Question 1

What does it mean to be a co-borrower?

Accepted Answer

As a co-borrower of a home mortgage, you are jointly and severally liable for ensuring the entire loan is repaid. This means that each and every borrower is responsible for the entire loan.

Question 2

What is a mortgage guarantor?

Accepted Answer

A mortgage guarantor is a person who places their own property as additional security for a loan. For example, this might be your parents.

A secured guarantee can be an option for making up for a shortfall in equity. As a mortgage guarantor, you place your own property as security for someone else’s loan. This means that the bank makes you liable for paying the debt if the person you have placed the guarantee for does not pay. It is important to think carefully before agreeing to place a guarantee for someone. You can set a limit for how much you want to or can guarantee.

Question 3

What is joint debt?

Accepted Answer

Joint debt is debt that belongs to a housing cooperative, and everyone who has an occupancy right or share of an apartment in a housing cooperative, also owns a share of the debt.

The debt is often taken out to carry out works on the housing cooperative that will benefit all of the apartments or residents, for example renovating bathrooms, replacing windows, refurbishing the facade or building balconies. You repay the joint debt monthly along with the joint expenses. High joint debt also means high rent.

NB! Joint debt counts as part of your debt and has an impact on how much you can borrow from the bank.

Question 4

Borrow from parents

Accepted Answer

One solution for meeting the down payment requirement is to take a private loan from your parents. A private loan can be interest and fee-free, but must be in writing and submitted as documentation to the bank and be entered in the tax return.

Question 5

What is meant by inheritance or gift advances?

Accepted Answer

If you haven’t saved enough equity yourself, a solution may be to get a cash gift or advance on inheritance. This money must be deposited into your account in connection with the purchase of the home.

Question 6

Can I use my parents as co-borrowers?

Accepted Answer

Your parents can help with the house purchase by acting as co-borrowers. You and your parents’ income and debt will then be looked at, to assess how much home mortgage you can get from the bank. This means that you are all responsible for the total home mortgage you take out.

Question 7

Can I buy with a friend, partner or relative?

Accepted Answer

With two incomes and a larger down payment, it may be easier to get onto the housing ladder. You will then be able to share the costs and a double income will be considered for how large a home mortgage you can get.

If you are buying a home with someone else, you should agree on the ownership share, how big a down payment you will use, the division of the home mortgage and costs, as well as a clear exit strategy.

Question 8

Can I rent a bedroom?

Accepted Answer

If you bought a home with several bedrooms, you can rent a bedroom to increase your total income. We add the rental income from a maximum of 1 bedroom based on the expected rental income from the room, but a maximum of NOK 7500 per month. Remember to think carefully about what your finances will look like if you end up without a tenant for a period of time, and this risk must be included in the bank’s calculations. You must inform the insurance company of a partial rental, and sign a tenancy agreement.

Question 9

Processing of personal data for loans

Accepted Answer

When you apply for a home mortgage, we process data about your income, debt and assets. We obtain information directly from you, from our internal systems and from public registers.

From our systems, we gather information about applications, payments and transaction history for loans, credit and accounts that you have with us. We can connect your to Altinn so the Norwegian Tax Administration gets your consent to provide details about income, debt and assets.

We can also obtain a summary from the Norwegian Debt Register of your unsecured debt, details of properties from the Norwegian Mapping and Cadastre Authority, as well as taxable income from previous years and payment remarks from credit information agencies. You are informed by credit information companies when details are obtained from there. Our processing of this data follows an automated risk assessment process.

This process is necessary in order to follow both the authorities’ requirements and to safeguard our own legitimate interest in managing our own risk and securing healthy finances and an ability to pay among our customers. We are also obliged to protect ourselves against money laundering and financial crime. If you do not agree with our process, we will not be able to handle your loan application, but you always have the right to correct any details that are incorrect.

When we approve a loan, DNB takes on a duty to report to the authorities. When we reject a loan application, we register this so that we can report the rejection, and potentially document the process afterwards. Registered details of a rejection can have an impact on your future applications.

DNB Bank ASA (the Bank) and DNB Boligkreditt AS (Boligkreditt) are jointly responsible for processing personal data. This means that your data will be available to both the Bank and Boligkreditt in both the application process and once the loan has been accepted.

The Bank and Boligkreditt are obliged to meet requirements to correct any errors and, at their own initiative, delete information that is no longer necessary. The bank is obliged to consider objections to the processing of personal data and must always comply with reservations against direct marketing. For Boligkreditt, marketing is not the purpose of processing personal data.

Read about how you can exercise your privacy rights in our personal privacy statement / “What are your rights” and contact details under “Questions and complaints”.

DNB’s Data Protection Officer (DPO) can be contacted by email at personvernombudet@dnb.no or by regular post at: DNB, c/o Data Protection Officer (DPO), PO Box 1600 Sentrum, 21 Oslo

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