House construction still realistic despite rising interest rates / construction costs?

MBS

Uff. Until July is tough. Do you have any other irons in the fire? We also had our preferred offer but simultaneously inquired at 2 other banks. None of them had such a long processing time. In one case, however, we had the situation that we had submitted everything to secure the conditions, but in the end they came back with "our evaluation showed something different – so we would love to finance you, but it will be more expensive by percentage X." I found that cheeky and a bit unprofessional – to me, that sounded like a flimsy excuse to pass on the weekly changing conditions to us. With a processing time until July, I wouldn’t feel comfortable, because if then a rejection or such a "price increase" comes like with one of the banks we asked, the interest rates elsewhere will likely be higher again by then.

We also expressed these concerns when the long processing time was already communicated to us at the very beginning of the talks. So we knew what we were getting into. According to the financial advisor, the situation is as follows: She has experience with how Allianz decides, she only submits an application if she is absolutely sure that it will work out. Additionally, after 2-3 weeks there is already (preliminary, so not very valuable) feedback. The promised interest rate definitely has a bad taste. Whether one wants to take the risk for the very good conditions at the moment is something everyone must decide for themselves. The second-best offer in our case was significantly more expensive even for 15 years (I mean 2.64% effective)

The second best offer in our case was significantly more expensive even over 15 years (I mean 2.64% eff.)

And what would you have done if you had received an approval from the other banks after 2-3 weeks? You don’t know if Allianz will go through, and you can’t wait that long to sign.