Experts undertook an analysis of the real estate market in many countries and compiled a list of countries with the cheapest mortgage. Russia was not included in the list, despite the fact that currently, the lending rates in the country are at the lowest level over the past ten years: 10.34% in the primary market and 10.7% in the secondary market. In our article, you can find the top ten countries that have the lowest interest rates on mortgages in the world.

Japan

Mortgage rate: 1,21%

Mortgage in Japan is the cheapest in the world. The inflation level in the country is at a very low level, and the price of real estate is very high. For example, the cost of a square meter in Tokyo is $7-8 thousand. In smaller cities (Osaka, Kobe, Yokohama), the cost of a square meter is $5-6 thousand. Such high prices for housing make the purchase of apartments without a mortgage almost impossible.

Switzerland

Mortgage rate: 1,42%

As in Japan, real estate in Switzerland is also very expensive. Therefore, low mortgage interest rates make Swiss housing quite affordable for the population. Moreover, a life-long mortgage, issuing for 50 or 100 years and handing down by inheritance, enjoys special popularity.

Finland

Mortgage rate: 1,53%

The real estate in Finland is quite expensive because in the country the housing market is dominated by large apartments and houses with large floor areas. The average cost of a square meter in a new building is 2.3-2.7 thousand euros. However, this price largely depends on the city, area of location, number of storeys and other parameters. The most expensive city to purchase housing is Helsinki, the capital of Finland. In smaller cities, the cost per square meter varies in the range of 1-1.5 thousand euros. Despite the fairly high cost, a mortgage rate of 1.53% makes it possible to buy real estate and at such prices.

Sweden

Mortgage rate: 1,87%

In Sweden, mortgage loans are very popular: about 90% of all apartments and houses are purchased with a mortgage. A low rate (1.87%) allows Swedes to buy housing without huge overpayments. As a rule, mortgages in Sweden are issued for a period of 50 or 70 years, and debt obligations to the bank are inherited.

Slovenia

Mortgage rate: 1,92%

Slovenia joined the European Union in 2004. Particularly since that time, real estate price in the country began to rise rapidly. The average cost of housing in the capital of Slovenia Ljubljana is about 2-2.5 thousand euros per square meter. The main factor determining the price range when buying an apartment or a house is the proximity to the capital.

Germany

Mortgage rate: 1,99%

Real estate acquisition in Germany is considered by many foreign investors as a reasonable and profitable investment of funds. The housing market in Germany at the moment is one of the fastest growing and promising in Europe, and the low interest rate makes it attractive not only for Germans but also for foreign buyers.

The Czech Republic

Mortgage rate: 1,99%

Most of the real estate transactions in the Czech Republic are carried out with the help of a mortgage loan, the rate of which equals 1.99%. Even if the buyer has the necessary amount to buy housing, it is much more profitable to invest this money in more income generating instruments and to buy an apartment or a house in Prague or any other Czech city by a mortgage on quite comfortable terms.

Lithuania

Mortgage rate: 2,03%

Mortgage loans issued in Lithuania differ in a number of features. First, there is a mortgage insurance system against the risks of non-return. Secondly, mortgage loans are issued only to citizens who have reached the age of 21 years. The minimum amount of the initial payment is on average $15 thousand, and the maximum - $60 thousand.

Taiwan

Mortgage rate: 2,04%

The Chinese province of Taiwan is also a very attractive place to buy an apartment or house since the mortgage interest rate here is only 2.04%.

The most popular region for buying housing by foreigners is Taipei.

Austria

Mortgage rate: 2,10%

Austria is the last in the list of top ten countries with the lowest interest rate on a mortgage. The Austrians can afford to purchase housing with a mortgage rate of 2.1%.

The high standard of living and comfortable living conditions make Austria very attractive for foreign investors.