OREANDA-NEWS. November 09, 2012. Due to a growth in demand for mortgage loans and a great number of fresh applications special terms under mortgage programs offered by OJSC Nordea Bank to its customers have been extended till 01 December 2012, reported the press-centre of Nordea Bank.

As a result, the interest rate will still depend not only on the period for which the interest rate is fixed but also on the amount of a down payment. Thus, the higher a down payment, the better the terms and conditions. An interest rate under a loan with a down payment higher than the minimum one are by 0.5 percentage point lower than an interest rate under a loan with a minimum down payment.

A borrower will also have a wide choice while fixing the interest rate of a mortgage loan. At present she/he may fix it either for any period up to 10 years (always multiple of one year) or for the whole life of the loan agreement. Under special terms it is possible to fix the interest rate for 15 or 20 years (the most popular terms among the Bank’s borrowers). In case of a 40% down payment and the term of 15-20 years the interest rate under a mortgage loan offered by OJSC Nordea Bank will be equal to 12.25-12.5% (for loans in Roubles) and 9.25-9.5% (for loans in any currency other than the Rouble).

Other attractive terms of mortgage programs offered by OJSC Nordea Bank to its customers are as follows: a preliminary estimation of the amount of a mortgage loan may be made by the Bank on the basis of just three documents submitted by a potential borrower; the minimum level set for a down payment is just 10% of the purchase price; the maximum term of a mortgage loan is 30 years; no commission is charged for prepayment of the loan; the right of the borrower to choose the type of the loan repayment plan: either in differentiated payments (i.e. in stepped down installments) or annuity payments (i.e. in equal periodic installments); the right of the borrower to secure her/his obligations under the mortgage loan by a pledge of commercial real estate or a pledge of land plots; no drawdown fee is charged by the Bank under its mortgage loans; a borrower has the right to use covered irrevocable letters of credit for the repayment of a mortgage loan, etc.

OJSC Nordea Bank is one of the Top-20 largest Russia’s banks. In 2012 the Bank won The All Time Highs in the Real Estate Market award in the nomination Mortgage Bank Number One.