Mortgage Calculator

A mortgage is a long-term loan from a bank or lender for purchasing real estate, secured by the property itself. In Latvia the typical term is 25–30 years and the down payment is usually 15–20% of the purchase price, though the Altum state guarantee can lower it to 5–10%. The interest rate combines a fixed bank margin with a variable EURIBOR component. This calculator helps you compare scenarios before talking to the bank.

The monthly payment depends on the loan amount, the term, and the interest rate (bank margin + EURIBOR 6M). Almost every Latvian bank uses an annuity payment — a constant monthly amount over the life of the loan, with interest weighted toward the early years and principal toward the later ones. This calculator computes the payment automatically as you adjust the purchase price, down payment, term, and rate.

→ enter values in the form above and the result updates instantly.

EURIBOR is the European interbank rate Latvian banks use as the variable component of mortgage rates. The most common variant for mortgages is EURIBOR 6M — fixed for six months and then reset. Your monthly payment moves with EURIBOR. This calculator includes a stress test that shows how the payment would change if EURIBOR rose to 4% or 5%, so you can see whether the loan still fits your budget under realistic stress.

→ see the EURIBOR stress-test section.

Altum is Latvia's state-owned development finance institution. It offers guarantees for mortgage loans that cover part of the down payment, allowing buyers to take out a loan with as little as 5–10% of their own funds (versus the standard 15–20%). The program targets families with children and young specialists, with specific income and property criteria. This calculator shows the trade-off between an Altum-backed loan and a direct purchase.

→ see the Altum tab.

Latvian banks require a down payment — usually at least 15% of the purchase price or the bank appraisal, whichever is lower. A fully zero-down mortgage is essentially unavailable. With an Altum state guarantee the down payment can drop to 5–10%, which is reachable for many buyers. Some try to finance the rest with a short-term consumer loan, but this materially increases total interest paid and risk.

→ try the Altum tab in this calculator.

The best mortgage is not necessarily the one with the lowest headline rate — what matters is total cost: the bank margin, one-time fees, notary and land-registry charges, and property insurance. Latvian banks (Swedbank, SEB, Citadele, Luminor) offer very similar terms; the differences are small and often timing and service quality matter more than the rate itself. This calculator shows total transaction costs and the full lifecycle of the loan in one place.

→ use the strategy explorer to compare.

When you make an extra principal payment, the bank offers two options: reduce the term (you keep paying the same monthly amount, finish the loan sooner, and save more on interest) or reduce the monthly payment (the term stays the same and the monthly burden shrinks). Shortening the term usually saves more interest, but it isn't always right — sometimes monthly flexibility matters more. This calculator shows both side by side, including the crossover point.

→ try the early-repayment comparison.

Typical Latvian transaction costs include: notary fees (~€50–150), state duty for transfer of ownership at the land registry (1.5–2% of property value), land-registry registration fee (~€30–50), and a small office fee. With a mortgage there is also lien registration (~0.1% of the loan amount). Banks may charge a one-time loan-origination fee (typically 0.5–1%). This calculator lets you edit all of these values.

→ adjust transaction costs in the right panel.