Product description
Home loan for immigrants is a loan designed especially for all of you living outside Albania, to allow you purchase your own home in Albania. When visiting your home country visit us at our branches and benefit a mortgage loan with low interest rates, repayment period up to 25 years and quick procedures.
General information
The second level banks usually use as a base rate for calculating the interest rate of the loans, Treasury Bills with 1-year maturity for loans approved in ALL Currency and Euribor for loans approved in EUR Currency.
"Treasury bills" - is a negotiable debt instrument with a maturity of up to one year, issued and guaranteed by the Government of the Republic of Albania.
Treasury bills are issued in the national currency (Lek) and have maturities of 3, 6 and 12-month.
Example:
Treasury bill 1-year interest rate dt. 28.02.2023 is 4.28%
“Euribor” is a reference rate published by the European Institute of Money Markets, based on the average interest rates at which Eurozone banks offer to lend unsecured funds to other banks in the interbank market.
Example:
Euribor interest rate dt. 28.02.2023 is 3.68 %
| Terms and Conditions | |||
|---|---|---|---|
| Interest Rates for Home/ House Construction Loan in Leke Currency | |||
| 1Y T-bill + 2.2 % (changing each 12 months) | |||
| (not less than 4.5% after 24 months) | |||
| Interest Rates for Home/ House Construction Loan in Euro Currency | For collateral same as credit subject 1 Year Euribor +2% (changing each 12 months) (not less than 5%) |
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| Interest Rates for Shop Loan and Shop Construction in Leke Currency | 1Y T-Bill+2.7% (not less than 5% after 24 months) |
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| Interest Rates for Shop Loan and Shop Construction in Euro Currency | 1 Year Euribor +3.5% (changing each 12 months) (not less than 6.5%) |
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| Loan Maturity | Up to 25 years or 300 months | ||
| Maximum Loan Amount | Up to ALL 50,000,000 400,000 Euro |
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| Coverage Ratio | As guarantee the bank will ask mortgage of the property to be bought or another real estate can be used as collateral. In the cases where the collateral is the same as credit subject the financing criteria will be up to 100%. In the cases where the collateral is different from credit subject and it is not in the name of the customer the financing criteria will be up to 80%. In the cases where the collateral is the different from credit subject loan amount / market value percentage ratio should not be more than 75%. In the cases where the collateral is the same as credit subject loan amount / market value percentage ratio should not be more than 80%. |
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| * The customers may choose to have life insurance premium or to take a higher interest rate of the loan. In case he chooses the latter, options are: | |||
| If the customer is up to 45 years old, IR will be 0.5% higher | |||
| If the customer is over 45 years old, IR will be 1% higher | |||