F3 and F5 mortgage rates to rise next year

Homeowners with F3 and F5 loans due for refinancing at the turn of the year or by April must prepare for increased interest expenses, despite a recent decline in rates. Auctions this week settled the interest rates for these loans higher than the previous adjustment, with F3 loans at 2.29% against -0.13%, and F5 loans at 2.43% against -0.20%. Those accustomed to negative rates will face a noticeable extra charge next year, paying about 2.5 percentage points more. It translates to a monthly increase of 610 and 670 Danish kroner per million borrowed, respectively, while repayments decrease. Sune Malthe-Thagaard, Chief Analyst at Totalkredit, recommends adjusting tax declarations for 2025 to avoid a tax hit and ensure proper rent deduction.