Repayment-free start? Getting a loan without paying installments?

Hello everyone. We will buy a house from the developer. Now, the developer will be paid in installments. Until we move in, we will logically still live in a rental. Is there any way to avoid the double burden of paying rent and mortgage? Specifically, do banks allow that part of the loan is already disbursed now, but the installments are only paid from the time of moving in? What experiences do you have with this?

That varies; some banks only start the repayment once the loan has been fully drawn. Interest on the already drawn funds accrues immediately.

Provision interest usually accrues from the 6th month. They hurt, yes! And not an insignificant amount if the construction takes around 9 months and the financing already has to be completed early. We had to move to our parents early and were able to save quite a bit :)

Hello

stay calm there are many banks. As a rule, you only pay the interest for loans taken out. That means if you draw down according to the construction progress, only the interest without repayment is due. From 100% disbursement, the full installment including repayment applies.

It is the same with the Kfw, where you have the advantage that even after 100% disbursement a repayment deferral of one year is granted.

At our bank, the entire interest during the construction period (both construction period interest, i.e. for amounts already drawn, as well as commitment interest) was included in the financing, so these interests are now also paid out of the loan and we do not have a double burden.

Interest payments begin upon disbursement. We were able to set the start of our repayment ourselves within a certain period in advance. Since we thought we would move in last year, we set the start of repayment to January 2014. Now we are still not finished building, pay commitment interest on undrawn amounts, interest on drawn amounts, and repayment.