Product description
Mortgage loans are used to meet individuals’ personal needs, such as buying, building, or improving a home. This product can benefit not only individuals but also self-employed professionals (doctors, dentists, pharmacists, lawyers, etc.) who want to buy or build their work premises, or individuals who generate income from employment and want to purchase a unit for investment purposes (rent). Refinancing granted for the above-mentioned purposes from other banks.
Home Purchase Loan / Home Construction LoanShop Purchase Loan / Shop Construction Loan
Financing can reach up to 80% of the market value of the property offered as collateral, but not more than 80% of the price specified in the sale-purchase contract.
General information
Second-level banks generally use the 1-year Treasury Bill rate as the base rate for calculating interest on loans in Lek, while for loans in Euro they use the 1-year Euribor rate.
“Treasury Bill” – 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 months. Auction results for Treasury Bills are announced on the same day of the auction and published on the Bank of Albania’s website:
www.bankofalbania.org
1-year Treasury Bill rate on 31.10.2025: 2.5%
Terms and Conditions
Interest rates| Type of product | Customer Category |
|---|---|
| Home Loan/House Construction Loan | Salary Paid Customers in BKT: 4% fixed for the first year then 1Y T-Bill +2% not less than 4% (changing each 12 months)Other Customers: 4.5% fixed for the first year then 1Y T-Bill +2.5% not less than 4.5%(changing each 12 months) |
| Shop Loan/Shop Construction Loan | Salary Paid Customers in BKT: 4.5% fixed for the first year then 1Y T-Bill +2.5% not less than 4.5% (changing each 12 months)Other Customers: 5% fixed for the first year then 1Y T-Bill +3% not less than 5% (changing each 12 months) |
| Financing Criteria (Loan Amount/ Investment Value): | LTV (Loan Amount/OMV) | |
|---|---|---|
| Home Loan/House Construction Loan | Up to 80% | Up to 80% |
| Shop Loan/Shop Construction Loan | Up to 80% | Up to 75% |
| Up to 25 Years | ||||||||||||||||||||||||||||||||||||||||||||
| Loan Maturity |
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| Currency | ALL | |||||||||||||||||||||||||||||||||||||||||||
| Maximum Loan amount | Up to 50,000,000 ALL | |||||||||||||||||||||||||||||||||||||||||||
| Prepayment Commission | 0% for partial and total loan liquidation. Partial loan liquidation should be done in the system on the instalment date. | |||||||||||||||||||||||||||||||||||||||||||
| Disbursement Commission | •1% •0% for loan purchased from other banks. |
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If the customer is up to 45 years old, the interest rate will be 0.5% higher.
If the customer is over 45 years old, the interest rate will be 1% higher.
Please download the appropriate documentation of Interest Only Mortgage Loans
Please download the standardized Pre contractual Information Form.