Evaluation of our financing offer

Hello,

I would like to get some feedback on our financing offer. Our wish was to know as precisely as possible how much we have to pay until the end, meaning not to hope after 10 years that the interest rates will be as favorable as they are now.

Total investment amount €300,000
Equity €100,000

Angebot

€100,000 via KFW (151, 152), term 10 years, 0.75%, repayment grant €17,500, annuity €320, residual debt €52,500, simultaneously saving in building society plan €142 (€16,500 credit). Results in a residual debt after 10 years of €36,000. Follow-up financing herewith at 2.64% effective annual interest rate

€100,000 via bank until 2034, term 15 years, 0.95%, interest-only payments, simultaneously saving in building society plan €230 (€40,000 credit). Results in a residual debt after 15 years of €60,000. Follow-up financing herewith at 2.56% effective annual interest rate.

Since this is our first offer, I have nothing to compare it with. However, the interest rate of over 2.5% seems quite high to me.

I would be grateful for opinions on this.

Best regards

I would leave out all the KfW stuff as well as the building savings contracts and pay off as much as possible over 15 or even 20 years. That way you will definitely be better off.

Sometimes you get 1.2% or less over 20 years - then you have a relaxed rate and don’t have to worry about follow-up financing.

Building savings contracts actually only cost money and don’t bring you anything at all in your situation.

Just get an offer for 200T€ over 20 years. It should currently cost about 1.15-1.2%.

House bank only offers 15 years as the longest term in the classic option... That’s why their detour with the building society savings plan. I am also bothered by the closing fee, but 15 years is too little planning security for us. KfW for the simple reason that, according to the energy consultant, we will reach the efficiency house standard with the planned measures anyway. Why shouldn’t I take the repayment grant there?

You are more likely to get 20 years with Allianz, DEVK, Postbank, etc. The savings banks and cooperative banks prefer to sell their outdated home savings contracts.

Thanks for the tip! I'll apply it to the mentioned [Inhalte in eckigen Klammern]