Beginnings of a possible property | Questions about the building savings contract

So, two things :

It depends on what you want. Security always costs something. Financing components with deferred repayment are always more expensive than direct repayment. But they offer security if used correctly. So a home savings contract makes sense for you if you want security in financing. If that is the case, then it also makes sense to pay only a low savings rate into the home savings contract before the financing begins. Because you do not have to pay interest on your equity, it should be available at the time you want to buy and not be tied up in a home savings contract.

Interest rates are currently rising again because the market's yield expectation has changed. The yields on government bonds have also increased. This does not necessarily have to do with Greece, etc. It is only about what the market (i.e., the majority of investors, both private and institutional) does.

Of course, I don't want to put all my eggs in one basket when it comes to financing, i.e., in addition to saving into the [Bausparvertrag], I regularly save into my [Tagesgeldkonto]. Especially with the [Bausparvertrag] from Signal, I would have 1% interest on the balance (yes, I know -> inflation), but I can hardly get more elsewhere. I think, although I don't have a crystal ball, securing a loan interest rate of 2.25% is quite okay. Sure, I could get it cheaper, but the room to go down is smaller than the room to go up (to put it simply). The savings rate should initially be between 300-400 euros, that’s where I still feel comfortable.. Additionally, I have already thought about a forward loan, but I cannot estimate the timing of the purchase at all.

So two things :

It depends on what you want. Security always costs something. Financing components with deferred repayment are always more expensive than direct repayment. But they offer security if used correctly. So a building savings contract makes sense for you if you want security in your financing. If that is the case, then it also makes sense to pay only a small savings rate into the building savings contract before the financing begins. Because you don’t have to pay interest on your equity, it should be available at the time you want to buy and not tied up in a building savings contract.

The initial equity outside the building savings contract does not help him if he cannot afford the rate for the building savings contract and does not get the building savings contract ready for allocation. If he pays in little now, he will have to pay in even more to reach the minimum valuation number by 2022. But that does not work with the rate amount.

The initial equity outside the building savings contract is of no use to him if he cannot afford the installment for the building savings contract and does not get the saver ready for allocation. If he pays in little now, he will have to pay in even more to reach the minimum evaluation number by 2022. However, this does not work with the installment amount.

That is correct. That is why the middle way. You always have an advantage if there is already some money in the building savings contract, because this shortens the time for the preliminary loan (which means the interest rate is also lower). However, if all the capital is tied up in the building savings contract, the loan amount will be higher and at an interest rate unknown today.

What does your middle way look like ?

Since I want to use the home savings contract for the follow-up financing, it does not have to be ready for allocation in 2022. If I buy something in 3 years and the bank loan runs for 10 years, I have about 13 years, is that correct!? During that time I can save more or less.

I don’t quite understand the middle way you mean, what do you mean?

Since I want to use the building savings contract for the follow-up financing, it does not have to be ready for allocation in 2022. If I buy something in 3 years and the bank loan runs for 10 years, I have about 13 years time, is that correct!? During that time I can save more or less.

To my knowledge, the repayment amount also depends on the deposit period. If you have a longer time until allocation anyway (e.g. 12 years instead of 7 years), you might be able to reduce the monthly burden as a result.