Financing offer: TA loan with building savings contract

  • Erstellt am 2021-01-04 00:44:39
K

kbt09

2021-01-05 08:33:40
  • #1

And what happens with the loan, for which you usually only pay interest, to eventually repay it after about 10 years with the building savings contract? Early repayment penalties or continued payment of interest for the first 10 years are still due.
 
F

Franconia

2021-01-05 09:16:04
  • #2
That is correct. Interest continues to accrue within the first 10 years. You then have to calculate whether the prepayment penalty is "worth it" or if, for example, it is better to make the 5% special repayment every year until the tenth year. Either way: the interest would be 400 per month then. I find that bearable. In return, I can sell if the market conditions are right. Although selling is only an option; that's exactly why we have "only" a 2000 euro installment, so we don't necessarily have to sell. Renting out for another ten years pays the interest for me, and if real estate still has no or only a slight loss in value, it was a good thing. If there is a loss in value: my goodness. Then I just rent out further. Therefore, an installment that enables both, even if I might have paid 20k more in interest in the end.

Everything is very difficult and very individual. Everyone has to find their own way. I couldn't sleep a single night with an installment beyond 2000. And probably not either if I know that in 20 years I still have 50% of the principal outstanding...
 
H

Hausbautraum20

2021-01-05 09:37:45
  • #3
Yes, it has to be decided individually. I couldn't sleep if I didn't put at least €2000 from a net income of 7500 into the installment ;-) But of course, that's a luxury problem for you, all paths lead to a good goal
 
W

WilderSueden

2021-01-05 12:52:05
  • #4
The two points are directly connected. Low repayment = high remaining debt and severely low repayment = a lot of money wasted on interest. What do you do with the remaining 5500€? Do you at least invest it well (i.e. not a daily allowance account with ~0% interest) or do you need it all for your standard of living? The desire for a low rate and no prepayment penalty costs you a lot of money every month. I now dare to claim that the high interest costs you about as much as a prepayment penalty to the bank. Maybe even more. And that only in the event that you actually terminate early. If you don’t, the money is definitely wasted.
 
G

Grundaus

2021-01-11 15:49:06
  • #5
Is the property to be rented out or occupied yourself. Please clarify with a tax advisor whether it is possible to deduct the loan interest on the other 2 properties. The difference between the nominal and effective interest rate is what the interest security costs you additionally. It is probably the contract fee of the building savings contracts plus what you do not amortize plus other fees that do not have to be included. The structure cant be terminated within 10 years without a prepayment penalty, and after 10 years, any loan can be terminated. The only difference is that for the building savings contract, the notice period is not 6 months after 20 years. You can calculate what a 0.5% higher interest rate on the total amount over 20 years costs. Special repayments are made into the building savings contract, and for example, from 100,000 upwards, the deposit insurance is no longer sufficient. In comparison, the risk with the salary and the increase of financing the small remaining amount in 20 years further with funds, life/pension insurance, Riester to repay or sell and buy something new.
 
F

Franconia

2021-01-11 20:25:45
  • #6
 

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