Amorteringskrav (amortisation requirement)
The amorteringskrav is Sweden's legal requirement to pay off part of a new mortgage every year. How much you must repay depends on your belåningsgrad (loan-to-value): the higher your loan is relative to the home, the more you must amortise. It is repaid monthly and lowers the loan over time.
How much you must repay
The requirement is tiered by loan-to-value, and the yearly amount is a percentage of the original loan amount, so it does not shrink as you pay the loan down. Above 70% you amortise at least 2% of the loan a year; between 50% and 70%, at least 1%; below 50% there is no legal requirement, though your bank may still ask for some. A 3 million kr loan at 75% LTV therefore means at least 60,000 kr a year, or 5,000 kr a month, on top of interest.
Why it exists
Finansinspektionen introduced the requirement in 2016 to slow the growth of household debt after years of rising home prices. The idea is simple: force borrowers to build equity rather than carry a large loan indefinitely. From 2026 the rules move out of Finansinspektionen's regulations and into a law decided by the Riksdag, but the loan-to-value tiers stay the same.
When you can pause it
Amortisation is not always locked in. Banks may grant a temporary pause (amorteringsfrihet) on special grounds such as unemployment, illness or a sharp drop in income. Newly built homes can also be exempt for up to the first five years. These are decided case by case, so ask your bank rather than assume.
Worked example
Home worth 4,000,000 kr, mortgage 3,200,000 kr (80% LTV). At the 2% tier: 3,200,000 × 2% = 64,000 kr a year, or about 5,333 kr a month on top of interest. Once you have paid the loan down to 2,800,000 kr (70% LTV), the rate drops to 1%, still counted on the original 3,200,000 kr: 32,000 kr a year, or about 2,667 kr a month. Below 50% LTV there is no legal requirement at all.
Calculate further
- Mortgage calculator: model amortisation, interest and KALP together
- Mortgage rate guide: fixed vs floating and when to lock
- Lagfart: the other big up-front cost when buying a house
From 1 April 2026 the extra 1% amortisation (the skärpt amorteringskrav that hit households borrowing more than 4.5 times their gross yearly income, in place since 2018) is removed. At the same time the mortgage cap rises from 85% to 90%, so you can borrow more when you buy. Topping up the loan on a home you already own is capped lower, at 80%. The two loan-to-value tiers, 2% and 1%, remain the core of the requirement.