Ongoing construction financing / Inheritance

Hello everyone,

I have a question for the experts.

Last year, we took out a construction loan for our home with the following loans on the following terms:

135,000 EUR at 2.80% for 10 years / repayment 1% / special repayment max. 5% p.a. possible
100,000 EUR at 3.30% for 15 years / repayment 1% / special repayment max. 5% p.a. possible
80,000 EUR at 2.00% for 10 years / repayment 2.2% / no special repayment possible

Now we have unexpectedly inherited money and want to put 100,000 EUR from the inheritance into the ongoing construction financing.

What is recommended in our case – also considering the currently rock-bottom capital market interest rates?

Should we increase the repayment rates of the first two loans? Should we make use of the special repayment option every year? Should we invest the money better and pay off one of the loans after 10 years? Or what other options are there?

It would be nice if someone here could give me advice.

Regards
Sebastian

Put the money into the loan. With the current interest rate situation, it is uninteresting to invest the amount (more or less) risk-averse, but if the interest rates do rise, you will have a lower outstanding loan amount and thus a lower ongoing interest burden. :)

Hello everyone,
Should we increase the repayment rates of the first two loans? Should we make use of the special repayment option every year?

Both. ;)