What is a mortgage loan?
A mortgage loan in Lithuania can help you buy, build, renovate, or refinance an existing loan. This loan is secured by a real estate pledge and is provided in accordance with the Responsible Lending Regulations set forth by the Bank of Lithuania.
Can a foreigner get a mortgage in Lithuania?
If you're a foreign citizen, you can still apply for a mortgage in Lithuania. Just keep in mind that your eligibility will depend on factors like your residency status, income, credit history, and nationality. Note that if you hold only a temporary residence permit, most probably you will not be eligible for a mortgage loan in Lithuania.
Mortgage conditions
The size of the mortgage loan you can get depends on things like your income, current financial commitments, the value of the property, and a few other factors. You can choose a repayment term of up to 30 years, with various repayment methods available. Normally, when taking a loan, the bank requires the purchaser to pay a down payment, which is usually at least 15% of the property's value.
When banks decide whether to approve a mortgage, they typically look at factors like your income, employment status, age, the property's value, and your family situation. Usually, you'll need to have a work contract in Lithuania for at least 6-12 months before you can take out a loan. Also, keep in mind that your monthly loan payments should generally not exceed 40% of your monthly income.
Some banks may have stricter policies for foreign citizens, such as requiring a larger down payment or financing a smaller portion of the property's value. We recommend consulting with several banks in Lithuania to assess your situation and receive offers.
Required documents
- Identification: Passport or national ID, your residence permit.
- Proof of Income: Salary slips, employment contract, bank statements.
- Property Details: Information about the property you intend to purchase - for the initial consultation, a link to the advertisement for the property you are purchasing is sufficient. Later, your consultant will explain the next steps and the necessary documents.
IMPORTANT: Do not pay the seller until the bank confirms your mortgage approval.
For your safety and convenience, please ensure that your mortgage is approved by the bank before making any payments to the seller. This step is crucial to avoid any financial risks and ensure a smooth transaction process.
Mortgage calculators:
https://www.luminor.lt/lt/privatiems/busto-paskolos-skaiciuokle
The International Organization for Migration (IOM) is part of the United Nations System as the leading inter-governmental organization promoting since 1951 humane and orderly migration for the benefit of all, with 175 member states and a presence in over 100 countries. IOM has had a presence in Lithuania since 1998.
IOM has established a Migration Information Center in Lithuania that provides information and services to migrants to facilitate their integration.
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