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. Your final EURIBOR rate is composed of two parts: the bank's fixed margin (typically 1.5–2.5%) and the EURIBOR rate itself (the variable base). The most common variant in Latvia is EURIBOR 6M — fixed for six months and then reset to the prevailing market rate. Some banks offer EURIBOR 12M with a slower reset cycle and less frequent payment volatility. When the EURIBOR rate rises, your monthly payment goes up; when it falls, the payment drops. This calculator's stress test shows how the payment would change at 4%, 5%, or 6% EURIBOR.

→ see the EURIBOR stress-test section.

Currently the 3-month EURIBOR is roughly 2.23%, 6-month is 2.54%, and 12-month is 2.80%. Most Latvian banks use EURIBOR 6M — the rate resets every 6 months to the prevailing market rate. Some banks offer EURIBOR 12M with a slower reset cycle and less payment volatility; smaller products occasionally use 3M. When EURIBOR rises, your monthly payment increases at the next reset; when it falls, the payment drops. Your loan agreement specifies which tenor your bank uses and the next reset date. Pick the matching tenor in this calculator so the rate and stress test reflect your actual loan.

→ see the EURIBOR stress-test section.

Altum is Latvia's state-owned development finance institution, offering guarantees for mortgage loans — commonly referred to as an Altum loan or the Altum mortgage program. The guarantee covers part of the down payment, letting buyers 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, young specialists, and certain professional groups, with specific income, age, and property criteria. In exchange for the lower entry threshold, the Altum-guaranteed portion is added to your loan — so total interest paid over the lifetime is slightly higher. This Altum calculator shows what you save on the down payment versus what you pay extra in interest, compared to a direct purchase.

→ see the Altum tab.

The Altum guarantee typically covers 10–20% of the property's purchase price or appraised value (whichever is lower), depending on the program and your family status. In practice: if you buy an apartment for €100,000, the bank normally requires a €20,000 down payment, but with Altum you put down only €5,000–10,000 and the remaining €10,000–15,000 is covered by the Altum guarantee (added to your loan). The guaranteed portion isn't a gift — it's loan principal you'll pay interest on. The main upside is liquidity: you can buy sooner without saving the full down payment. This Altum calculator shows exactly how big your guarantee will be and how it affects your monthly payment.

→ try the Altum tab in this calculator.

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.

Mortgage refinancing pays off only if the new bank's rate is at least 0.3–0.5 percentage points below your current rate and your remaining term is at least 5 years — otherwise the one-time refinancing costs (notary, land registry, new origination fee) eat the interest savings. Before deciding, compare: your current and proposed APR (effective annual rate), remaining principal and term, and the one-time refinancing costs (typically €200–600). Often it's better to make a lump-sum early repayment with the saved cash rather than refinance — this calculator shows both strategies side by side so you can see which saves more in your specific case.

→ use the strategy explorer and 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.