Home loan and Home equity loan

Which loan to choose?


Home loan

Home equity loan

Purpose Buying or building a home Buying or building a home;
Furnishing or Renovation;
Payment of educational expenses or medical treatment expenses Other major expenses.
Interest rate interest rate + floating base rate interest rate + floating base rate
Term Up to 30 years Up to 20 years
Loan amount Starting from 10 000 euros Starting from 10 000 euros
Self-financing With an additional collateral 0%,
without an additional collateral at least 10%
Not required – loan up to 85% of the market value of the collateral
Collateral Collateral needed Collateral needed
Net income At least €600 per month(along with a co-applicant together at least €800 a month) At least €600 per month (along with a co-applicant together at least €800 a month)
Insurance Mandatory Mandatory
  Fill in application

Application form for co-borrower or surety provider
Fill in application

Application form for co-borrower or surety provider
  • An opportunity to perform all loan-related operations in one place

    The Internet Bank always provides an excellent overview of all your agreements and other financial issues. Client managers are ready to counsel you on various banking issues.

  • Integral property insurance

    Swedbank home insurance is an integral solution that provides your home with an insurance cover from the foundation to the chimney. If you also insure, in addition to the building, your home contents with us, you will get 10% off your home insurance.

  • Favourable life insurance

    Credit-life insurance may be up to 25% more favourable for you than the conventional price, depending on your sum insured, state of health and health behaviour.

  • Useful bonus points

    If you use Swedbank services, you will earn useful bonus points for which you can order banking services under favourable terms or without charge, various gifts or make donations.

Steps to take a loan secured by real estate

  1. Submit to the bank your loan application or wish by telephone, e-mail or in the Internet Bank.
  2. The loan administrator examines your loan possibilities.
  3. Loan consultation in a bank office, by e-mail or telephone.
  4. Submission of documents to accompany your loan application by e-mail or in a bank office. Appraisal fee of the real property being bought. Real Estate Evaluators accepted by Swedbank to value commercial and residential properties.
  5. We inform you of the loan decision by telephone or e-mail.
  6. We agree on signing the loan agreement and on the appointment at the notary public.
  7. We sign the loan agreement in a bank office or with an ID card in the Internet bank, by e-mail or in the DigiDoc portal.
  8. We make an agreement of purchase and sales and establishment of mortgage at the notary public. Notary fee and state fee
  9. We transfer the loan amount to your account. Fee for entry into the loan agreement
  10. Congratulations! You can realise your dreams. You can see all your loan information during the repayment of the loan if you log in the Internet Bank. Scheduled loan payment and property insurance
  11. If you want to make any amendments during the loan term, an annex to the loan agreement must be made. Please submit your application for amendment in the form of a bank notice. Fee for annex to the loan agreement as set out in the price list

Documents required to apply for a loan

The bank has the right to ask the borrower for the documents and information necessary for assessing creditworthiness and ask for additional explanations about the borrower’s creditworthiness, collateral and the purposeful use of the credit.

To assess creditworthiness the borrower must submit the following information to the bank among other things:

  • regular income and its amount;
  • source and amount of additional income;
  • financial obligations (e.g. maintenance support, credit agreements, obligations arising from providing surety, arrears before the Tax and Customs Board) and their amounts.

The specified list is not exhaustive and the bank may ask the borrower for additional information and documents when assessing creditworthiness and collateral property, which confirm the truth of the information provided. These documents may for example be:

documents related to collateral property, primarily the expert assessment about the market value of the collateral property or a construction or renovation calculation and the construction agreement, but also e.g. the sale offer of the property being bought, building or use permit, procedure for use, agreement to constitute a right of superficies, agreements forming the basis of establishing an encumbrance etc.)

A loan agreement can be amended by agreement of the parties.

Loan agreement amendments

Amendment of an agreement is subject to an amendment fee established in the price list.

Frequently Asked Questions

What amendments can I make in my loan agreement?

You can amend your loan agreement by agreement of the parties by drawing up an annex to the loan agreement. You can make several amendments to your loan agreement by one annex. In such an event the loan agreement amendment fee is also lower. If you wish to amend your loan agreement, submit an application to us.

Do I need to amend my loan agreement in the event of early repayment of the loan amount?

If you repay the entire loan amount before the prescribed time (regardless of whether you have sold the property or not), you will not usually need to amend the agreement. An amendment may result from the association of the collateral property with another loan agreement.

If you repay a portion of the loan amount, the steps to be taken depend on whether you would also like to amend the loan term or have certain property withdrawn as the collateral.

Partial repayment of the loan amount without other amendments can be arranged without drawing up an annex to the loan agreement. Merely the bank needs to be informed thereof. However, you should take into account the early repayment fee specified in the loan agreement.

Do I also need to amend the agreement when I change homes?

If you change homes, you will have to submit a new loan application to us for the purchase of new property. The current agreement will terminate once you sell your existing home. We advise you to discuss any other possible solutions with your loan consultant.

How should I act in case of financial difficulties?

If you have payment difficulties, contact your loan consultant immediately or call Customer Support at 6 310 310. We will find the best solution once we have discussed all the expectations, wishes and options.

Before taking a loan, always examine its terms and conditions carefully. Read additional pre-contractual information of loan agreements to be concluded with individuals.

Maximum loan amount

The amount of home loan and home equity loan may be not more than 90% of the value of the collateral. The maximum loan amount also depends on your income and previous payment behaviour. You should take into account that the total of your loan and leasing payments may, depending on the size of your income, form 50% of your regular and certified income.


Suitable collateral for the loan amount is the residential real estate belonging to the borrower. In the case of a home loan this is usually the apartment or house being bought, in the case of home equity loan the property that has generally already been bought out or whose value is considerably larger than the current loan liability.

Surety of KredEx

General principles

Surety of KredEx is additional collateral for a housing loan secured by immovable property and it provides the borrower with an opportunity to use smaller self-financing. The need for using surety of KredEx as collateral is agreed upon between the bank and the borrower. Surety of KredEx is not financial support.

The borrower(s) may have only one loan with surety of KredEx.

The bank has the right to require that KredEx perform its obligation of surety if the loan agreement has been cancelled by the bank and the funds received from the sale of the immovable property that serves as collateral for the loan agreement are not sufficient for the repayment of the arrears of the principal amount of the loan arising from the loan agreement (KredEx secures only repayments of the principal amount of the loan).

If KredEx compensates the bank for the repayments of the principal amount of the loan that have not been paid by the borrower, the bank will assign to KredEx claims against the borrower within the amount paid by KredEx. As a result of the aforementioned, KredEx becomes a new creditor for the borrower within the amount paid to the bank and it has the right to require that the borrower compensate for the amounts paid by it to the bank. KredEx also has the right to require that the borrower compensate for the costs that it incurs in connection with the collection of the amounts paid on the basis of the contract of suretyship from the borrower.

Repayment schedule

When taking a loan, you can yourself choose a suitable loan schedule.

Common types of schedule

  • Fixed principal payments schedule: the monthly payments are larger at the beginning of the loan term due to larger interest payments. Interest payments become smaller towards the end of the loan term and therefore the monthly payments also decrease.

  • Annuity schedule: during the entire loan term you pay equal monthly loan payments, depending on changes in the interest rate. In the case of the floating rate annuity schedule with fixed monthly payments the loan term extends or shortens according to changes in the Euribor.

Loan costs

Entry into a loan agreement entails additional costs: interest must be paid on the loan amount; upon entry into the agreement, the agreement fee set out in the price list must be paid plus the fee for appraising the collateral, fees for the establishment of pledge, insurance costs, etc. All the expenses related to the loan agreement shall be paid by the borrower.


A loan taken must be repaid along with interest. The amount of interest payable depends on the interest rate set out in the agreement. This, in turn, depends on the base rate and interest margin:

interest rate = base rate + interest margin

Option for base rate

  • 6 months’ Euribor (Euro Interbank Offered Rate). The Euribor-tied interest rate changes (increases or decreases) every 6 months.
  • Negative Euribor equals to zero.

Interest margin is calculated individually for each client and it depends on the client’s solvency, previous payment behaviour, collateral, etc.

Additional information in connection with surety of KredEx.