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"Nordea" approves half of housing loans planned for year in three months : building.lv - par būvniecību Latvijā

"Nordea" approves half of housing loans planned for year in three months

In three months since introduction of special mortgage loan program in Latvia, the Latvian branch of "Nordea Bank Finland Plc" has approved mortgage loans for LVL 4.7 million, Kristians Pudans, the head of the branch^apostrofs;s marketing and public relations department, told LETA.

In three months since introduction of special mortgage loan program in Latvia, the Latvian branch of "Nordea Bank Finland Plc" has approved mortgage loans for LVL 4.7 million, Kristians Pudans, the head of the branch's marketing and public relations department, told LETA.

In total within the program, the bank is planning to issue mortgage loans for LVL 10 million in twelve months with rates at 2 percent and 4 percent, which vary from the rates currently offered by Latvian commercial banks.

According to Valdis Siksnis, deputy director general at the Latvian branch of "Nordea Bank Finland Plc", one of the bank's goals with such an offer at lower rates was to develop the Latvian mortgage market by stimulating new customers to take out housing loans. Results in the past two months prove that the initiative was successful.

According to the bank's data, more than 35 percent of the loans are refinanced loans - after transferring existing mortgages from other banks.

The bank previously predicted that within the framework of the new offer, the volume of refinanced deals could reach 30 percent of the Latvian branch of "Nordea Bank Finland Plc's" housing loan portfolio. According to "Nordea" estimates, this indicator is the highest in the Latvian banking sector.


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