Mortgage Calculator

A Swedish mortgage (bolån) works similarly to other countries: a bank lends you money to buy a property, and you pay interest on the loan plus gradually pay back the principal (amortering). The key difference in Sweden is the regulatory framework: Finansinspektionen (FI) sets strict rules on how much you can borrow and how fast you must repay.

Your monthly cost has two parts: interest (ränta), which is the bank's charge for lending you money, and amortisation (amortering), which reduces your debt. On top of this, you pay housing costs: either a BRF avgift or villa running costs like heating, insurance, and maintenance.

Loan-to-value (LTV), or belåningsgrad, is your loan amount divided by the property's value. Swedish law caps LTV at 90%: you must bring at least 10% as a deposit (kontantinsats). LTV determines two things: your amortisation requirement (higher LTV = faster mandatory repayment) and often your interest rate (lower LTV = better rate from most banks).

The three tiers are: above 70% LTV you must amortise at least 2% per year, between 50-70% at least 1% per year, and below 50% amortisation is voluntary. Paying down below each tier boundary reduces your mandatory payments.

Source: Finansinspektionen

Finansinspektionen's amortisation requirements (amorteringskrav) apply to new mortgages: 2% per year if LTV exceeds 70%, 1% per year if LTV is 50-70%, and voluntary below 50%. These are minimums; you can always amortise more. The stricter amortisation requirement (an extra 1% for loans above 4.5× gross annual income) was abolished on 1 April 2026, so only the LTV-based tiers apply.

Exemptions exist: loans taken before June 2016 are grandfathered, new-build purchases may get a 5-year amortisation holiday (if under 70% LTV), and banks can grant temporary exemptions for illness or income loss. The property's assessed value locks for 5 years after purchase, then can be updated; this matters because a rising market can lower your LTV.

Banks assess your borrowing capacity using a KALP calculation (kvar-att-leva-på, meaning "left to live on"). They take your net household income, subtract interest at a stress-tested rate (typically 6-7%, regardless of the actual rate), subtract amortisation, housing costs, standardised living expenses (based on Konsumentverket's norms), and any other debt payments.

The remainder must be positive. Different banks use different stress rates and living cost floors, which is why borrowing capacity varies between banks. A single-income household typically faces stricter limits than a dual-income one, even at the same total income.

Beyond the deposit, buying a home in Sweden involves several one-time costs. For a villa: lagfart (stamp duty) of 1.5% of the purchase price, and pantbrev (mortgage deed) of 2% on any new deed amount. For a BRF apartment: no lagfart (since you buy shares, not property), but still pantbrev costs if the loan exceeds existing deeds.

Other costs include the BRF's transfer fee (överlåtelseavgift, typically a few thousand kronor) and potentially a property inspection (besiktning) for villas. Broker fees in Sweden are paid by the seller, not the buyer.

Source: Lantmäteriet

About 95% of Swedish borrowers choose variable rates (rörlig ränta, 3-month binding). Historically, variable has been cheaper over time: you pay less for accepting the risk of rate fluctuations. Fixed rates (bunden ränta) lock your rate for 1-10 years, providing predictable payments.

Variable rate adjusts quarterly and you can switch to fixed at any time without penalty. Breaking a fixed rate early may trigger an interest differential compensation (ränteskillnadsersättning). Consider fixed if you have tight margins and can't absorb rate increases, or if rates are historically low and likely to rise.

Always compare the effektiv ränta (effective rate), not just the nominal rate. The effective rate includes all fees (aviavgift, uppläggningsavgift) and shows the true annual cost. Banks are required to disclose this.

Some banks publish fixed list rates and give "discounts" based on LTV and loan size, meaning the advertised rate is inflated. Others, like SBAB, offer the same rate to everyone with matching data (no negotiation). When comparing, request a binding offer (bindande erbjudande) from multiple banks with the same loan parameters. A difference of just 0.1 percentage points on a 3 million kr loan equals roughly 250 kr per month.

The answer depends on your time horizon, the cost of renting vs owning, and what you'd do with the deposit money. Buying builds equity through amortisation and property appreciation, and ränteavdrag (30% tax deduction on interest) lowers the real cost. Renting preserves flexibility and lets you invest the deposit in the stock market instead.

Over shorter periods (under 5 years), transaction costs (pantbrev, lagfart for villas, moving costs) make buying expensive. Over longer periods (10+ years), property equity typically outpaces a rental + investment strategy, especially at lower interest rates. Use the comparison section above to model your specific situation.

Sweden lets you deduct part of your mortgage interest against tax. The ränteavdrag is a tax reduction of 30% on interest up to 100 000 kr per year, and 21% on any interest above that threshold. It is applied automatically in your tax return (deklaration) if the bank has reported your interest, which it almost always does.

A worked example: on a 2,500,000 kr loan at 4% you pay roughly 100,000 kr in interest in a year. The full amount sits at or under the threshold, so the deduction is 30% of 100,000 kr, meaning 30,000 kr back. Your real interest cost is therefore about 70,000 kr, not 100,000 kr. If interest instead reached 150,000 kr, the first 100 000 kr is deducted at 30% (30,000 kr) and the remaining 50,000 kr at 21% (10,500 kr), for 40,500 kr back. The deduction only reduces tax you actually owe, so it assumes you have enough taxable income to offset. Any interest cost estimated above already nets out through this deduction when you plan your household budget.

Two separate limits decide your maximum loan, and the lower of the two wins. The first is the loan-to-value (LTV, belåningsgrad) cap: Swedish law limits a mortgage to 90% of the property value, so you need a minimum down payment (kontantinsats) of 10% of the price from your own savings. On a 3,500,000 kr home that is a 350,000 kr deposit and up to 3,150,000 kr borrowed.

The second is the lender's KALP calculation (kvar att leva på, meaning "left to live on") plus a debt-to-income check. KALP takes your net income, subtracts interest at a stress-tested rate (typically 6-7%), subtracts amortisation, standardised living costs and any other loans, and the remainder must stay positive. Total mortgage debt above 4.5 times gross annual income used to trigger an extra amortisation percentage, but that stricter rule was removed on 1 April 2026; the remaining requirement is tiered by LTV: 2% per year above 70%, 1% between 50-70%, and voluntary below 50%. Higher LTV therefore means a bigger monthly amortisation, which lowers your KALP headroom and can cap the loan before the 90% ceiling does. A quick way to sanity-check affordability is to run the true cost through a bolånekalkylator like the tool above, then confirm the monthly figure fits your budget.

Swedish law requires a minimum 10% deposit (kontantinsats), meaning max 90% LTV. On a 3 500 000 kr property, that's 350 000 kr. The deposit must come from savings: you cannot borrow the entire amount, though some banks (like SBAB) offer top-up loans for a portion. A larger deposit reduces your LTV, potentially lowering both your rate and amortisation requirement.

Source: Finansinspektionen

Finansinspektionen mandates: 2% annual amortisation above 70% LTV, 1% between 50-70% LTV, and voluntary below 50%. These apply to new mortgages. Paying faster than required is always allowed and reduces your total interest cost significantly over the loan's lifetime.

Yes, but banks apply the same KALP stress test to a single income. A sole borrower with 40 000 kr net monthly income will qualify for less than a couple with the same combined income, because living costs are not halved for one person (Konsumentverket's baseline is ~6 500 kr for one adult vs ~13 000 kr for two). Focus on properties where the total monthly cost (mortgage + housing) stays well under 40% of your net income.

If your existing pantbrev (mortgage deeds) cover the new loan amount, switching is typically free: the new bank handles the transfer. You do not need to pay lagfart again. If you need additional pantbrev, you pay 2% on the new amount. Most banks actively court new mortgage customers and may cover administrative costs.

Source: Lantmäteriet

Historically, variable rate has been cheaper over time in Sweden. About 95% of borrowers choose variable. Choose fixed if you need payment predictability or believe rates will rise significantly. Choose variable if you can absorb quarterly fluctuations and want the flexibility to switch or extra-amortise freely.

Source: SCB Finansmarknadsstatistik

The nominal rate (nominell ränta) is the pure interest percentage. The effective rate (effektiv ränta) includes all fees and gives the true annual cost as a percentage. Always use effective rate when comparing offers between banks: a lower nominal rate with high fees can be more expensive than a higher nominal rate with no fees.

Source: Konsumenternas.se