Construction financing with a low fixed rate

What people think they know.., because like this

Currently, it is 2x 1,900 euros net (he+she), soon it will be 1,900 euros net he + 1,200 parental allowance she (+ child benefit)... so we are currently talking about 3,100 euros in the first year, then 3,300 euros net. I am not a fan of selective reading.

But you are really reading between the lines. See your first sentence.
Your interpretation is certainly associated with a certain probability, no question. But how often do people here fabricate income for which there are no reliable facts? Statements like "in x years I will earn y" or "I have a child and after period z I will then earn y" are always to be doubted here.

I think one should not be guided too much by the repayment change option when considering the offers. The special repayment would also still be manageable and which employee needs to change repayment twice a year? Seems pretty unusual to me. The stated rules do not per se exclude that further repayment changes against payment would be excluded (example ING: 2x free, every further change 100€ fee).

Agree with Alex, especially since there are also considerations here that may not come true?

My husband (31) currently earns about 1900 net without bonuses, I (24) am currently on maternity leave and will earn about 1400 net in 2018 after one year of parental leave working 30 hours/week. According to the current planning status, the installment payment will also start around this time when the interest-free standby period has expired. We recently moved in with my parents and live there rent-free until the house is finished.


What happens if only 20 hours are worked then? Does the daycare/crèche contribution also flow in here? Children cost money and and and

No one here is obligated to provide proof of their income. But there is a plan, and if a bank reviews it, it will likely be well-founded and solid at the latest when signing.

And if you now come with probabilities, you have come to exactly the right place with me. And I also worked on mortgage financing for a while. Take your pick.

Regarding the evaluation of offers, I always refer fundamentally to the specific case at hand, because every case is different, even in standardized retail business.

I want to point out regarding insurance offers that no one can calculate better than insurance companies. That is their daily bread. And for an actuary, such a calculation is something for the breakfast break. Every optional right costs money. Whether it is a repayment rate change, a special repayment option, or an early termination option.

An offer from AXA may also be the cheapest (despite various rights). But be sure, if one were to waive these rights, it would probably be even cheaper.

First of all, thank you very much for your numerous feedbacks! The offer from Sparda really was presented like that. We have three more appointments next week with Interhyp, Sparkasse, and Raiffeissen to check the current interest rates and then make a final decision. According to Interhyp, interest rates are currently rising slightly; that will become clear next week.

The Sparda interest rates are 10-year terms, I am pretty sure about that.
Furthermore, you currently have a total net income of €1900, is that correct?

No, these are terms for 15 years. This is a special contingent. According to the Interhyp advisor, it is apparently common that Sparda offers very favorable conditions if such contingents are available.

Our current total net income is about €3500 (1900 hers, 1600 mine) net, and it will remain so until the birth of the child (maternity pay). After that, I will receive parental allowance (~60% of that) for 12 months.

But how often do people here fabricate incomes for which there is no reliable evidence? Statements like "in x years I will earn y" or "I am having a child and after period z I will earn y" are always questionable here.

What happens if only 20 hours are worked then? Does the daycare/crèche contribution also flow in here? Children cost money and so on

I have a legal right to part-time employment afterwards because my employment contract is permanent. The daycare place costs €240 or €300 with lunch, which is already included in my calculations. We could also manage the rate if I return with only 20 hours, that’s why we set it so low. But 30 hours are planned, and any surplus, if available, we want to put into extra repayments or use for a higher basic rate depending on the credit model.

The offer of two changes in the repayment rate should be completely sufficient, because as long as you cannot suddenly repay more than one installment of over €2,200 monthly (installment + 1/12 of the extra repayment option), you do not need the (also expensively purchased) option to change the repayment rate at all. Simply put the additional money aside monthly and repay once (or as many times as the contract offers extra repayment chunks).

The option to change the repayment rate should only be used in two cases at all:
1. Unforeseeable events like unemployment, triplets, or who knows what
2. Excess money to an extreme extent (see next point)

Thank you very much for this assessment; it really helps me a lot. A small factor we have in mind: it may happen during the course of the loan that an inheritance comes our way. Of course, you cannot and should not plan for that, but since my husband is an only child and grandchild, that would at least be a significant amount in case it happens. Our parents each experienced with their house financing that they would have liked to repay more but were not allowed to – that is why certain flexibility is very important to us. But my feeling is also that two repayment rate changes would probably be enough to handle that.

You can also do other nice things with inherited money/house. And if you have to park the money for 5 or 10 years. With the current interest costs, it does not hurt. Properly invested, this could even be an advantage.

There is no legal right to part-time work IMHO. Your employer must provide you with a workplace under the same conditions as before, but they do not have to agree to part-time.