Quotité (loan-to-value)
Quotité is the word Belgian lenders use for loan-to-value: the ratio between the amount borrowed and the value of the property, expressed as a percentage. A quotité of eighty per cent means the loan covers four fifths of the price. The higher the quotité, the higher the rate offered.
Why it determines your rate
The quotité measures the lender's exposure. If repayment stops, the bank recovers the property, so the smaller the share of its value that the loan represents, the more comfortable the safety margin.
The best rates are therefore reserved for moderate ratios. Crossing a threshold, for example moving below eighty per cent, can be enough to obtain a materially better rate, which makes a slightly larger deposit worth more than it looks.
One Belgian point deserves attention: registration duties and notary costs are generally not financed by the mortgage. They are added to the own funds you need, independently of the quotité on the property itself.
Frequently asked questions
What is the maximum quotité Belgian banks accept?
There is no single legal ceiling. Lenders apply their own risk policies within the expectations of the financial supervisor, and higher ratios remain possible but come with a higher rate and stricter conditions.
How do I reduce my quotité?
By increasing your own contribution or by buying at a lower price. A larger contribution works twice over: it reduces the amount borrowed and improves the rate obtained, so the total cost of the credit falls on both counts.