Our financing with "own contribution"

  • Erstellt am 2015-04-05 21:56:55

lastdrop

2015-04-06 09:44:07
  • #1
The bank doesn't even know where your property comes from and it doesn't care if your name is in the land register. This counts as equity capital regarding the loan-to-value ratio.
 

Sebastian79

2015-04-06 10:00:36
  • #2
Equity definitely not ;)

Many real estate agents calculate the construction costs = market value for the offer. However, this calculation is incorrect and every bank calculates the market value and thus the loan-to-value ratio differently – local banks are often better in this regard because an accurate market assessment is possible.
 

Legurit

2015-04-06 10:02:39
  • #3
Yes sure, not equity, but the market value of the entire property (?). I just find it curious, since the banks sometimes don't take even 2 days for the decision - they surely won't read the construction service description closely.
 

lastdrop

2015-04-06 10:03:35
  • #4
What do you want to say to the OP with that?
 

Sebastian79

2015-04-06 10:05:31
  • #5
You don't have to read that exactly either - key points like enclosed space and location are decisive. Standard values are used here - but this also varies from bank to bank.
 

Legurit

2015-04-06 10:08:08
  • #6
Okay, thanks (even if off-topic again) - I had really assumed so far that the agent was telling me the truth :D But well - it worked like that for us. For the OP: ask the bank how they assess it - you probably can't say in general how the bank evaluates the property and the personal contribution.
 

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