Mortgage loan with a fixed interest rate
What advantages does it provide?
- Extremely attractive conditions on the loan:
– 3.49 % – fixed interest rate for the first 5 years
– 2.89 % – floating interest rate for the remaining period (ADI + margin)*
- A high amount of financing – up to 90% of the market value of the property
- Need for Life insurance for a real estate mortgage, Property insurance: Yes
- Predictability of the monthly liability – with the fixed interest rate for the first 5 years of the loan you can rest assured that the installment on your loan will not change for this period even if the market interest rates increase
- Long loan term – up to 35 years
- Loan currency – Bulgarian lev (BGN)
APR – An example for a fixed interest rate
Example: Authorized loan amount – BGN 150,000 Loan term: 35 years. Repayment installment type and total number: 420 pcs., annuity.. The amount of the monthly repayment installment on a mortgage loan with a fixed interest rate is BGN 680.07 for the first five years and BGN 633.95 for the remaining period of the loan. APR 3.89% for the whole loan term. Total due amount at the end of the loan term BGN 270 411.27. Monthly premium on Life insurance – BGN 52.50 and 17 749.50 for all period.
The calculations in the example are based on a promotional fixed annual interest rate for the first five years – 3.49%, and a floating interest rate for the remaining period of the loan – 2.89%, including fее for a collateral documentation reconcilement, monthly fee for account service of the loan of BGN 4, Property Insurance costs with coverage of residual loan debt, Life Insurance costs for the entire term of the loan.
*Floating annual interest rate formed by a reference interest rate (ADI for BGN) increased by a fixed margin.
Payroll service is required in order to grant the loan.
The APR on the loan is an expression of the total costs on the loan for the consumer, present or future ones, as an annual percentage calculated on an annual basis from the total amount of the loan granted.
The additional costs payable under the loan agreement, which shall become a part of the APR after they become known to the Bank, are as follows:
The notary and state fees for the establishment of a mortgage in favor of the Bank;
The notary and state fees for renewal and deletion of the collaterals established in favor of the Bank;
The costs for a market appraisal of the proposed collateral.
The additional costs indicated above are not included in the provided example for the total costs on the loan, and they shall become a part of APR after they become known to the Bank.
The offer is valid only until 31.03.2023!
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