Volume of holiday cottage loan drawdowns in 2025 higher than last year

In June 2025, Finnish households drew down new loans for the purchase of holiday homes (holiday cottage loans) to the value of EUR 100 million, which is 27% more than in June last year. Drawdowns of holiday cottage loans exceeded the level of 2024 for every month in the first half of the year. The demand for holiday cottage loans usually peaks in May–September[1], and June is typically the month with the largest drawdowns. During the pandemic in 2020 and 2021, the volume of holiday cottage loan drawdowns was exceptionally high.

The average interest rate on new drawdowns of holiday cottage loans declined slightly from May, standing at 2.83% in June. In May 2025, the average interest rate on new drawdowns was still 2.92%. Banks usually offer one of the Euribor rates as the reference rate for a loan[2]. In June, 96% of new drawdowns had an Euribor rate as the reference rate. Of the new drawdowns using Euribor rates as a reference rate, 71% were linked to the 12-month Euribor, 8% to the 6-month Euribor and 21% to the 3-month Euribor. Previously, an even higher proportion of loans used the 12-month Euribor when the interest rate level was close to zero.

At the end of June 2025, the stock of holiday cottage loans was EUR 4.4 billion. The stock grew by 0.8% year-on-year as the volume of new drawdowns exceeded last year. In June 2024, the stock of holiday cottage loans had contracted by 2.5% year-on-year. The average interest rate on the stock was 3.2% in June, as opposed to 4.3% at the same time a year earlier. The average interest rate on the stock declined steadily in the first half of 2025.

Loans

Drawdowns of new housing loans by Finnish households in June 2025 amounted to EUR 1.4 billion, which is EUR 280 million more than in the same period a year earlier. Of the newly drawn housing loans, buy-to-let mortgages accounted for EUR 120 million. The average interest rate on new housing loans decreased from May, standing 2.73% in June. At the end of June 2025, the housing loan stock totalled EUR 105.7 billion, and its year-on-year growth was -0.2%. Buy-to-let mortgages accounted for EUR 8.9 billion of the housing loan stock. At the end of June, the household loan stock included EUR 17.6 billion of consumer credit and EUR 17.7 billion of other loans.

Drawdowns of new loans[3] by Finnish non-financial corporations in June totalled EUR 3.9 billion, including EUR 670 million of loans to housing corporations. The average interest rate on new corporate-loan drawdowns declined from May and was 3.55%. At the end of June, the stock of loans granted to Finnish non-financial corporations was EUR 107.9 billion, of which loans to housing corporations accounted for EUR 45.3 billion.

Deposits

At the end of June  2025, Finnish households’ aggregate deposit stock totalled EUR 114.7 billion, and the average interest rate on these deposits was 0.86%. Overnight deposits accounted for EUR 69.9 billion, and deposits with an agreed maturity accounted for EUR 15.4 billion of the total deposit stock. In June, Finnish households made new deposit agreements with an agreed maturity in the amount of EUR 1.7 billion, at an average interest rate of 2.18%.

For further information, please contact

• Usva Topo, tel. +358 9 183 2056, email: usva.topo(at)bof.fi.

The next news release on money and banking statistics will be published at 10:00 on 29 August 2025.

Related statistical data and graphs are also available on the Bank of Finland website: https://www.suomenpankki.fi/en/statistics.

[1] In 2015–2024, approximately 50–60% of the new drawdowns were made in May–September.

[2] Usually, the cost of a holiday cottage loan consists of the reference rate, the customer’s loan margin, and the bank’s other service charges.

[3] Excluding overdrafts and credit card credit.