Construction costs are currently skyrocketing

For reasons unknown to me, the increase from 10 to 15 is usually the largest...
From Interhyp:

(always looks similar, even when looking at longer periods). They don't have 30 years in the statistics.

For us, last year the increase from 10 years to 15 years was almost 0.5%. That amounted to 50%. From 0.96% to 1.45%.

The small difference between 20 and 30 years suggests that the banks do not believe that interest rates will rise in the long term.

Regardless of what their official opinion on this is ;-)

That may be true. But I simply sleep better knowing that the rate will not increase anymore until the house is paid off. Which does not mean that I am convinced that interest rates can’t go down again at some point.

That may be true. But I simply sleep better knowing that the rate won't increase anymore until the house is paid off. That doesn't mean I'm convinced that interest rates can't go down again at some point.

But you are indeed paying a high premium for that. Acquaintances financed the same amount shortly after us (we in January 2021, they in August 2021). We got 0.9% for 15 years, they got 2.1% for 30 years...

We amortize 3.5%... they under 2% with a similar rate...

That means I will be in a pretty good position at the follow-up financing in 15 years, because the place will certainly be worth 25% more, I will probably earn 10-15% more... and due to the repaid loan and property value increase, I will have 60, rather 70% equity, not 25% like at the beginning...

Even at a 5% interest rate, I am barely worse off...

PS:
It's like the stock market or like in life in general. To gain something, you always have to take some risk.

For unknown reasons to me, the increase from 10 to 15 is usually the largest...

This will be due to the special termination right according to the Building Code, which is available to every private borrower after the 10th year. You will exercise it if you can then get a cheaper loan, or stay in the term if market interest rates have risen. The bank always comes off worse at this point....

But you really pay for that with a high surcharge. Acquaintances financed the same amount shortly after us (we January 2021, they August 2021). We 15 years 0.9%, they 30 years 2.1%...

I see it exactly the same way, that was also my consideration. Over the long term, the effect of a higher regular repayment rate should not be underestimated. I have to decide whether I want to repay 0.25 or even 0.5% p.a. more of my loan or rather pay as a price (interest) for the security of a long term. Over 15 years that’s quite a chunk. I can always make extra repayments in addition. But as long as inflation is so much higher than my construction financing interest rate and construction prices are steadily rising, you can only go through life with a permanent grin after completion. That is exactly the effect you describe with rising prices/wages and a 15-year constant construction financing interest rate...

I think the special repayment is a placebo.
At the beginning, you still say to yourself:
Christmas bonus, allowances, etc. all go into the special repayment.
At the beginning, you also still say:
We only take standard, no extras...

But then you want to go on vacation, get the bigger car, the great 7.2 system. The low rate allows it and far too many then do 20, 30 years Lalelu...

Until after 30 years, just before retirement, you wake up... oh... 30% outstanding debt still?
But I wanted to retire early... hmm...

I think the special repayment is a placebo. ... Until you wake up after 30 years, just before retirement... oh... 30% remaining debt still? But I wanted to retire early... hmm...

I agree with you, even our mortgage advisor said he has never exercised the special repayment in his financing. We do as much as possible annually, but do not forgo vacations etc. This is the compromise between "Life happens today" and "no nasty surprise in the future." But I always keep an eye on how the remaining debt develops in Excel, and so far we have increased the regular repayment twice, plus the additional special repayments. A quick repayment also has the advantage that you can use the house as collateral for the purchase of further properties. If purchase prices really fall slightly, you could buy an additional building block for your early retirement this way ;-)