New KfW efficiency house standard from July 1, 2010

Good evening,

I found the following passage on the internet, but I do not understand what I should imagine under a repayment grant. Maybe someone can shed some light on this (perhaps also with a small example calculation).

Thanks!


From 01.07.2010, a new KfW efficiency house standard applies to new house construction. Accordingly, the KfW Efficiency House 85 is no longer subsidized; the minimum eligible standard will then be the KfW Efficiency House 70. For the new KfW Efficiency Houses 55 and 40, construction supervision by an expert is indispensable because this will be a clear condition for granting the promotional loan. Furthermore, the interest rate for KfW Efficiency Houses will be uniform from 01.07.2010; however, differentiation of the subsidy will be made by means of a repayment grant. Thus, there is no repayment grant for the KfW Efficiency House 70, but for the KfW Efficiency House 55 a repayment grant of 5%, and for the KfW Efficiency House 40 a repayment grant of 10%. Those who wish to use the previous subsidy must submit the application so that it is received by the KfW by 30.06.2010.

Evening, the repayment grant is the amount by which your debts are reduced after the repayment-free period. So if you build a Kfw-Effizienzhaus 40, you receive 50,000 euros but after one year you only have 40,000 euros in debt. Regards, Christian