Low financing with high equity as a student

Hello forum,

I want to buy a condominium worth €85,000 or I have already bought it but not yet paid for it (the current owner will only move out in September and payment will only be made then). Since there is quite a lot of equity, only €15,000 should be financed and paid off over 10 years. I have a few questions about this.
In my research for a cheap loan, a comparison calculator made me aware that for loan amounts up to €30,000, a consumer loan might be cheaper due to the land charge registration. However, this costs (if I have informed myself correctly) only €66, or have I overlooked something? Could a consumer loan really be cheaper for my loan amount?
The cheapest offer I could find was the home ownership program (124) from KfW: €15,000, 10 years term and fixed interest rate, 1 year grace period regarding repayments, 2.53 % effective interest rate. Are there any other comparable offers? All other construction loans I could find were above 3 % effective interest rate.
I am currently a student (the equity comes from my previous professional life and an inheritance) and I do not receive BAföG due to my assets (once I have the condo, I will probably receive the maximum BAföG rate), my monthly income is currently about €200 from a research assistant job and I practically live off my savings and my partner’s income. What role does this play in loan approval? The comparison portals on the internet mostly only differentiate between employees, self-employed and freelancers. Is high equity sufficient security for a bank?

Thank you very much,

Simon

Regardless of the question, remember that the condominium also represents assets. So I don't think it will work with the maximum Bafög rate.

Caution with Bafög... it can really backfire if you cheat. By the way, your condominium is also counted as an asset. And the bank certainly won't give you a loan that you pay off with another loan -> Bafög.

Also keep in mind that ownership entails obligations, and costs may arise that you don’t want to “see” now. With a 15,000 loan, it is "usually" better not to make an entry in the land register.

I do not intend to cheat on BAföG, the whole thing is completely legal and can also be googled. I had already posted a link about it which was deleted and I was warned for ignoring point 3.1 of the forum rules... So, an ETW up to a certain size is, upon application, not counted as assets, that is for sure! ;)

And surely the bank won’t give you a loan that you cover with another loan -> Bafög.

Are you sure about that or is that an assumption? BAföG is actually only half a loan, the other half does not have to be repaid, and then there is about €200 income on top of that.

I already have a good overview of the costs, they are below what we currently pay in rent.

Why is it "usually" better not to register a land charge for such a small amount?

Thanks and have a nice evening,

Simon

For me, it used to be that I would have to declare ownership. You have to live in the property yourself and it must meet certain size requirements. Then you can have it excluded from the capital calculation. However, you will receive less Bafög because you are living rent-free... regardless of whether the loan is still running or not. If you do not live in the apartment yourself, the 70,000 is counted as assets and divided by 12 months. Since the amount is then greater than 600 €, you will not receive Bafög. This is what I still remember. You will get more precise information from the Bafög office... they know this kind of thing best...

you can get more detailed information from the Bafög office... they know stuff like that best...

Of course, I was there too before I bought the apartment. Maybe we can now close the topic of BAföG and turn to my questions ;):

You had written that normally it is better not to make an entry in the land register for the small amount. Why is that?
Why would the bank not give a student a loan or since when do they care where the money comes from (as long as it comes) that is used to redeem?

Thanks,

Simon