House keys and deed of sale on a table. LEHTIKUVA
- Next Article Housing costs in Finland: Nurmijärvi the most expensive, Seinäjoki the cheapest
Mortgage interest rates in Finland have continued to decrease, with the average effective interest rate for new housing loans dropping to 3.09% at the beginning of March, down from 3.16% in February. The average loan margin among major banks in the capital region remained at 0.64%.
A comparison conducted by Etua.fi, which gathered offers from nine banks for a €150,000 mortgage with a 20-year term, showed that banks’ loan margins varied between 0.60% and 0.80%.
Prime rates ranged from 1.50% to 3.20%, depending on the bank.
One notable shift in the market is that the six-month Euribor rate has fallen below the 12-month rate. On 3 March 2025, the three-month Euribor stood at 2.46%, the six-month at 2.33%, and the 12-month at 2.36%.
Among the banks included in the comparison, S-Pankki, Danske Bank, and Aktia offered the lowest total interest rate of 3.03%, with a 0.60% margin. Other banks had slightly higher rates, with Ålandsbanken offering the highest rate at 3.25% with a 0.80% margin.
The downward trend in mortgage rates reflects easing financing conditions as Euribor rates decline. However, loan terms and costs still vary significantly between banks, making comparisons essential for borrowers looking to secure the best possible deal.
HT
- Next Article Housing costs in Finland: Nurmijärvi the most expensive, Seinäjoki the cheapest
Source: www.helsinkitimes.fi
