Regulation of mortgage loans funded by covered bonds
Danish mortgage banks are subject to tight legislation and are only allowed to grant mortgage loans that are funded by covered bonds. In addition, Danish covered bonds are subject to the EU covered bond framework.


Maximum legal loan terms
Property Type | Legal maximum LTV | Maximum loan term |
---|---|---|
Owner-occupied dwellings | 80% | 30 years |
Agricultural properties | 70% | 30 years |
Subsidised housing | 80% | 40 years |
Private rental housing | 80% | 30 years |
Office and retail | 60% | 30 years |
Trade and industry | 60% | 30 years |
Cultural-purpose properties | 80% | 30 years |
Holiday dwellings | 75% | 30 years |
Undeveloped land | 40% | 30 years |
1 Nykredit's credit policy can be more restrictive