Variable rates can increase and decrease in line with market fluctuations and the economic environment, based on the current interest rate tariff at each time. This may be favourable or not, depending on how the rates fluctuate.
With fixed rates, you tie your rates for a specified period and hedge against interest rate fluctuations. Rates can be fixed for a period of 60 months. If the loan-to-value ratio is lower than 60% of registered real estate value, you pay lower interest. Fixed interest is even lower if the loan-to-value ratio is below 50% of registered real estate value. Fixed-rate loans carry a pre-payment charge.