Buy land - finance €38,000, where?

Hi, there are still €38,000 to finance for the property purchase. About €1,000 could be paid off monthly.

I read in the newspaper that interest rates below 2% are common. However, on the internet I only find ones with 3.49% (DKB, 36 months) & Kredit24Sofort with 0.69%-6.49%. And then it will probably quickly become 6.49% if they have the choice.

With 3.49% DKB, €1,112.27 would also be due monthly, which would be a bit too high. I suppose about 40 months would be better.

Are the offers already good, or can you recommend a lender?

You are looking for consumer loans. Those are the regular interest rates; real estate is financed with mortgage loans, where the interest rates are much lower because the land is the collateral, the bank registers in the land register, almost zero risk of default for them. But such loans usually start at 50 thousand or more. An alternative would be financing through a building society. Check out Schwäbisch Hall, Wüstenrot or similar to see what is possible. K.

I entered this just for fun at Check24. The cheapest loan is from ING with 2.99%. I had a loan from them for my car. Everything went super easy and I was able to make additional repayments of any amount at any time.

Thank you both! And what if I use the property as collateral for a consumer loan (i.e. with an entry in the land register)? If I now calculate the concrete case:

€38,000 @ 2.99% = €1,136.2
€50,000 @ 1.9% = €950

Then I would simply repay the €12,000 on day 1. And the €50,000 loan would be cheaper. What do you think of cooperative banks - Volksbanken, Stadtsparkassen? Are they rather expensive - or should I go straight to Ing-Diba, or is a comparison worthwhile?

hi, there are still €38,000 to be financed for the land purchase. About €1,000 could be paid off monthly.

You should simply do this with a consumer loan. No mortgage and no hassle. With banks, you will have real problems with this amount, usually only from €50,000 and then with hefty surcharges + the costs for the mortgage. Calculate what the loan costs as a consumer loan, for example over 36 months. Then take a construction loan with maybe 2-2.5% interest + land registry fees. In the end, the consumer loan suddenly turns out to be quite cheap.

Take a look around here in the forum, the question has come up more frequently lately. There are also some banks that issue [Immobiliendarlehen] without a mortgage as variable loans and are around 2% interest. We did the same ourselves at the Sparkasse. However, we only got access to the loan through one of the usual brokers. The offers we obtained ourselves were significantly (!) higher.