Housing loan

Basic characteristics of a housing loan

• You can get a loan for buying a house or a flat and for renovating it. Your housing loan may amount to around 75% of the price of the house or the flat. The loan will be secured by the house or the flat.
• With an OwnGuarantee, you may be able to buy a home without any initial capital.
• With help of a State guarantee you can buy additional security for you loan up to 85 % of purchase price of the home.
• The loan period can be 35 years. If your loan has a State guarantee, the maximum loan period is 25 years.
• Part of the interest on loans taken for buying a new home or for renovating your existing home is tax-deductible.
• You can choose your housing loan to have a fixed interest rate or you can draw down your loan with variable interest in which case the interest on your loan tracks the changes to the reference rate agreed on. A change to the reference rate will decrease or raise the payable interest rate. In housing loan agreements, the value of the reference rate is always at least zero. Read more about the interest alternatives.
• Interest on loans taken for buying a new home or for renovating your existing home is tax-deductible.

Change to the instalments of your existing housing loan?

Making changes to your housing loan has been made easy at Nordea. If you want to make changes to your loan, you can apply for them conveniently online with access codes.

You can change the features of your loan by applying for a change to the repayment schedule, if, for instance, your life situation changes. You can apply for a change to the loan's due date, amount of the monthly instalment, repayment method or reference rate. 

In addition, you can apply for FlexiPayment or choose to have an instalment-free period. 

Get a loan promise in advance

Get a loan promise before you start looking for a home. This way you will know exactly what kind of a home you can afford. In addition, you will have an upper hand as a buyer. The best homes are sold quickly, but as you have already agreed on a housing loan, you can make decisions quickly.

Getting a preliminary housing loan proposal is easy. The proposal preliminarily states the maximum amount of loan, along with the loan period and interest of the loan. The loan proposal does not bind you or the bank, but this way you will get an idea of the price level that suits you best.

For a loan promise, we need a more detailed report on your income and expenses, information on the property to be bought and on any additional security. With a loan promise, the bank commits to finance the purchase of the home under the agreed terms and conditions. The loan promise will be in force for one month and you can renew it easily.