How do mortgages for vacation homes differ from primary residences?

Banks view vacation homes ("fritidshus") as higher risk since it's a secondary residence ("andrahandsboende"). Interest rates may be slightly higher and loan-to-value ratio ("belåningsgrad") lower – often max 75% instead of 90%. Amortization requirements ("amorteringskrav") are the same if you borrow over 50% of value. You need to demonstrate you can afford two homes simultaneously – the bank calculates based on total debt burden ("skuldbörda"). Plan carefully and don't overextend yourself with multiple properties.