You can easily apply for a loan online. The first step is to complete a credit assessment which only takes a couple of minutes.

If you want to get a clearer picture of your payment capacity without completing a credit assessment, you can use the credit calculator to arrive at an estimate.

• More about credit assessments
• Complete a credit assessment and apply for loan
• Make an appointment for financial advice

Customers with income originating from outside of Iceland need to submit pay slips from their employer for the purpose of the credit assessment.

No, that is not possible. The loan is in Icelandic króna (ISK) and instalments are also in ISK. The loan is secured against the customer’s property in Iceland, i.e. the mortgage is obtained against the property that is being financed.

The borrowing charge on real estate mortgages indexed to a foreign currency is ISK 119,800. This charge is higher than for other mortgages because the administrative cost to the Bank is higher as a result of various additional legal obligations.

There is also cost associated with the credit assessment and public registration of documents.

If the borrower resides outside of Iceland at the time of borrowing and/or has income in a currency other than Icelandic króna, the loan is considered indexed to a foreign currency.

This is in accordance with Article 4 of Act No. 118/2016, on Mortgage Lending to Consumers, which classifies loans to consumers as loans indexed to a foreign currency if the consumer’s income is in a currency other than that of the loan or if the consumer resides in a second country at the time of borrowing.

Eligible borrowers must be creditworthy, complete Landsbankinn’s credit assessment and have an Icelandic Id. No. (kennitala). The Central Bank of Iceland has set rules capping debt service to a percentage of income, meaning that debt service may not exceed 35% of income (40% for first-time buyers).

More stringent requirements apply to disposable income in the credit assessment for foreign currency indexed mortgages.

Mortgages are only granted against real estate and the borrower is required to reside at the property in question. If you do not intend to reside at the property, it is possible to apply for a real estate loan indexed to a foreign currency.

Please book an appointment or phone consultation for further information.

The mortgage is indexed to the same currency as your income or the currency of your country of residence. The following currencies are available: USD, EUR, GBP, DKK, NOK, SEK, PLN, JPY, CHF and CAD.