Non-indexed housing loans with floating rates

Non-indexed mortgages with floating rates are suited to customers who wish to pay their loans off more quickly and avoid accumulating inflation compensation on the principle. Mortgages are available for the purchase of real estate, refinancing of loans, new construction or housing improvement purposes.

Term of loan

  • The loan has a term of up to 40 years.
  • A supplementary loan is an amortised loan for a maximum period of 15 years.

Amount of loan and LTV

  • The maximum loan amount is up to 70% of the property's market value or valuation and a supplementary loan can be taken out to finance up to 85%.
  • The lending percentage cannot exceed the combined fire insurance assessment value and plot value of residential housing.
  • First mortgage rights are required and the real estate must be owned by the borrower.
  • Minimum housing loan is ISK 1 million.



  • These are variously amortised or equal payment on principal loans.
  • Repayment of supplementary loans is in the form of monthly equal instalments on the principal.
  • Instalments are made monthly and the applicant can select the day of the month.


  • Fee for registration accrues to the national treasury.
  • Borrowing charge is ISK 52,500 kr..
  • No payback charge.
  • Other fees as per the bank's current tariff.

Other information

  • The borrower must pass credit assessment.