The loan-to-value ratio (LTV) refers to the security behind your loan or how much of your property's value is financed through a loan. The lower your LTV, the lower the risk you pose as a customer to the bank.
At Bulder, we have seven interest rate tiers. The tier you're in depends on your LTV. Your LTV is the proportion of your property's value covered by your loan. For example, if you have a loan of 2 million NOK and a property worth 4 million NOK, your LTV is 50%.
Cooperative Housing (Andelsbolig)
(Loan + shared debt) / (property value + shared debt) = LTV
Real Estate (Fast Eiendom)
Loan / property value = LTV
A mortgage at Bulder can have a maximum LTV of 85%. As your LTV decreases, we automatically move you down the interest rate tiers until you reach the lowest tier.
What if property value decreases?
We will never increase your mortgage interest rate based on a decrease in your property value. Automatic rate adjustments based on property value only work in your favor. Once you’ve reached a lower tier in our rate ladder, we will not move you back up to a higher tier.
Your interest rate with us can only increase if one of two things happens:
You apply to increase your loan with us. In that case, you will receive the rate that reflects your new LTV.
We raise our interest rates across the board, for example, due to an increase in the central bank's policy rate.
Automatically Lower Interest Rate
With automatically lower rates, we've put the negotiation phone in the museum. And there's no doubt that Bulder customers love automatic rate reductions. At Bulder, you'll never need to call us to negotiate the rate you deserve.
We have transparent price lists and offer the same rates to everyone. You can find our price list by clicking on Price List.
What are the benefits for me? 💡
✅ LTV under 50%? You get our best rate.
✅ You automatically receive the best rate available to you with us.
✅ No awkward haggling or negotiations with the bank.
✅ No need to request a new valuation to prove you deserve a better rate.