Home is where the heart is
We can finance up to 80% of your new home, or up to 85% if you are a first-time buyer.
We can finance up to 80% of your new home, or up to 85% if you are a first-time buyer.
Non-indexed loans have higher monthly repayments and build equity faster. In comparison, inflation-indexed loans have lower monthly repayments but slower equity build-up.
You can also choose a mixed loan, which combines the benefits of both options.
Inflation-indexed loans are linked to the consumer price index and therefore change when the price level increases or decreases.
Indexed loans have fixed interest rates for 3-year periods. At the end of each 3-year period, the bank has the authority to review the interest rates and fix them again for the next 3 years. During the last 90 days of each fixed-rate period, the loan does not carry a prepayment fee.
Non-indexed loans are not linked to the consumer price index and therefore do not increase with inflation.
Non-indexed housing loans have fixed interest rates for 3 years or variable interest rates for the entire loan term. The loan term can be up to 40 years. Customers can request refinancing in the third year of the fixed-rate period and throughout the loan term without prepayment penalties, allowing them to choose from loan options available at that time. If the loan is not refinanced before the end of the fixed-rate period, it will switch to the variable interest rates available at that time plus a fixed interest premium specified in the loan terms.
Mortgages are generally repaid either with fixed monthly payments or with equal principal repayments.
You can refinance a loan with equal principal repayments into one with fixed monthly payments. We then carry out a credit assessment, just as we do for other mortgage refinancing applications.
When repaying a mortgage with equal principal payments, the same amount of principal is paid each month, in addition to interest and, where applicable, inflation indexation adjustments if the loan is inflation-indexed.
Monthly repayments on mortgages with equal principal payments are higher at the beginning than with fixed monthly payments, but they decrease over time as the outstanding balance is reduced.
When repaying a mortgage with fixed monthly payments, the total monthly payment is approximately the same each month.
If the mortgage is inflation-indexed, the monthly payments will generally change in line with the consumer price index.
Compared to equal principal repayments, fixed monthly payments are usually lower at the beginning of the loan term.
Suitable for those who want to take advantage of favorable pension fund loans but need additional funding to purchase a new property or refinance existing housing.
We offer a simple and fast credit assessment. The process is digital, and it only takes a few minutes to calculate your affordability. We collect information such as your income, assets, and liabilities.
The lending environment may now be more favourable than when you first took out the loan, which can lead to lower interest rates and lower monthly repayments.
We provide comprehensive financing that supports you through every stage of your project, from buying the land to finishing the construction.
We offer housing loans for those who have income in foreign currency and want to take out a loan but need to use foreign income to pass the affordability assessment or have legal residence abroad.
We offer customers 100% discount on loan origination fees for residential mortgages when purchasing environmentally certified housing.
Confirmation must be provided that the property has been certified by one of the following entities:
Nordic Swan Ecolabel
BREEAM - Very Good
LEED Gold
We help you find the best way to finance your dream getaway, whether you’re buying a new holiday home or renovating your current one.
In some situations, it may be helpful to apply for a mortgage payment deferral.
If your mortgage payments have increased significantly, it may help to explore the options available.
When payments become difficult, taking early action and exploring available options could help you get back on track.
To make first-time home purchases easier, we lend up to 85% of the property’s market value and also offer a 100% discount on the loan origination fee.
We offer new parents the option to reduce their payments by up to half while they're on parental leave.
By applying payment stabilisation to your loan, you can pay a fixed, reduced amount for twelve months, instead of your standard monthly payment.
We want you to enjoy the benefits of having your finances and insurance under one roof. By choosing both Arion and Vörður, you get better terms.
Just open the Arion app, tap More, and then My Insurance. If you like the offer, you can complete the purchase with a single click — it’s that simple.
Choosing the right mortgage is a major decision that affects your household finances for many years. Therefore, it's important to understand how the choice of loan term and type can change both the payment burden and total cost. Whether the loan is indexed or non-indexed, and how long the loan term is, can have significant effects on payment burden and equity building.
After checking your payment capacity and securing a down payment, it's time to find your dream property. This process can take varying amounts of time, but it's important to choose carefully and find a property that has most of the features you're looking for.
Most people have very clear ideas about what kind of apartment they're looking for and what requirements it needs to meet, but it's good to keep in mind that you may not find an apartment that fulfills all your wishes. When buying your first property, you often need to prioritize features and choose the property that checks the most boxes if you can't find one at the right price that meets all your criteria.
When taking out a new loan, the repayment period can be crucial. The maximum loan term varies, but the longest loans are for real estate purchases, which can extend up to 40 years.
It is difficult to determine whether renting or buying is right for you, and this is mainly guided by your financial situation and financial goals. You should calculate both options thoroughly before making a decision. If you are considering purchasing property, there are several important factors you should familiarize yourself with and be clear about before you begin the process.