Handelsbanken, one of the largest mortgage banks in Sweden, is lowering its so-called list rate on mortgages with a three-month binding period by 0.20 percentage points, the bank writes in a press release.
Handelsbanken's average three-month rate in August this year was 4.38 percent.
Variable mortgages are by far the most common binding period for mortgages on the Swedish mortgage market.
Handelsbanken's reduction comes ahead of next week's interest rate decision from the Swedish Central Bank, which is expected to lower its key interest rate by at least 0.25 percentage points.
Skandia is also adjusting its mortgage rates downward by 0.15-0.25 percentage points. However, this does not apply to the variable rate, but only to rates on mortgages with binding periods of 1-5 years.
