Why should I refinance?

Circumstances change and refinancing can often be the simplest way to make your money work harder. Perhaps interest rates have dropped since you took out your mortgage or you need to lower your monthly payments.

  • We lend up to 70% of the real estate valuation when you refinance.
  • It is possible to refinance a loan regardless of the mortgage in the case of refinancing an existing mortgage with Íslandsbanki.
  • The loans can be indexed, non-indexed or hybrid.
  • You should check the Terms and Conditions of the mortgage you wish to replace to see if you you will be required to pay a prepayment penalty.
  • The cost of refinancing a current Íslandsbanki mortgage is ISK 64,900
  • Other costs are in accordance with the price list at any given time.

How does refinancing work?

    Credit score eval­u­ation

    Credit score evaluation

    Your credit score shows how much you can borrow and how capable you are of paying off your loan. Your credit score is based on your income, regular expenses and current debts. It takes just a few minutes to apply and authenticate with electronic id.


    Explore your options

    We offer both indexed, non-indexed and hybrid loans. You can use the mortgage calculator to explore your options.


    Submit application

    Once you have decided on a loan composition, you can submit an application electronically.


    Answer our reliability survey

    All applicants must fill out a reliability survey before moving forward with their loan application.


    Application is approved

    The loan will be approved as soon as all the loan requirements have been fulfilled.


    Signing the documents

    We will contact you when the documents are ready for signature.


    Documents sent to the District Commissioner

    The loan is registered with the District Commissioner.

    Loan becomes available

    The loan becomes available once registration with the District Commissioner has been completed and in accordance with the loan's Terms and Conditions.

Book an appointment

Book an appointment at your convenience.

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Mortgages can be confusing. Have a look at some frequently asked questions.