Corona-hit home owners struggling to pay mortgages won’t face foreclosure


Home owners who are unable to meet their mortgage payments because they have lost income due to the corona crisis will not face having their homes repossessed and sold for the coming few months.

Banks and mortgage providers have reached agreement with the government not to take action if home owners default on their mortgages up to July 1 at least.

The measure follows research by home owners lobby group VEH which shows that 14% of the self-employed are worried about paying their mortgages in the coming months.

Coronavirus and the housing market

Earlier, landlords agreed to halt evictions if their tenants too fell behind on payments. The government has also agreed to try to avoid evictions and sequestration orders for people who run up debts or who have unpaid fines.

Rental housing

Junior housing minister Stientje van Veldhoven has also introduced emergency legislation which would allow landlords to extend short-term contracts for up to three months without any repercussions.

‘At times like these it can be hard for tenants to find somewhere else to live, particularly if they are affected by quarantine, illness, have lost their jobs or are working round the clock in healthcare,’ the minister said.

Currently, short-term contracts cannot be extended but can be turned into unlimited tenancy agreements.

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