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Mortgage Loan - Payroll
For everyone looking to buy a new home or renovate their existing one, ABI Bank is here to support you with our Home Loan.
Through this loan, individual clients can finance the purchase, construction, or renovation of their home with competitive interest rates and flexible terms, tailored to the purpose of the financing.
Visit our branches and discover the best solution to make your plans a reality.
ABI offers:
- Customized financial solutions to suit your needs
- Flexibility at every step of the process
- Dedicated advice and professional service
Applicable Interest Rates for Residential Mortgage Loans
| Currency | Clients with fixed monthly income from Salary / Rental Income |
| ALL | First Year: 12-Month Treasury Bill + 1.50% (minimum 2.50%) After the First Year: 12-Month Treasury Bill + 2.00% (minimum 2.50%) |
| EUR | First Year: 12-Month EURIBOR + 2.50% (minimum 4.00%) After the First Year: 12-Month EURIBOR + 3.00% (minimum 4.00%) |
Interest rates are determined based on the purpose of financing and the customer's profile.
Financing Amount
- Maximum Financing Amount: Up to EUR 1 million (or the equivalent amount in Albanian Lek).
- The financing amount depends on the value of the property being purchased, the value of the collateral, and the currency of the borrower's income in relation to the loan currency.
| Currency | Purpose | Financing | Income / Financial Obligations | Collateral |
| ALL | Purchase of a First Home | 85% | 40% | 118% |
| ALL | Purchase of a Second Home / Rental Property | 80% | 35% | 125% |
| EUR | Purchase of a First Home | 75% | 35% | 133% |
| EUR | Purchase of a Second Home / Rental Property | 70% | 30% | 143% |
| Other | Purchase of Commercial Property or Land | 60% | 45% | 167% |
Mortgage Loan Term
- Home Purchase / Construction Loan: Up to 30 years
- Investment Loan: Up to 20 years
Applicable Loan Fees and Charges
- Disbursement Commission
- 0% for refinancing loans from other banks
- 1% of the loan amount - Collateral appraisal fee: According to the type of property.
- Notary costs: According to applicable notary fees, and collateral registration costs according to the Regional Property Registration Office (ZRPP).
- Mandatory property and life insurance: Renewable annually.
Collateral Requirements
- A mortgage over the financed property or another property accepted by the bank as collateral is required.
Required Documentation
Documents required for the borrower, co-borrower, and financial guarantor.
Identification Documents
- Identity card / Passport
- Family certificate
Income Documentation
- Employment income: Annual salary certificate (e-Albania) and proof of social contributions / account statement (last 6 months)
- Rental income: Rental agreement, property ownership title, and bank account statements showing rental payments for at least the last 6 months
- Business income: Minimum 2 years of licensed business activity and positive financial results for the last 2 years
Property Documentation
- Sale-Purchase Agreement / Construction Agreement
- Property documentation, including ownership certificate
- Documentation for the property offered as collateral (property origin and updated ownership card)
- In case of construction/renovation, building permit and/or cost estimate of works (if applicable)
The required documentation depends on the type of collateral.
Mortgage Loan Example
| Elements | Mortgage Loan Clients with fixed monthly income from Salary / Rental Income |
| Financing Amount | 8,000,000 ALL |
| Currency | ALL |
| Term | 25 years |
| 12-Month Treasury Bill | 2.730% |
| Variable Interest Rate | First Year: 12-Month Treasury Bills + 1.50% (minimum 2.50%) After the First Year: 12-Month Treasury Bills + 2.00% (minimum 2.50%) |
| Monthly Installment: | First Year: 43,250 ALL After the First Year: 45,444 ALL |
| Effective Interest Rate (EIR) | 5.21% |
| Disbursement Fee (1.00%) | 80,000 ALL |
| Total Interest Amount | 5,606,839 Lekë |
| Total Amount to Pay | 13,606,839 Lekë |
Loans in a currency different from the currency of your income increase the risk arising from exchange rate fluctuations.
The interest rate of Treasury Bills (TB) is subject to change and is determined by the monetary policy of the Bank of Albania.
The property valuation is carried out by appraisers authorized by the bank, and the related costs are covered by the customer.
For more information on Precontractual Information Sheet, please refer to the documentation below. For more detailed information about Credit Interests see Price List.
Warning! Borrowing costs money!
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* If the interest rate on the loan depends upon Euribor and the Euribor value falls below zero, this value will be considered zero for calculating the interest rate.
