First buy

Finding the money to pay for your first home can be tough. We offer an extra loan of up to ISK 3 million to help you take that first step.

Next step

Your credit score shows how much you can borrow and how capable you are of paying off your loan.

First steps

  • Right to purchase

    Can I purchase a property in Iceland? 

    EEA citizens legally domiciled in Iceland have the right to purchase real estate. However, you must apply to the Icelandic Directorate of Immigration for a residence permit. You can find all the information you need about your rights to purchase on the Government of Iceland website

  • Savings

    Saving for you first buy

    Saving for your first property can take time. You should start saving as soon as you can. Automatically transferring money to a savings account each month is the most efficient and effective way to save. Choose a savings account to suit your needs and watch your money grow. You can use the Online Bank to choose the fixed sum and which account or fund you would like it transferred to. Your Private Pension can also be used when buying a new home.

    Tax effi­cient pen­sion options

    An extra pension can be used towards your current mortgage or buying a new home. The option is only available to those who have a private pension. More information is provided here.

  • Credit score eval­u­ation

    Quick credit score eval­u­ation

    A quick credit score evaluation is an online calculator designed to assess your payment ability. Open the quick score evaluation

    Credit score eval­u­ation

    Your credit score shows how capable you are of paying your mortgage payments. You can complete a full evaluation online without visiting our branches. Instant credit score evaluation (in Icelandic)

  • Mort­gage cal­cu­lator

    Mort­gage cal­cu­lator

    You now know what you can afford to pay towards your mortgage each month. Have a look at our range of mortgages and decide which one would be the best option for you.

    Click here to calculate the cost of different types of mortgages

  • Finding the one

    Finding the right property

    The results from your credit score should give you a better idea of what you can afford. You can now start looking at real estate within your price bracket. You should evaluate several factors such as property size, price per square metre, local services, public transport, etc.

  • Book an appointment

    Book an appoint­ment with one of our con­sult­ants

    We strongly recommend booking appointment with a mortgage loan advisor and talk to us about payment capacity and how best to fund prospective real estate purchases.

    Mortgage Plus

    We offer an extra loan of up to ISK 3 million to help you take that first step. You can find more info about this type of loan further down the page.

  • The one

    You found a house!

    Finding the right house is just one step towards homeownership. It´s easy to get carried away and forget some of the most essential steps of the process. You should always have the property inspected by a specialist so that you are fully aware of any damage or issues that need to be addressed. You can make an offer on the property, listing the inspection as one of the provisions for completion. That way you won´t lose out on the house but you remain protected.

  • Bid accepted

    Bid accepted

    Once you have found the right property and a bid has been accepted, a formal credit score evaluation will be carried out and you can then apply for a mortgage. You will need to choose the right mortgage for you and decide how you want to pay for the property. Usually, the first payment is made when you sign the documents required for the close of sale, the second payment is made when the property is handed over and the third and final payment is made when you receive the title deeds to the property. If you intend to take advantage of your private pension savings, to pay towards the purchase, then please remember that it can take up to 8 weeks to receive your money.

  • Loan

    Loan documents

    Once you have made your final decision, the appropriate loan documents are prepared, and you will receive notification when they are ready to be signed. The documents are sent directly to the real estate agent. You must read them carefully to make sure they are in accordance with your wishes.

  • Purchase agreement

    Purchase agreement

    A certified real estate agent will review all issues pertaining to both you and the seller, e.g., payment arrangements, payments, etc. You should ask the real estate agent to give you a list of all the documentation needed to close the sale. The signed documents are then sent to the District Commissioner. The mortgage is then paid off when the bank receives a registered mortgage bond.

  • Delivery

    Property delivery

    The date of the hand over should be negotiated when you complete the details of your purchase agreement.

  • Waiver

    The title deeds

    The real estate agent will invite both you and the seller to a meeting where the agent will hand over the title deeds once he/she is certain that both you and the seller have fulfilled your obligations according to the purchase agreement. This process can take several months. Usually, the final payment is made once the title deeds have been handed over, but you can hold back some of the money if you have since discovered any defects that were unknown when the purchase agreement was signed. If everything goes according to plan, then the final payment will go through, and the title deeds will be handed over to you. The title deeds are then sent away to be registered and you will subsequently become the registered owner of the property. 

  • Private Pension towards a mortgage

    Tax effi­cient pen­sion options

    You can apply to use your private pension savings to pay directly towards a loan. The government now offers three options regarding the tax-free payment of a private pension towards a mortgage: Read more about these options.

The process of buying your first property (in Icelandic)


Here's the process of buying your first property. Everything from how best to start saving for real estate to delivery.

Mortgage Plus


Finding the money to pay for your first home can be tough. We offer an extra loan of up to ISK 3 million to help you take that first step.

More info about the loan:

  • A maximum loan amount of ISK 3 million.
  • The loan is an addition to your 80% mortgage but the total mortgage amount must not exceed 90% of the property value.
  • Variable non-indexed interest rate on bonded loans in accordance with the bank's interest rate table each time.
  • Maximum lending period of 10 years and you can choose between equal payments on the principle amount or equal payments.
  • No loan or prepayment fee.
  • Each applicant must successfully complete a credit evaluation.
  • You can use the tax free option on your pension to pay the loan off sooner.