageNo repayment, end of term, tax
- Mortgages: we refer you onNo advice, NHG limit 2026, referral