Error in financing?

I guess a classic annuity loan with a long fixed interest period and special repayments is better

Unfortunately, my crystal ball is in the workshop, but I would agree with that feeling.

What is an EKED? Did a marketing expert have a field day there? Sounds somehow like a subordinated loan.

By the way... if in the end somewhere 30 or 50K EUR are "open" without interest security, I would consider that an "acceptable residual risk." Even if the interest rate were 8%... you can easily get rid of it in 10 years.

Are you sure that the first bullet loan can be repaid early? I don't think so! You can only put the "early repayment" into the savings contract during this time. Only when the home loan has been allocated and paid out can you repay early. For the pre-financing, this is usually not possible!

What does EKED stand for?

why 2,000 euros?

The almost 2,000 (I come to ~1900) are due every month after the first 15 years.

Many who purchase a house from a provider group (who like to finance through BHW (because they have a close cooperation)) only see the "low" initial payment. You just have to keep it in mind.

On the other hand, if you can really get a single-family house for 405,000 including land with all purchase incidentals and construction incidentals, and BHW does that, it's not bad.

So I moved the slide rule once and now consciously take out only one building block, the largest one with the highest interest rate, to show that the whole thing is not so dramatic because of the home savings contract, provided I have not miscalculated.

There are 205,000 € with 1.9% interest over 15 years. Until now, I thought you pay down directly, then there is a residual amount and after that you have 2.35% – which sounded very good, but unfortunately was not the case because it is a home savings contract.

BUT:

With this variant, after 15 years there remained a residual amount of 140,000.

If I calculate the home savings contract; i.e. that you continuously pay the interest as in the first full month, then you pay a total of 58k interest at 1.9% and save 55k – resulting in a residual amount if you then virtually add these 55k to the loan of 150 or... 149k. Certainly more, but not as extreme as I thought before the calculation.

If I apply all this to both home savings contracts + KFW and then calculate so that after 15 years I pay my same monthly amount in II and III and then make an interim calculation after 20 years, because then the KFW loan will have expired, I have the following after 20 years:

33k residual KFW (unknown interest from then)
177k residual II and III (after 15 years it was 222k, monthly at 2.35% and 1,058 rate)

Until then, I have paid my 1,250 Euro monthly (plus the expensive 20k loan 160 Euro, which would also be finished after 20 years, even if I didn’t pay anything extra)

So total outstanding after 20 years:
33k KFW
177k the rest

= 210k -> assuming it continues at 2.35% for this amount and I then pay the same total 1,410 Euro monthly, I would be finished after 14.5 years, so after 34.5 years total.

If the home savings contracts were not home savings contracts but you would pay down directly, I would be finished 6 months earlier, so about 10k more expensive overall.

I am still a bit surprised about this, whether there is perhaps a calculation error... but it should fit.

Certainly, I do not know if you would get 2.35% for the 33k remaining KFW and how long it would be secured, but that never sounds bad and I would have a permanent rate of 1,413 Euro.

With this variant, a residual amount of 140,000 remained after 15 years

You then have a building savings contract of 155,000. You say yourself 3 lines above that 55k € is saved. So far so good.

plus the expensive 20k loan 160 euros

What kind of loan is that? Possibly a 4th component and used as equity replacement? But that wasn’t already included in the 1253 EUR, right?

= 210k -> assuming that it continues for this amount at 2.35% and I then continue to pay the previously total 1,410 euros monthly into it, I would be finished after 14.5 years, so after 34.5 years in total

Logical error! Building savings contracts always have a relatively high repayment rate. You will not get 20 years to repay the building savings contract loan. Expect 15 years (the lady also said 15+15).

That’s why I predicted the jump from the original 1253 to 1850-1900 after 15 years.

But since you are already investing 1410 every month anyway, that’s not so bad for you anymore.

yes, the remaining 140k referred to the case if it were not building savings contracts but went directly into repayment.

If after 15 years I have 222k outstanding from the two building savings contracts and I have to be finished in another 15 years, then the repayment would be about 1,500 euros plus the remaining 355 KFW where after another 5 years 33k are outstanding.

Thus the rate would actually go to about 1,900 and one would be completely finished in 30 years.

But the lady said that after 15 years you reassess whether you want to increase it or not, etc.... Of course it could be that she is nicely rephrasing some things, I do not want to deny that either

Therefore this is also a great input and I have already learned a lot about what to pay attention to If it were like that, then you would set aside sum X directly, repay it after 15 years and then it would remain continuously constant overall, just a bit higher...

But yes, I also agree that 1,250 is suggested, which anyway could not be correct, and actually if calculated continuously it is higher.

The 20K is the equity replacement loan as the 4th component. The house overall is 425k and makes up these 20k plus 405k (100 KFW, 305 building savings contract) - this is necessary because there is no equity.

Therefore our rate would be from the beginning 1,250 plus the 160 from EKED (she herself noted it as an abbreviation), meaning 1,410 euros.

Then the game begins as explained above.

She confirmed twice to me that during the building savings contract you can additionally save, no matter how much, and pay 5% per year on the mortgage - I understood it as you can prepay the loan early beforehand...