Construction financing - What is possible regarding credit limits?

A Volltilger has the advantage of possibly having better conditions. However, it is less flexible; you cannot reduce the repayment. You are allocating over 50% of your income for the installment. Consider the dependency this creates. The obligation to have this income, this job, forever is very high.

I would also think about whether the property really has to be that expensive.

As mentioned, it is not mandatory to go to the limit. The arguments regarding dependency are absolutely valid. However, I believe one should focus less on the percentage share and more on the absolute value.

In the end, much depends on the land price. That currently represents the greatest potential for savings.

I would try to achieve flexibility during the term, as suggested by . The average theoretical rate results from full repayment. In reality, one reduces the rate and compensates annually with special repayments. In case of need, these can also be skipped, leaving a residual debt at the end of the term.

Then you won't get full tiger conditions.

That is clear. Can you roughly say how big the advantage is with contracts that have full repayment?

0.2-0.3 percentage points can certainly be that.

If you are able to repay that strongly, I still wouldn’t want to force myself for 20 years. It makes you inflexible to tie up more than 50% of your liquidity to a single item. The day may come when fixed-term/daily money yields more than the currently concluding 1.3-1.5%. Then you will regret having to repay the cheap debt so strongly.

Choose something with a 15-year fixed interest period, do 2.5-3% repayment and 5% special repayment option.