Construction costs are currently skyrocketing

Regardless of how the interest rates will really be at the end of the year, what else should they write? If they wrote that interest rates would fall, no one would make a deal now. The goal is to do as much business as possible now.

Exactly, just keep encouraging each other properly. For at least the next ten years, it will be a high-interest phase. Bad luck for people who financed with the last penny. One day the time for follow-up financing will come, and then the place will be foreclosed.

On the subject of low interest rates: My brother borrowed 200K about 2 years ago for 10 years (a 10-year term was cheaper! than 5 years) at 0.45% (through LVM). Making special repayments now probably doesn’t make sense - does it? ;)

on the topic of low interest rates: My brother borrowed 200K about 2 years ago for 10 years (a term of 10 years was cheaper! than 5 years) at 0.45% (through the LVM). Making special repayments now probably doesn’t make sense – or? ;)

No, it doesn’t make sense. Depending on how high the initial repayment is and thus the remaining debt after 10 years, however, it makes sense to think about the potentially significantly more expensive follow-up financing. For example, instead of making special repayments, building up assets elsewhere in order to be able to redeem the loan after 10 years or something similar.

No, that doesn’t make sense. Depending on how high the initial repayment and thus the remaining debt after 10 years is, it does make sense to think about the potentially significantly more expensive follow-up financing. For example, instead of making special repayments, building up assets elsewhere in order to be able to repay the loan after 10 years or something similar.

For example, filling a building savings contract in parallel. That’s what we have done now. In 9 years, the follow-up financing is due. We have now been able to secure favorable interest rates again. Although the building saving contracts would also have to rise slowly now.

No, it doesn't make sense. Depending on how high the initial repayment is and thus the remaining debt after 10 years, it does make sense to think about the possibly significantly more expensive follow-up financing. For example, instead of making special repayments, building up assets elsewhere in order to be able to pay off the loan after 10 years or something similar.

Damn, I still need to work on clarity regarding the topic "Irony On OFF" ;)

Damn, I still need to work on clarity regarding the topic "Irony On OFF" ;)

With such low interest rates, the repayment effect is already very high anyway. You have the choice to finance a smaller amount afterward, most likely with relatively high interest rates, or to invest the special repayment differently in parallel, and then pay off the remainder more cheaply. Of course, it depends on the remaining amount. You just have to calculate it. And polish the crystal ball properly...