Interest rate fixation

I also plan to build within the next 1.5 - 2 years.
Regarding my situation:

32 years old
single
equity: approx. €100,000

I want to build 2 semi-detached houses, I want to live in one myself,
the other one is to be rented out.
At the moment, I live in a condominium that belongs to me, which I could later also rent out or sell (it is fully paid off).

The loan would then be estimated at just under €200,000 with a plot of land (incl. incidental costs), the condominium is not yet included there.
Can I lock in the current interest rates now for the period until construction begins?
I assume that we can expect a sharply rising inflation in the near future, so interest rates will be correspondingly much higher than today.
I only know about fixed interest rates for follow-up financing, does anyone know if this also applies to new buildings?

Thanks for the answer(s)!

Hello,

you have quite a plan there, but I think I can help you with that. This is called a Forwarddarlehen, where you can "reserve" the interest rate that applies today for a certain period. You then get the money at the interest rate that would apply today.

by Brause :rolleyes:

Hi McFly, :)

I also know that you can lock in the interest rates for a longer period, but it costs something. Because the banks charge well when they secure the interest rates for you.

See you
Walter

If you want to secure a forward loan like this, be sure to get offers from several banks, as there are considerable differences in the conditions.
All the best
Volt

If you do the whole thing through a building savings contract, you can secure the interest rates today. They will remain fixed throughout the entire term. With the equity capital, you could immediately make a contract and deposit the money there.

If you do the whole thing through a home savings contract, you can already secure the interest rates today. They then remain valid throughout the entire term. With the equity capital, you could immediately make a contract and pay the money in there.

by Gerd

Using the home savings contract makes sense if you already have the money on hand to pay in half of the contract completely, then it would mature for payout at the start of construction.

Sam22