The activities of the Housing Financing Fund may be divided into two categories:
- Loans for the purchase or construction of homes and improvements for currently owned homes.
- New buyer can takeover HFF’s loan up to 100% of the purchase price.
- A debtor can transfer its mortgage to a new home up to 80% of the purchase price and up to 100% in the exception when debtor is moving to a cheaper home or moving between commercial areas.
- Loans to local authorities, companies and non-governmental organizations for the acquisition of housing with regards to specific social factors.
Firstly, the Fund provides loans to the public to invest in new or preowned housing and to those who choose to build their homes. This category also includes loans for home improvement. The loan amount can be as high as 80% of the purchase price or construction cost (as registered by the Land Registry of Iceland). In the event of home improvement, the loan may amount up to 80% of the total cost.
Secondly, the Fund provides loans to local authorities and non-profit companies to purchase or build private homes for the purpose of leasing them to the public.
HFF aims to give individuals advice on the best loan offer on the market.
HFF´s website offers an instant on-line credit evaluation, effective on-line loan calculators and loan application procedures.
HFF is accessible to home buyers in Iceland and its main customer groups are;
• Home buyers in rural areas
• Home buyers purchasing property under 50 million IKR.
• First time buyers
• senior citizens
HFF’s mainly provides loans, in three different categories, for individuals to:
• purchase pre-owned housing
• purchase or build new housing
• repair or improve currently owned housing
HFF also provides loans to individuals who need to renew or improve their housing due to their limited physical capabilities.