Construction costs are currently skyrocketing

a 2,x percent nominal interest rate is quite high for that. Crazy. Couldn't you get an offer under 2%? That surprises me. One factor is when the loan is repaid. It's a difference whether your loan is to be repaid in 08/2022 or 12/2023.

What do you think or know is wrong? I'm not very familiar with this banking stuff.
Repayment 02/23. Considered a new financing since 2 KfW loans are still being paid off.

What do you think or know is wrong? I'm not really familiar with this banking stuff. Repayment 02/23. Considered as refinancing, since 2 KfW loans are being terminated.

The further into the future, the higher the forward premium. That's probably what he meant. You're basically buying protection. Currently probably the right decision, but no one has a crystal ball.

The further into the future, the higher the forward premium. That's probably what he meant. You're basically buying insurance. Currently probably the right decision, but nobody has a crystal ball.

Do you think that despite low interest rates, the rates will still go higher? I rather suspect that due to rising prices, demand will decrease and the interest rates will go down again or at least not go up further.

Do you think that despite the low base interest rate, the interest rates will still go higher?
I rather suspect that due to rising prices the demand will decrease and the interest rates will go down again or at least not go up further.

As far as I know, interest rates do not rise/fall with demand. Demand certainly has not dropped significantly in recent weeks.
The articles I have seen online so far all predict interest rates to rise further. But I haven’t quite understood why yet.

In my opinion, however, the increased interest rates should lead to lower construction activity and thus lower demand. An apartment as an investment with 30% equity simply isn’t profitable anymore beyond a certain interest rate.
In the long term, building costs should also decrease again, but the war and the disrupted supply chains that existed even before the war still play a role here.

Currently, we have rising interest rates, extremely rising raw material prices, a chronic shortage of skilled craftsmen, and a government that is restructuring the funding program (and probably does not want to promote single-family houses at all in the long term).
It is a conceivable difficult situation.

Apartments, for example in Munich, were already "extremely" expensive 15 to 20 years ago. Today, one would be happy about a paid-off apartment in Munich, which is certainly worth double to triple.
Unfortunately, the current situation can only be properly assessed in the future.

Do you think that despite the low base rate, the interest rates will still go higher?
I rather suspect that due to rising prices, demand will decrease and the interest rates will go down again or not go up further.

That can happen in the medium term, construction materials could also become cheaper. But probably no one really knows. I don't see fixed interest rates under 1% for 10 years in the next 24 months.

Do you think that despite low base rates, interest rates will still go higher?
I rather suspect that due to rising prices, demand will decrease and interest rates will go down again or at least not go higher.

Interest rates have not only been raised due to increased demand. Currently, the drivers are the increased yields on government bonds and higher equity requirements due to regulatory demands.

A forecast on how things will proceed is like playing the lottery.