Mortgages in Finland
Finland offers favourable mortgage terms to foreign nationals; however, some banks will only provide loans to borrowers with permanent residence permits (pysyvä oleskelulupa) or who have guarantors with Finnish citizenship. It is easiest to obtain a loan if you have a source of income in the country.
|Maximum LTV ratio||75%|
|Loan term||Up to 35 years|
|Minimum age of borrower||18|
|Maximum percentage of monthlyincome for mortgage||30%|
The documents required to obtain a mortgage loan in Finland include:
- valid passport
- proof of income (copies of personal income tax forms for the two previous years)
- proof of ownership of property
in the buyer’scountry of permanent residence (if applicable)
- bank documents proving timely payments for any previous loans (if applicable).
Documents must be translated into Finnish and notarised. It can take up to two weeks for a bank to process each mortgage application.
Borrowers also pay for appraisals, mortgage arrangements and annual insurance fees.
|Property appraisaland Due Diligence|
|Compulsory propertyinsurance||Varies by insurancecompany, property typeand other factors|
|Mortgage arrangement fee|