Loan for property investment and investment buildings

Which investment projects do we finance?

A rental investment does not necessarily start with a whole building. We support all formats, from the first rental purchase to an existing portfolio:

• A studio or apartment for rent : the most common entry point for a first investment, often in addition to the main residence.
• A house for rent : standard family letting or flat-sharing, with different analysis criteria depending on the type of lease.
• A multi-unit house or investment building : a building divided into several dwellings, with analysis of each unit and of the existing leases.
• A mixed-use building : dwellings with a commercial or professional part on the ground floor, under conditions (see details below).
• A property with renovation work : renovation, refurbishment, bringing up to standard or energy improvement included in the financing.
• A purchase through a company : if you invest with an SRL/BV, see our page dedicated to property financing through a company.

Mixed-use building: housing and shop

Many Brussels buildings combine a shop on the ground floor and dwellings on the upper floors. This type of property can be financed, but under precise rules:

• A 100 % professional shop, without housing, does not fall within this type of financing. It is no longer a residential rental investment: other solutions exist, but they are outside the scope of this page.
• A mixed property, housing and shop, can be considered. The non-residential part is then valued manually and individually by the bank: each file is examined case by case, with no automatic answer.
• The activity carried out on the ground floor counts as much as the building itself. Some sectors are excluded by banks for compliance reasons, notably night shops, gambling establishments or the diamond trade. The identity of the commercial tenant is therefore something to check before committing.

A typical example of a file that can be analysed: a standard commercial ground floor (local shop, liberal profession) with two rented apartments above. Contact us with the exact configuration of your project and we will quickly tell you whether it can be financed and with which partners.

What changes compared with a standard purchase

Financing a rental property is not analysed like the purchase of your own home. Three main differences:

The expected loan-to-value is stricter. The National Bank uses a benchmark of 80 % for rental investment, compared with 90 % for your own home. Larger own funds are therefore generally expected, even if there is some leeway depending on the banks and the files.

Rents are included in the analysis, but how they are counted varies by bank. In most cases, up to 100 % of rents can be taken into account; some more cautious banks limit this to 80 %. The choice of bank therefore directly changes your borrowing capacity.

The property itself is examined closely. General condition, energy performance, ease of re-letting, planning situation: the lender assesses the strength of its guarantee as much as your profile.

Do rents increase my borrowing capacity?

Yes, existing or estimated rents can be included in the analysis of your borrowing capacity. In most cases, we can have up to 100 % of the rents received or estimated taken into account by our partners; for other, more cautious banks, this is limited to 80 %. Choosing the right lender therefore directly changes the amount you can borrow.

Supporting documents may be requested: registered leases, proof of rent payments, or a rental valuation for a property that is still empty. The type of letting also influences the analysis: a standard long-term lease is viewed differently from flat-sharing or seasonal letting.

What own funds for a rental investment?

There is no single amount for all projects. The own funds needed depend on the purchase price, the valuation, the acquisition costs, any work, your income, your current loans and the guarantees you have.

Important: for a rental property, registration duties apply at the full rate (12.5 % in Brussels and Wallonia, 12 % in Flanders), without the allowances reserved for your own home. These costs must be budgeted from the start: estimate them with our simulator.

Can own funds be limited?

Yes, in some situations. When you have sufficient guarantees, for example a property you already own that is largely paid off, the bank can finance a larger share of the purchase price thanks to this additional guarantee. Registration duties and notary fees normally still have to be paid from your savings. This is a common arrangement for investors who are already owners.

Each file remains subject to the lender's complete analysis: no financing can be guaranteed before study. But if you are already an owner, do not assume you need 20 % own funds before doing the maths.

The point to watch in Brussels: the planning situation

This is the number one trap for investors in Brussels, and the first thing we check. Many houses have been divided into several dwellings over the years, sometimes without planning permission.

The number of units actually recognised by the municipality determines the bank's analysis: a property advertised as a “building with 3 apartments” but officially recognised as a single-family house can block financing, or completely change the value retained.

We check this point with you before the file is submitted, and before you sign anything. See also our advice on the mistakes to avoid in the sales agreement.

Financing work on your rental property

Work can be included in the financing on the basis of detailed quotes: renovation, compliant division, bringing up to standard or energy improvement. Three things to know:

• The value of the property after the work can be used by the bank, which sometimes improves the loan-to-value and therefore the amount that can be financed.
• Funds are generally released progressively, on presentation of invoices.
• For very energy-inefficient properties, some banks now require a renovation budget to be included in the financing plan: see our guide on the EPC and your loan.

How we support you

A single point of contact to analyse, structure and defend your project.

Frequently asked questions

Article written and checked by the team at Hypoprime, FSMA-registered mortgage broker in Brussels. Any financing request remains subject to the lender's analysis and approval. Warning: borrowing money also costs money.