Paying off personal loan + creditworthiness

Paid incidental purchase costs are included by some banks

Equity = value of the property minus financing. Incidental costs have nothing to do with that, as they are unrelated to the value of the property.

Incidentally, incidental costs appear on both sides – cost position and capital side – thus neutral for the entire financing plan of the OP.

Equity = value of the property minus financing. Ancillary costs have no place here, as they have nothing to do with the value of the property.

Yes and no. If we assume a functioning market, then the amount a buyer is willing to pay minus ancillary costs is the purchase price that flows to the seller. As I said, we went through this a few days ago, ancillary purchase costs (except for property transfer tax) are taken into account.

By the way, ancillary costs appear on both sides - cost item and capital side, thus neutral for the entire financing plan of the OP.

I see that differently as well. The item appears on both sides, but it changes the loan-to-value ratio because 100% equity is present for this cost portion.

I see that differently as well. The position exists on both sides, but it changes the loan-to-value ratio,

No, because the value of the property (not yours, but the bank's) does not change. The loan amount also does not change, since the ancillary costs have already been paid. Thus, LTV and loan-to-value ratio remain the same. Thousands of cases in my nearly 20 years of practice ;-)

If we assume a functioning market, then the amount a buyer is willing to pay minus ancillary costs is the purchase price that flows to the seller.

That is your calculation, but not the appraiser's calculation regarding market value/loan value. Therefore, unfortunately irrelevant for the bank. P.S. To what extent do 0.75% of the purchase price actually affect your loan value (that is roughly the notary costs for the purchase)? The loan value is an estimate anyway, just like the market value. If you knew what kind of appraisals I see daily...

Because I have enough money myself, don’t need the property, and want to make friends happy. That’s how it was with us. We got the property for a price slightly below the standard land value. Other requested properties (before we knew our friends had one "left over" and before they knew we were looking) were always well above the standard land value, unless they were directly from the municipality, but that would only be in the new development areas, where the standard land value is accordingly higher.

Wow, very commendable. I would never do that.