I wonder about that too. We have now been able to agree on a price with the sellers, admittedly 15% above the standard land value, but about 15% below the initial purchase price. I have now contacted 3 credit institutions to specifically discuss the 3 options: 1. Classic financing for a maximum of 3 years 2. Variable financing with possibly a fixed period without exit (e.g. 1 year) 3. Classic financing with a fixed prepayment penalty if the follow-up financing should not also be done through the same credit institution. This is waived if the home financing is then undertaken within 1-2 years and runs through the same provider. I think now it depends on the conditions and packages that can be negotiated and what makes sense here. For example, we do not want a large repayment in this 1 year, in which it might be a bit tight, and would rather use the time for planning. Afterwards, with the "big" financing, we will take the 15-20 years and subsidies etc. with it. Therefore, I am curious about the differences in terms of rate or %. I think (hope) that option 1 is below 3% and option 2 will probably end up around 5%. Regarding the topic of prepayment penalty, I am still torn. If another offer from a bank is so good that a few thousand euros over the term are easily made up for, but you get an interest rate of 3% in the short term, then this would definitely be an option. I will report back on what the banks specifically come back with.
