Short-term interest building loan
Low interest rates should be secured as long as possible; if, on the other hand, there is hope for more attractive conditions in the future, a shorter fixed-interest period is advisable. Eurieko sets interest rates on bank loans when banks lend money to each other. There are two things to keep in mind when it comes to interest on a construction loan: In addition, the construction interest also depends on the current interest rates of mortgage loan. Just ask him what the current interest rates on construction loans are and how he estimates the development of interest rates on construction loans.
Home savings calculator – Compare current interest rates on the Internet
You can calculate the current daily rates for mortgage lending on the Internet and provide the cheapest service provider for your construction project. It is recommended to obtain a non-binding construction loan offer from various service providers and to go through it in peace and quiet. Some decide to build a new building, others are interested in renovating an existing one.
In both cases, they can hardly avoid taking out a construction loan. The interest rate on construction loans has fallen sharply over the past twenty years. Although there is currently a slight upward trend, various financial market experts do not expect that there will be significant interest rate hikes in the coming weeks. The same applies if you choose a loan company with a local branch network, if you prefer a personal advisor.
Find out in detail in a first interview and how long the current interest rates are valid. If possible, builders or purchasers of existing real estate should contribute to an equity share of ten or even twenty percentage points. Not only does this significantly reduce the loan amount, but the building owners also participate in low-interest loans, as the credit default risk is not that high.
If z. For example, if the Bauspar contract does not reach maturity for five or six years, it may be used for an unscheduled repayment. It may also be possible to request relatives for a loan. The latter will then accept the repayment of the remaining debts or at least one amount fixed at the beginning of the contract, for example EUR 100,000, following the death of the persons concerned.
But this is also possible in low-interest phases. If you are z. For example, if you have decided on a full repayment loan, you can not only plan a 10-year contract period, but also a longer-term one. Such a document can also be used over a longer period of 25 years. If the interest rate is higher at this point in time, do not give up on the loan being repaid while you take out a follow-up loan at lower interest rates.
For the renovation or renovation of your property, you also get cheap building loans, which must not even be recorded in the cadastre up to an amount of EUR 50,000. You will also find out here which regional subsidies are available for the conversion or expansion of an existing property. Intrasavings-Bank offers funding opportunities both for new construction and for the purchase of existing real estate.
So anyone who wants to renovate an existing property, z. For example, the programs Energy Efficient Rehabilitation – Loan 151 or Energy Efficient Rehabilitation – Investment Allowance 420. The maximum loan amount is EUR 60,000 per apartment unit and measure or EUR 75,000 if you convert the property into a Intrasavings Efficiency House. At the same time, it is possible, under certain conditions, to receive a repayment subsidy of up to EUR 13,125.
Otherwise, you can also make an investment contribution of max. EUR 18,750, which makes it possible to link up with other funding programs. If the refurbishment is supported by an expert or an energy consultant, Intrasavings-Bank will contribute 50 per cent. The maximum amount is EUR 4,000. However, this support is only granted in conjunction with other measures such as the Energy Efficient Renovation Loan 151.
When converting an existing property, such as the replacement of a heater, all show windows, but also the optimization of the thermal insulation effect are allowed. For example, an energy supplier, but also an expert and many local craft companies, which have focused on the construction and renovation of apartments, but also on the electrical installation, provide more detailed information.
If you are z. If, for example, you have opted for a Intrasavings Efficiency House 55, you will receive a maximum repayment subsidy of EUR 2,500 on the Intrasavings loan. These can z. B. a heating pump, a Holzpellet- or biomass heating system, a mounted on the house roof solar technology for an optimized outer wall insulation, roof insulation and roof windows with triple glazing and additional special frame can be used.
As part of the “Energy-Efficient Living – Loans 153” funding program, the construction of a Intrasavings Efficiency House with a maximum loan of EUR 50,000 per dwelling unit is being promoted. At the same time, a repayment subsidy of no more than EUR 5,000 will be paid under certain conditions. The “Intrasavings Housing Program – Loan 124” can be used to finance both home ownership and flood damage.
The maximum loan amount is EUR 50,000 per project. This also applies to the purchase of an existing property. Anyone who has built or bought his property ten years ago should now look for a favorable refinancing. It should be noted, however, that credit institutions charge interest on advances, as they expect regular interest income and repayments.
For this reason, a precise statement of the prepayments to be paid must be arranged and offset against the expected interest savings. If there is still a difference, you should try to repay the current building loan. What are the advantages and disadvantages of a forward purchase? If you want to hedge the current loan interest in advance, a term loan can be beneficial for you.
This has the great benefit that it can be claimed under the current conditions, but only in a maximum of six years. The interest premium payable for this is only slightly above the current interest rate. If you expect mortgage rates to increase again in the future, you can relax and settle down, as this has no impact on the term loan business.
Of course, it can also be used for other purposes than intended, eg for renovation and renovation work. As you can see, there is a wealth of funding available for your construction project or the acquisition of an existing property. Take advantage of the opportunity and inform yourself in detail about the current interest rates of the various institutions. If you are still looking for a suitable property or construction site, you should also consider their offers.